debt & insolvency

[mank!]

my parents are in a considerable amount of debt and are in the process of trying to clear some of this debt by selling the house but there has been no real interest as of yet and even with the house sold it will not completely clear the debt.

ideally, they don't want to move house and just wondered what other options there are? insolvency is one option i've heard about and having just read a bit of information about it, it would seem like the most straightforward option.

if anyone who has been through insolvency could give me as much information as possible, pro's and con's and suchlike, i'd appreciate it. my poor mum is going insane with worry

cheers

 

[Xtro]

Hi mank long time no "see"

I do know something about this but the bottom line is:

Go to the Citizens Advice Bureau - NOW!

It will really really really help, proper informed advice - they'll probably help as much as they can and put you on to the National Debtline too. You might not even need to sell up.

It all depends on individual's circumstances mate, get the pro's in.

/edit: linky for http://www.nationaldebtline.co.uk/england_wales/

 

[Damini]

It is possible to go into a scheme where you sell the house for less than market value, and then they rent the house back to you, so you don't have to move. Really, it's not ideal, but as a last resort it might be worth considering.

 

[mank!]

thanks both of you, i'll drag my mother to the CAB when she's next off work (which will be about 2015).

 

[Alan]

I think Deadon works for a debt advice charity type thing, drop her a PM for some usefull numbers and stuff.

C.A.B. is a great start as mentioned above tho.

 

[Lester]

Going bankrupt or insolvent could well mean they would never get a mortgage again for ages, so it's not something to be done lightly.

 

[Bodhi]

I've looked into this being in a bit of debt myself, from what I can see on the CAB website, insolvency only affects your credit whilst you're actually insolvent (normally lasts a year), after that you're good to go again. But as people have said, the CAB is the place to go.

 

[MYstIC G]

If you are old enough and earn enough, buy the house from your parents at an over the odds price (then charge them rent if they were mean to you as a kid).

 

[Tom]

Is this debt from credit, poor financial planning, family emergency, business failure, etc?

 

[mank!]

mostly credit etc i think, a fair bit of it was due to the amount of work that needed doing to this house after the previous occupants absolutely gutted it when they left. since then it's just been shifted around constantly and slowly accumulated. i don't really know the ins and outs of it all.

 

[Choc]

being in huge debt myself you need to go to the CAB but be ready for someone being blunt with you about your situation and what the options are and take tissues FOR TEARS!! Its not an easy thing to do insolvancy is not easy to do either - my folkes tried and the courts said no

 

[Tom]

Is there no chance of remortgaging?

 

[Trem]

If you are old enough and earn enough, buy the house from your parents at an over the odds price (then charge them rent if they were mean to you as a kid).

Thats a good idea but I don't think Mank is in the position to buy the house(correct me if I'm wrong Jamesz0r).

There is loads of help out there for them Mank and I just hope it doesn't worry you too much.

You could always sell up and live on Lesters estate, hes an evil lord of the manor though I hear.

 

[Guest]

I had a job interview with these lot last week. They seemed like a good bunch of people.


http://www.cccs.co.uk/


consumer credit counsellnig service, is a FREE debt advice company.

see below.


We're not a debt consolidation service. We're a charity. So you aren't charged for our services. Everything is free and confidential, from budgeting advice to practical Debt Management Plans .

As you look around our site, you'll see various ways in which we can help you to help yourself. You'll also see how we've helped people, in all walks of life, deal with their Debt Problems.

No matter how serious your situation seems right now, there is a way out of it.

 

[dysfunction]

I think bankrupcy should be the last resort. Its not really a good idea unless there is no other way out.

http://www.clearstart.org/bankruptcy-disadvantages.php

 

[cHodAX]

Best of luck Mank, can't be an easy situation to be in.

 

[mank!]

thanks again for t'replies

tom - think they've looked at remortgaging but was done a few years back and it's not an option i believe.

trem - you're right, i can't afford it. i'm a poor student who can't afford a social life. it's not concerning me as much as it is my parents, but i'm a tad worried as my car is on it's last legs and needs replacing but i rely on it for college and not sure whether debt problems with effect my chances of getting grants for uni etc, bit selfish really.

brooky - cheers for the link mate.

dys - bankruptcy is an absolute last resort, insolvency would be to avoid bankruptcy i think.

thanks for the kind words all, the beers are on me if i ever get to a barrybeer

 

[Rubric]

The guys on the forum here http://www.debthelpuk.co.uk/ helped me alot before i went bankrupt.

 

[MYstIC G]

Any joy Mank?

 

[mank!]

none yet, mum's going to the CAB on wednesday (first day she's had off in a fortnight) to chat with them.

cccs sounds like the best option so far though, but to add to the financial woes my car failed it's mot, needed a new exhaust, then had to be taxed and yesterday my hdd died, so i've had to buy a new one. it all goes off at once!

cheers for asking bud

 

[mank!]

just wanted to thank everyone for the advice again, things are finally in motion and insolvency isn't an option as we have enough money tied up in the house. the cab and payplan have been most helpful and it seems as though things are slowly getting sorted.

still can't sell the bloody house though and if anyone wants to lend me a few grand for a new car, please do

 

[Tom]

See if Xavier will lend you some money.

 

[throdgrain]

Strangely enough, on the 20 of November I start a job hassling people who havent paid thier credit card bills.
Even more strangely, its for a company who took a county court judgement out on me 20-odd years ago.

 

[mank!]

you'll be pleased to know that my parents credit card bills aren't in arrears at all, as they've just kept taking out loans to cover it.

d'oh.

 

[throdgrain]

Oh gord