FabSwingers.com forum: bankruptcy

By (user no longer on site) OP
over a year ago

I know this isn't really money advice page. Lolol but I'm considering going bankrupt. I have a property I rent out but the Tennant hasn't paid the rent and will be evicted via a couple of big geezers at the weekend.

Now the house needs repair and decorating which I can't afford . hence can't re-rent.

Can't sell due to being lease hold and only 60 years left on the lease . no one can get a mortgage on it.

Hence I was gonna give back the keys to the bank voluntary repossession and go bankrupt.

So finally my question is.

Can you have a bank account if you go bankrupt? I pay all my bills and rent at the flat via online banking direct debit. Will I be able to still do this ?

Phew.

And if any kind people reply and I don't answer it's cos I think I'm gonna crash out now . I'm knackered

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By *uby0000Woman
over a year ago

hertfordshire

I think you could get a limited bank account good luck

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By *uby0000Woman
over a year ago

hertfordshire

Barclays do a cash card account which does DDs standing orders etc

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By (user no longer on site)
over a year ago

Call a debt charity. Going bankrupt is relatively easy now, but there are consequences. Get proper advice.

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By (user no longer on site) OP
over a year ago

Will I not be able to keep my own bank account ? I have no overdraft facility on it.? I probably need to go to speak to the bank I think. Thank you for replying

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By (user no longer on site)
over a year ago

Citizens advice do debt advice I'd go find out ur options first .....

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By *isscheekychopsWoman
over a year ago

The land of grey peas and bacon

I think first of all you should evict your tenants legally if you are not doing it already as if that goes to court that's a few extra grand you will need to find to pay to the tenant

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By *icketysplitsWoman
over a year ago

Way over Yonder, that's where I'm bound

Don't speak to the bank until you have had some debt advice. There are consequences to bankruptcy that go beyond what sort of bank account you can get.

Have you looked at seeing whether any housing associations might want the property on rental basis for their clients?

It will cost to renew the lease but you may be in a position to do that in a few years.

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By (user no longer on site) OP
over a year ago

Thanks to all your advice. I will check out CAB and other avenues.

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By *ubybabyCouple
over a year ago

lincoln ish

Your bank accounts are frozen you cant get a new one till your discharge even then you wil find most banks wont touch you

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By (user no longer on site)
over a year ago

"Will I not be able to keep my own bank account ? I have no overdraft facility on it.? I probably need to go to speak to the bank I think. Thank you for replying"

No. You will lose that. You will also lose any credit cards you've got. And you will not be able to get any future credit. It could impact on your future employment. If you have a car on credit you could lose that. The official reciever could take money from your salary...

Speak to a finacial advisor. Speak to a debt charity. Bankruptcy is not a decision to take lightly.

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By (user no longer on site) OP
over a year ago

Thanks everyone. Got some serious thinking to do. X

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By (user no longer on site)
over a year ago

"Call a debt charity. Going bankrupt is relatively easy now, but there are consequences. Get proper advice."

Ben is right you need proper advice with people who can physically see your position in black and white for proper advice. It is a lot easier to do these days but there are some pretty unattractive side effects.

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By (user no longer on site) OP
over a year ago

Thanks again everyone. X

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By *arnayguyMan
over a year ago

Durham Tees

You could still sell the property. Plenty of properties with short leases are sold. It is just that the unexpired length of the lease is taken into account in the price, or alternatively a new lease is arranged as part of the purchase. It will cost money of course, but you might still get something from the sale, depending on how much you owe. If the property is solid and just in need of updating, there is always someone willing to buy at the right price. You definitely need professional advice though. You can also try the Leasehold Advisory Service, who might be able to help.

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By (user no longer on site)
over a year ago

Just been through this. Your bank might let you stay with them but will downgrade you to a very basic account if they do. What people have said about credit cards, future credit, your car etc is all also true. It all depends how much money you owe and what you own plus your income. CAB is your best bet.

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By *aidtobespankedCouple
over a year ago

Chester

There are lots of options. You could extend the lease for one.

Also, even if you handed the keys back you wouldn't necessarily need to go bankrupt. It wouldn't necessarily need to affect your credit rating at all.

Pm me if you want to chat. Im a lawyer and have my own property portfolio.

