Why go for Bankruptcy or PIA if mortgages cannot be included?

lolasue

Registered User
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7
I am totally confused re the Bankruptcy and PIA options if my mortgages cannot be included. I have a home property and a BTL. Both are in negative equity: Home value 400k Mortgage = 600k
BTL value 265k Mortgage = 510k.
I am currently paying 1300 per month.

I believe I am insolvent as I am 49 years old, and dont think I will ever be able to pay off these loans.

What i dont understand is why these mortgages cannot be included if I go bankrupt? So I will still be in debt to the bank for 400k? Anyone got any advice to offer?
 
Why not contact Jim or any other PIP directly for advice. Clearly you are confused as to what is your best course of action and good advice relevant to your own unique circumstances is vital before making any decision.
 
As mentioned already, your mortgages will be dealt with under the bankruptcy. It's also worth mentioning that there is now a mechanism to have a family home revested in the bankrupt 3 years after the bankruptcy has commenced if the bank and bankrupt agree to this. It means that when other debts are dealt with in the bankruptcy, the mortgage may become affordable.

Get some professional advice, it'll be well worth it to have the facts.
 
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