Looking for some help as I am SO confused right now.
I've been in consultatations with a PIP over the last few months because of my debt.
I own a property with my ex partner which for many years neither of us could afford to live in since the split. We are each renting elsewhere.
I also have personal debt of circa 25k plus the outstanding mortgage is around 310k and estimated value of property is only 150k.
I have fallen into serious arrears on both.
I am working, but the payments on everything have made it a struggle to get by.
So recently the pip proposed a completely informal arrangement to my mortgage lender whereby we surrender the house and I pay a lump sum once off payment (this payment would be given to me by a family member and would be relatively small circa 10k)
So the bank came back and refused that which I kind of expected anyway. However the bank did say they would accept the voluntary surrender of the house but would only look at the shortfall AFTER they had sold the house. As this could take up to a year it is of no use to me as I will still have my other debt chasing me during this time.
So he told me the next thing I could do would be to propose the voluntary surrender of the house as part of an insolvency arrangement and still pay the lump sum.
My issue here is he said they can take months to come back with an answer and I am afraid in the meantime I'll be in trouble with my other debt, plus I cannot guarantee my lump sum offer will still be available in several months!!
So I'm thinking and wondering can I just opt for bankruptcy ?? Do I have to have a PIA refused first ? I'm worried about costs as I will have to pay this PIP 1500.
Of course I'd prefer to do a short term PIA over bankruptcy but I need things moving ASAP because I literally cannot cope with the stress anymore.
Which leads me to my next question , if I opt for bankruptcy is it 3 years they have hold on your income or 5? What dictates if it's 3 or 5?
I'm eager to get married and have children in the next few years so timing and length is very important to me.
I need the fastest option out of this for the sake of my health!
I've been in consultatations with a PIP over the last few months because of my debt.
I own a property with my ex partner which for many years neither of us could afford to live in since the split. We are each renting elsewhere.
I also have personal debt of circa 25k plus the outstanding mortgage is around 310k and estimated value of property is only 150k.
I have fallen into serious arrears on both.
I am working, but the payments on everything have made it a struggle to get by.
So recently the pip proposed a completely informal arrangement to my mortgage lender whereby we surrender the house and I pay a lump sum once off payment (this payment would be given to me by a family member and would be relatively small circa 10k)
So the bank came back and refused that which I kind of expected anyway. However the bank did say they would accept the voluntary surrender of the house but would only look at the shortfall AFTER they had sold the house. As this could take up to a year it is of no use to me as I will still have my other debt chasing me during this time.
So he told me the next thing I could do would be to propose the voluntary surrender of the house as part of an insolvency arrangement and still pay the lump sum.
My issue here is he said they can take months to come back with an answer and I am afraid in the meantime I'll be in trouble with my other debt, plus I cannot guarantee my lump sum offer will still be available in several months!!
So I'm thinking and wondering can I just opt for bankruptcy ?? Do I have to have a PIA refused first ? I'm worried about costs as I will have to pay this PIP 1500.
Of course I'd prefer to do a short term PIA over bankruptcy but I need things moving ASAP because I literally cannot cope with the stress anymore.
Which leads me to my next question , if I opt for bankruptcy is it 3 years they have hold on your income or 5? What dictates if it's 3 or 5?
I'm eager to get married and have children in the next few years so timing and length is very important to me.
I need the fastest option out of this for the sake of my health!