Seb

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By *ittle_brat_evie!!Woman
over a year ago

evesham

"Will I not be able to keep my own bank account ? I have no overdraft facility on it.? I probably need to go to speak to the bank I think. Thank you for replying

Speak to a finacial advisor. Speak to a debt charity. Bankruptcy is not a decision to take lightly."

You will be able go get credit in the future but it takes time. My sister declared herself bankrupt just after she had her first child, 9 years later she has just bought a new house and has credit cards etc but she manages them much better now. She is also a fully qualified accountant now working for a major international company.

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By *aidtobespankedCouple
over a year ago

Chester

"There are lots of options. You could extend the lease for one.

Also, even if you handed the keys back you wouldn't necessarily need to go bankrupt. It wouldn't necessarily need to affect your credit rating at all.

Pm me if you want to chat. Im a lawyer and have my own property portfolio.

Seb

It won't let me contact you. I think I'm out of your age range. X"

I have messaged you. can you reply to that?

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By *andm288Couple
over a year ago

oxford

"Your bank accounts are frozen you cant get a new one till your discharge even then you wil find most banks wont touch you"

Sorry but that is wrong you can still get basic bank accounts co op Barclays etc offer a basic account where you can have money paid in & direct debits but you have no credit line untill you are discharged even then any credit will be very expensive

Hope it works out for you

Happy for you to Pm me for advice

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By *inaTitzTV/TS
over a year ago

Titz Towers, North Notts

Nothing constructive to add, as everything I can think of has been said, but just thought I'd wish you good luck with it.

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By *annGentMan
over a year ago

With a cracking view

There's a whole community on MoneySavingExpert.com's forums that can be helpful at times like this.

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By (user no longer on site)
over a year ago

First step, go and get the property valued by a couple of estate agents on an as seen basis and take things from there. Will cost you nothing and gives you a basis from which to make a decision.

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By *ondcpl4meetCouple
over a year ago

North of the river

You dont say if this is a second home with a buy to let mortgage or do you live in the property yourself too?

If this is your second home it could get very messy involving your actual house you live in.

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By (user no longer on site) OP
over a year ago

Thanks all I will get proper advice. I was having a panic attack last night. I live in a rented flat and my house was being rented out to a couple who sadly have turned into nightmares. Lol as I'm a single mom the whole stress has made me want to walk away from the house. But I will get proper advice and hopefully all will be well.

Thanks all I just needed a little love and support.

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By (user no longer on site)
over a year ago

Personal message me as there are countless repercussions to going bankrupt and entering bankruptcy.

It is not the great panacea people think it is

Oh my background masters business and economics Kings College Cambridge

Government advisor

hence no picture

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By *isscheekychopsWoman
over a year ago

The land of grey peas and bacon

"Thanks all I will get proper advice. I was having a panic attack last night. I live in a rented flat and my house was being rented out to a couple who sadly have turned into nightmares. Lol as I'm a single mom the whole stress has made me want to walk away from the house. But I will get proper advice and hopefully all will be well.

Thanks all I just needed a little love and support.

Good luck with everything but I must stress as before make sure you do everything above board in terms of getting the tenants out...don't cut corners as that will just put more stress on the whole thing as courts don't take lightly to illegal evictions no matter what nightmares the tenants were

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By (user no longer on site) OP
over a year ago

My tenants are well aware that if they don't pay. Then I will physically remove them. I made that clear from the start. There is no tenancy agreement in place. Which might be stupid. But we had a verbal agreement.

I'll deal with that issue as it comes

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By *isscheekychopsWoman
over a year ago

The land of grey peas and bacon

"My tenants are well aware that if they don't pay. Then I will physically remove them. I made that clear from the start. There is no tenancy agreement in place. Which might be stupid. But we had a verbal agreement.

I'll deal with that issue as it comes"

Just be careful I'm sure you have it in hand though

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By *isscheekychopsWoman
over a year ago

The land of grey peas and bacon

I'll deal with that issue as it comes

Just be careful I'm sure you have it in hand though

Because technically they can become lodger in occupations and then you will have to go through the courts to get them out..

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By (user no longer on site) OP
over a year ago

I've told them the house is being returned to the bank and will be boarded up next week . They will move.

