# More information about UK bankrupcy



## scarednow (15 Aug 2012)

Hi

Firstly, it looks like my relationship of 20 years is coming to an end. That is the main reason for me to consider this option. I am originally from the uk (family still living there and plan would be to move home), and have worked every day since I moved to Ireland in 1992. I have 3 children here and most of the personal debt is in my name. 

Financial overview

Currently working, earning ~55k per annum
Personal unsecured debts ~40k
Mortgage (joint) ~170k - House value ~160k

Wifes personal debt ~14k

I would like advice on how the process would work in my situation and also :

a) What will happen to the house as it is in both of our names
b) How long will this process take and for the sake of my children, would I ever be able to come back to Ireland to work / visit? 
c) How long before I would be able to apply for work in England (can I work while the bankrupcy process is ongoing?)

This is tearing me apart but I need to know EVERY option available to me. I already know what will happen if I stay, I am nopt shirking my parenting responsibilities and as soon as the bankrupcy goes through will pay back my parents who will support my children during this time

Thanks for any advice


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## elcato (15 Aug 2012)

Can you explain why you say 'I already know what will happen if I stay' ? Are you going to the UK purely to go bankrupt ? I don't think you need to go bankrupt at all. Does your partner work/have an income ? Could you not stay here in your job, move to a small apartment (assuming you need to move out) ? Why not give her the house and negotiate your own debt. They may well force the sale of your house or ask your partner to buy you out if you go bankrupt. then you both have lost out.


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## scarednow (15 Aug 2012)

Elcato, many thanks for your reply. 'I already know what will happen if I stay' means that as you explain, I will have to get a small apartment but unfortunately I can't afford monthly rent / deposit due to the sheer amount of money going out on debts each month. Renegotiate the debts and it could be double the time before I have a half decent life. As I said in my post, I need to explore every option available to me. I am not going back to the UK purely to go bankrupt, all my friends and family live over there and I have been offered jobs if I go back, similar salary to what I am on here taking into account currency. My partner does not work, and I would gladly give her the house, but she couldnt afford the mortgage.

Thanks again for your input, much appreciated


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## Bronte (16 Aug 2012)

Don't jump at the UK route yet, I don't think you need to as your debts are not horrendous.  It would be a terrible pity for your children.

Can you list the debts, amounts, terms, arrears and who with.  It might be possible to renegotiate these debts to a more managable amount with the help of MABS perhaps. 

If you leave the house I assume your wife will be entitled to mortgage interest relief ?  So she wouldn't lose it.  Interestingly if you went bankrupt, I wonder would the bank agree to your wife taking over the mortgage (with payments from social welfare).  

I'm sorry that such a long marriage is ending, presumably you've tried mediation, counselling etc.


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## elcato (16 Aug 2012)

I would stop paying the 40k debt straight away. Negotiate your way to a court settlement which would put a charge on the house. This would end all payments on the debt until the house is sold. At that point the charge would have to be paid. If you never sell then it's not a problem. If things get better in say 20 years time you could settle the matter. Most importantly it will relieve you straight away of that mess (Well OK it will take a year or so for the charge to be put on the house). The main thing is to not worry about it too much and get priorities right. They will send all sorts of threatening letters out but they will be mainly that, threats. Bankrupty is not a good option imo.


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## scarednow (17 Aug 2012)

Hi Folks

I have secured a meeting with MABS at the end of this month (I contacted them 4 or 5 months ago), so will explain the situation to them and listen to their advice. The main thing for me is to provide for my children, which ever option gives me the best chance to do that, is the path I will take

Thanks for your advice


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## Bronte (17 Aug 2012)

That's a great first step scarednow.  You have your priorities right in this difficult situation. 

Please let us know how you get on with Mabs, how they are like to deal with, whether they are helpful etc.


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