a year since we went bankrupt

[denise.l]

We declared ourselves bankrupt last April and was discharged early November. Since then we had no further correspondence from the OR or Trustee. We have a mortgage and secured loan on our property, which we have continued to pay and initiall we planned to get my mother to help buy the benefical interest, as there is little or no equity. But to date we haven't done anything about it, due to the cost involved. My Question as it has now been a year since we went bankrupt, what action will the OR make regards our property now the year is up ?

[coco]

Hi Denise i am not an expert just another forum memeber

I have just come of the phone speaking to my OR in regards to my property after going BR, i was informed that they have to deal with the property within 3 years even after discharge, however if you have negative equity then you can purchase the title back for £1, this is what i was told by my OR so it would be adviced to discuss this as soon as possible.

I hope this helps a little

(I apologise for my keyboards poor spelling and grammar)
http://coco.blogs.iva.co.uk

[MelanieGiles]

Hi Denise and welcome to the forum

Do you have equity in your property? If none then I suggest that your relatives make a nominal offer to the Trustee to acquire the beneficial interest - say £1 plus the costs of legally transferring the property. If there is equity in the property, then this will need to be calculated and again your relatives will need to make an offer to the Trustee.

If you fail to address this, the Trustee has three years from the date of the bankruptcy order to deal with his interest in the property. During this time you may be creating equity by continuing to repay your mortgage and secured loan, and of course the property market is continuing to rise.

Don't delay dealing with this - I have seen many cases in my time of properties not being dealt with where clients have been forced to eventually sell just to release equity which did not exist at the time the bankruptcy order was made.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[Andy2]

Hi Denise
Are you making any payments under an Income Payments Order as it is unlikely your OR/trustee will have overlooked you ?

[denise.l]

Hi Denise
Are you making any payments under an Income Payments Order as it is unlikely your OR/trustee will have overlooked you ?

[denise.l]

Hi Denise
Are you making any payments under an Income Payments Order as it is unlikely your OR/trustee will have overlooked you ?

No, although we were on NT tax code for most of last year and we had to make a payment order each month to the trustee.

My main concern is that as it has now been a year since we were declared bankrupt, does the OR or Trustee automatically take any further action if we haven't arranged to transfer the benefical interest within this time. The Property prices in our area if anything have remained the same, and as we are on paying interest only on our Mortgage and sercured loan.

[MelanieGiles]

Hi again

I suggest that you speak to the Official Receiever to see what is his intent with regard to your property. At the end of the day they do have the three year window in which to deal with the matter, so they may not be rushed into a decision either way.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[denise.l]

Hi again

I suggest that you speak to the Official Receiever to see what is his intent with regard to your property. At the end of the day they do have the three year window in which to deal with the matter, so they may not be rushed into a decision either way.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

Thanks for your advice on this matter. Although all of the above have been to explained to us beforehand, and it is something we must do sooner than later. We were not sure whether the OR would automatically set the process of selling our house after the year as we have not taken any further action with regards buying the beneficial interest.

Many thanks[:)][:)]

[Andy2]

The OR/Trustee, might, in all reality be waiting for the three years to run in order to vest some return from any equity. I am sorry to tell you that the discharge from bankruptcy (which in your case was less than 12 months) and the one year anniversary of declaring BR do not do anything to alter the 3 year allowance given to the OR/Trustee. At least it is "only" three years now.