will my house in my country be considered?

[CENA]

I AM FACING DEBT PROBLEM.ME AND MY MRS ARE FOREIGN NATIONAL HAVING BEEN IN UK FOR 4 YRS AND A HALF.WE DONT HAVE PERMANENT RESIDENT.EACH YEAR WE HAVE TO RENEW OUR VISA.WE BOUGHT A HOUSE LAST YR IN LONDON.IT WAS £233,000.WE PUT 33K DOWN AS DEPOSIT.THE 33K WE GOT FROM RELATIVES AND FRIEND.WE ALSO TOOK A 35K SECURED LOAN TO RETURN DEPOSIT MONEY.

NOW WE ALSO HAVE 30K UNSECURED DEBT IN LOAN AND CREDIT CARDS WITH OUR MAIN MORTGAGE LENDER.NEXT JUNE MY 2 YR TRACKER WILL END.THEN I WANT TO TAKE A 5 YR FIXED RATE AND DO AN IVA FOR THE UNSECURED LOAN.WILL MY BANK ACCEPT THAT KNOWING I HAVE MORTGAGE WITH THEM?

WHAT WILL HAPPEN IF THE HOME OFFICE DONT RENEW MY VISA LET SAY NEXT YEAR,HOW WILL I PAY THE DEBTS AS I WILL HAVE TO LEAVE UK.I FORGOT TO MENTION THAT I MRS ALSO HAVE £8000 IN C/CARDS WITH ANOTHER 3 CREDITORS.I HAVE A BIG HOUSE IN MY COUNTRY.WHICH IS OUTSIDE EU.WILL THAT BE CONSIDERED IF I DECIDE TO GO BANKRUPT?THANKS IN ADVANCE

[Viki.W]

Hey Cena, welcome to the forum. Please hang in there and a technical expert will be along to help you. X

[MelanieGiles]

A Trustee in bankruptcy can pursue assets which are owned by you and are situated abroad, but the law of that particular country will take precedence. Which country do you originate from, and how much is the house actually worth in Sterling?

[CENA]

A Trustee in bankruptcy can pursue assets which are owned by you and are situated abroad, but the law of that particular country will take precedence. Which country do you originate from, and how much is the house actually worth in Sterling?

[CENA]

hi melani.thanks for your reply.well am originally from seychelles island in the indian ocean.my property there is worth £40,000.
i bought my house in london for £231,ooo.
i put down £35k deposit.last year.which i borrowed from family and friend.then i took a £35000 secured loan to pay off the deposit money i borrowed.in the mean time we borowed £35,ooo from my actual mortgage lender in terms of credit card and unsecured loan.
this year the home office might not renew our visa,so we have to go back.the mortgage i pay is £800 and £280 on unsecured loans.so i can rent the house out and pay them.
my main concern is that will they accept an iva for the unsecured loand.coz i can pay around £180 every month from my home country?
thanks

[CENA]

hi melani.thanks for your reply.well am originally from seychelles island in the indian ocean.my property there is worth £40,000.
i bought my house in london for £231,ooo.
i put down £35k deposit.last year.which i borrowed from family and friend.then i took a £35000 secured loan to pay off the deposit money i borrowed.in the mean time we borowed £35,ooo from my actual mortgage lender in terms of credit card and unsecured loan.
this year the home office might not renew our visa,so we have to go back.the mortgage i pay is £800 and £280 on secured loans.so i can rent the house out and pay them.
my main concern is that will they accept an iva for the unsecured loand.coz i can pay around £180 every month from my home country?
thanks

[MelanieGiles]

My gut feeling is that your Seychellian property would need to be taken into account in both an IVA and bankruptcy proceedings. In view of the uncertainty of your circumstances, I would suggest you look at a DMP with creditors until your residency is certain.

[CENA]

hi again melaniegiles.thanks for prompt reply.but what i understand is that in an iva ,as long as you are making payment on time your house is not in danger compared to bankruptcy.
but the only 2 things i would like to know is that ,is there any chance my mortgage lender with whom all the unsecured loan worth £35k is,will accept an iva .
and secondly ,if the iva is approved, can i move abroad but of course continue to pay the agreed monthly fees for the rest of the iva!
many thanks once again.

[MelanieGiles]

Your mortgage lender will not be involved in the IVA as they are secured against your property. But your property in the Seychelles will have to be declared. What is the situation with that right now - is it rented out and producing an income?

You can still pay the IVA if you decide to relocate abroad.

[CENA]

hi melaniegiles.thanks again and again.the property in seychelles is not rented and doesnt produce any source of income.
the concern is that my mortgage is with one of the high street bank.and my unsecured loans between me and mrs is with the same bank(£35k).so will they accept an iva

thanks for letting me know that is an iva is set up , i can relocate abroad.at least one thing is clear.
but one thing i dont understand,why my property abroad has to be declared.i dont really want to do that.

thanks for giving advice to many people.but i will pay my iva for the time set up.coz i can get a good job back home.

[Adam Davies]

Hi
All your personal assets are taking into account if you declare,or are declared,bankrupt or enter into an IVA
It is no different to someone owning a holiday home in another country,it would be unfair,and illegal,to hide an asset once insolvent.
Regards

[MelanieGiles]

Your property abroad has to be declared because it is an asset and to fail to declare it would lead to a material misrepresentation on your part which no reputable IP is going to join into.

I do not think that it will make any difference to the outcome of an IVA if your mortgage is with an unsecured creditor.

[CENA]

hi andy.thanks for advice.it has been helpful.if i need more advice and help i will email you back through this forum.

[CENA]

hi melanigiles.thanks for your advice .you have been of great help.if i need you for more advice or your help i will come back to you.

[CENA]

[quote]Originally posted by MelanieGiles

Your property abroad has to be declared because it is an asset and to fail to declare it would lead to a material misrepresentation on your part which no reputable IP is going to join into.

I do not think that it will make any difference to the outcome of an IVA if your mortgage is with an unsecured creditors.

hi melaniegiles.here come am back again with questions.i know you understand peoples state of mind when they are in debt.
coming to my property abroad,i forgot to mention that it is in my sons name who is 3 yrs old.i gave it to him as a gift when he was born.so is it still considered in my iva or bankruptcy in uk?

AND DO I HAVE TO PRODUCE MY BANK SATEMENTS FROM ABROAD ,MY HOME COUNTRY IF I GO FOR IVA OR BANKRUPTCY IN UK.I HAVE £2000 IN THAT ACCOUNT FROM 5 YRS AGO.THANKS