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Alex J.
Alex J., Solicitor
Category: Bankruptcy Law
Satisfied Customers: 3840
Experience:  Bankruptcy, liquidations, administrations, pre pack sales, re use of company names and director duties and offences.
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Hi Im in debt and have been advised by step change and CAB

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Hi I'm in debt and have been advised by step change and CAB to go bankrupt as I've no assets and no income my benefits stopped awhile ago and I'm now financially dependant on my family .my question is I'm married but was living separately from my husband for about 10/11 years only moved back in with him in 2009/2010 he purchased his house in 2001 the house is in his name and its morgage free my question is will the official reciever think I have beneficial interest in the property I've never paid any bills they're all in his name ,I've not paid anything towards improvements of the house ,occasionally when I had the money I would pay for the food but not often.I really want to know what is likely to happen as I don't want my husband to lose his house how will the OR investigate .All the debt are unsecured and in my name only ,another thing my daughter bought a car but is in my name she pays for the insurance and the maintenance will the OR take that and sell it?thankyou

Thank you for your question and welcome.

My name is XXXXX XXXXX I will assist you.

Your husbands assets wont be attacked in your bankruptcy unless it can be shown through your bank statements that you were making large financial contributions towards the house. The house is legally in his name and if you do not have a beneficial interest in it then the OR can not claim it is part of your estate.

As for your daughters car - who actually paid the money for it. If your daughter paid for it then she should be able to release it from the estate, however if you paid for it, she may have to buy it off the estate in bankruptcy. Is there any finance on it?

Kind regards

Customer: replied 3 years ago.
Thanks ,my daughter paid for the car it's not on finance,another thing about 6/7 months ago I took out about £2000 from my credit card to pay back a relative ( i borrowed last year)at that time I didn't know I'd be in this mess and would need to file for bankruptcy,I've spoke to my relative told her I will be going bankrupt she said she will return the £2000 shall I take it back or let the OR take it back from her.If I take it back should I pay back the creditor who I took the money from?will I get a bru for doing this ?ive tried everything to get out of this mess my family have been supportive they offered to pay me lump sum to pay my creditors to settle the accounts but the creditors declined the offers ,I can't go dmp as I don't have enough money

Thank you.

I would tell the relative to put the money to one side and if the OR approaches her for it then she should return it directly to the OR. Do not pay it back yourself, if she return the money to you and you repay the credit card company this could be deemed a preference and land the relative in more trouble. If the OR does not claim the money after 6 years, then your relative will potentially never have to repay it.

Your daughter will need to gather evidence together and show the OR that she is in fact the legal owner of the car.

If your creditors wont accept a deal then more fool them, if you go bankrupt then they will only receive what is in your estate and you will start with a clean slate after discharge.

Kind regards

Alex J. and other Bankruptcy Law Specialists are ready to help you
Customer: replied 3 years ago.
Thanks Alex but wouldn't the OR think I paid my relative in prefrance to my creditors and could get in trouble ? So it's not a good idea to take money back from her and pay the OR myself?

Thank you.

If you are going to take the money back from her, then it should only to be to hold onto so that the OR can then distribute it as part of your estate.

It would not be a preference as it is a loan you have made to her, so effectively she would just be liable to repay the money as one of your debtors.

As long as you are honest and open to the OR about your affairs and have not allowed yourself to accept further liabilities when you knew bankruptcy was a possibility then you are unlikely to face any criticism.

Kind regards

Customer: replied 3 years ago.
Thankyou so much