Bankruptcy

[bexypeasley]

If I am struggling to pay my mortgage is it best to declare myself bankrupt? What implications will this have for me?What other options are availible?

[Eve]

This should help answer a lot of questions...

http://www.insolvency.gov.uk/guidanceleaflets/ Guides.htm#Information%20about%20insolvency%20 procedures

[Twenty20]

Contact the mortgage company, tell them your problem and suggest to them a lower amount you can pay until your circumstances change. Most companies would rather have some money from you than none at all.

[stonekicker]

before considering bankruptcy, total up the cost of your mortgage, council tax, utilities and food budgets. if you don't have enough money for the absolute essentials, then you are in trouble. i would always go to the cab initially - not one of these debt consolidation firms - and get as much advice from different sources as you can and you will be able to sort any debt problem.

i did go bankrupt - it worked for me as i took an extreme pay cut and simply couldn't afford my lifestyle any more. i rented accommodation, had no car and no assets, so it was better for me to go down this route (as they do take everything - even the stuff that is nailed down) than it was to pay my debts off over 15 years and continue to struggle!

mind you - i still can't borrow any money or get a mortgage for a few years and it will follow me financially wherever i go for the rest of my natural, but at least i have peace of mind. good luck - don't ignore the problem (it won't go away), get loads of advice (cab and surf the net - insolvency service) and it will work out eventually

[webuynationw]

You dont neccisarily have to declare yourself bankrupt. Do you have any equity in the property? Would you like to avoid bankruptcy?

If you can answer yes to these 2 questions then it may be possible to bail yourself out of this and remain in the property, although as a tenant rather than an owner. In my opinion, that is a far better option than becoming bankrupt though, as this will destroy your credit rating and could even destroy your career, depending on what you do.

For more information, there is lots of info at http://www.webuynationwide.co.uk/repossession. html

I wish you the best of luck in whatever you choose to do.

Sally