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By *andybeachWoman
over a year ago

In the middle

I declared myself bankrupt a few years ago and believe me its not something to go into lightly, my account was frozen but I still had access to wages but I had to find another bank to switch too as the one I was with didn't offer a basic "debters" account.

You have to pay to become bankrupt it was around £500 when I did it and then it is still up to a court judge who I had to sit before and plead my case to deem if you will be declared bankrupt or not.

You wont be able to get credit of any kind, I could not even get a phone contract for £10 a month, they look at all your incomings and outgoings, house, car, everything, and I had to pay back some of mine back over 3 years, all watched over by the official receiver and if you default on a payment then you are in deep shit.

It is not something to get into lightly and you should seriously consider the impact on yourself and dependants if you have any

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By *uby0000Woman
over a year ago

hertfordshire

we are in the final year of an IVA every penny has to be accounted for been hell but nearly there

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By (user no longer on site)
over a year ago

"I've told them the house is being returned to the bank and will be boarded up next week . They will move."

You will find yourself in a difficult situation if they decide they don't want to move. Without a tenancy agreement you will find they have many more rights than you might imagine.

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By *isscheekychopsWoman
over a year ago

The land of grey peas and bacon

"I've told them the house is being returned to the bank and will be boarded up next week . They will move.

You will find yourself in a difficult situation if they decide they don't want to move. Without a tenancy agreement you will find they have many more rights than you might imagine. "

That's what I've been trying to tell her....they will have LIO rights if she ain't careful

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By (user no longer on site)
over a year ago

You need to get professional help and (no offence to other replying on here) not listen to what may or may not happen or you may be allowed to do. My sister chose to go bankrupt and there are many people out there to help. It's not an easy decision and it has many ongoing consequences that can and do go on for years.

Good luck and hope you get yourself sorted out.

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By *uby0000Woman
over a year ago

hertfordshire

[Removed by poster at 01/10/14 18:07:06]

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By (user no longer on site) OP
over a year ago

Thank you. I have taken on board all comments and will get the correct advice and do the legal pathway. I think if can come up with another solution I will . I will get debt advice and advice on repossession. You have all be very wise and I appreciate it very much. X

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By (user no longer on site)
over a year ago

"I know this isn't really money advice page. Lolol but I'm considering going bankrupt.

I think it's a last resort kind of thing.

I've never been bankrupt but I'd only consider it if all other avenues were well and truly exhausted.

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By *at69driveMan
over a year ago

Hertford

"I know this isn't really money advice page. Lolol but I'm considering going bankrupt. I have a property I rent out but the Tennant hasn't paid the rent and will be evicted via a couple of big geezers at the weekend.

Now the house needs repair and decorating which I can't afford . hence can't re-rent.

Can't sell due to being lease hold and only 60 years left on the lease . no one can get a mortgage on it.

Hence I was gonna give back the keys to the bank voluntary repossession and go bankrupt.

So finally my question is. For the eviction I would try and go through the correct legal process. Things can get very unpleasant otherwise and the law is geared in the tenants favour . As your mortgage lender will not want to lose money , I would talk to them straight away. Just because the lease term is only sixty years does not mean it cannot be sold , it just makes it slightly more difficult . Might be worth obtaining advice from a property surveyor. Estate agents cannot always be trusted , especially if they know that you are desperate . Could you not move in their yourself in order to avoid having to pay rent

Can you have a bank account if you go bankrupt? I pay all my bills and rent at the flat via online banking direct debit. Will I be able to still do this ?

Phew.

And if any kind people reply and I don't answer it's cos I think I'm gonna crash out now . I'm knackered

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By (user no longer on site)
over a year ago

Now the house needs repair and decorating which I can't afford . hence can't re-rent.

Can't sell due to being lease hold and only 60 years left on the lease . no one can get a mortgage on it.

Hence I was gonna give back the keys to the bank voluntary repossession and go bankrupt.

So finally my question is.

Can you have a bank account if you go bankrupt? I pay all my bills and rent at the flat via online banking direct debit. Will I be able to still do this ?

Phew.

And if any kind people reply and I don't answer it's cos I think I'm gonna crash out now . I'm knackered

Pm me xx

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