In Debt but moved abroad

[cyborgigy]

Hi All

New to the forum so be delicate.

This is complicated but makes interesting reading.

Basically. I currently owe £42,000 in debt to credit cards in the UK. I own a house that has a small mortgage and lots of equity and its in my maiden name. I have married 3 years ago and we moved abroad (To Romania). We have no income at the moment thus could probably not even afford an IVA.

My husband has suggested Bankrupcy. But the main question is what about the house in my maiden name ?

Help, I am rather at my wits end.

[rayb]

Is the house in the UK?? If so can you not release the equity you have to pay off the outstanding debt. As you have so much equity then it is more than likely you cannot go bankrupt. I am sure an expert will be along shortly to confirm

[cyborgigy]

The house is in the UK. I know its selfish but I'd rather not lose the house.

[rayb]

I dont think you would lose the house but you have equity there which can be used to pay off your debts. I think this is the way to go as bankruptcy will not be an option if you have significant equity

[cyborgigy]

But if the house is in my maiden name will they know about it ?

[Lisa2009]

I think it would be unfair not to disclose it. After all, you do owe the money.
If you have no income at the minute then the choices are, declare bankruptcy and lose the house or release some of the equity and offer a Full and Final payment to your creditors.
The chances are, the Official Reciever would find out about the house in your maiden name anyway.

[Lisa2009]

Actually, i think ray may be right. As your equity is probably more than your debts, then technically you are not insolvent so you would more than likely be asked to either release equity or sell the property to offer F&F

[Skippy]

You would need to declare your maiden name when you went BR, so the OR would be able to find out about the house.