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ReadyLaw
ReadyLaw, Lawyer
Category: Property Law
Satisfied Customers: 3096
Experience:  Bar Professional Training Course
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That was very fast! My question is as follows. I own a

Customer Question

That was very fast! My question is as follows. I own a (mortgaged) property. The building is caught up in all of the cladding "stuff". Status at present is that we have phase 1 approval for government funding but no decision and no timeline for a decision. There is a risk that the building will not be covered by the government Building Safety Fund, at which point current status is that I would not be in a position to pay for repairs so would probably go personnally bankrupt to get out of the property I now have a new job which pays enough for me to start saving for a new deposit. What I want to do is protect those savings so that they can't get "sucked up" by remedial work on the current property. The mortage is in my name only. I am married.
JA: Where are you located? And has anything been officially filed?
Customer: I am in London. Yes we have funding from the waking watch fund to cover interim works. We have officially filed an application for the Building Saftey Fund for remedial work and have passed the first phase, now awaiting the final decision on if and how much of th ework would be covered
JA: Has anything been filed or reported?
Customer: see above
JA: Is there anything else the Lawyer should know before I connect you? Rest assured that they'll be able to help you.
Customer: I think those are the most salient basic points
Submitted: 11 days ago.
Category: Property Law
Expert:  ReadyLaw replied 11 days ago.

Hi, welcome to JA, I amCustomerone of legal experts here.

My goal is to provide you with the best experience possible and answer any questions which you may have about your current situation.

Expert:  ReadyLaw replied 11 days ago.

I may not respond immediately, this is because I may need some time to read what you shared above, type and respond to you. Or, I may be in court. I will however email you with a response before the end of the day.

Feel free to ask any follow up questions as needed until you are satisfied.

Expert:  ReadyLaw replied 11 days ago.

Thanks for your patience and enquiry.

Money that is held in your personal savings, will become part of the bankruptcy estate and used to make payment towards your creditors. As such, if the money is held in your account there is every likelihood that it would be sucked into bankruptcy proceedings. Money held solely by your spouse may not be part of proceedings. However, if money is deemed to have been transferred to spouse in order to evade bankruptcy proceedings then this may become part of the proceedings. So, for example, it would not be advisable to make a large one off transfer to your spouse as this could raise suspicions.

Expert:  ReadyLaw replied 11 days ago.

Can I clarify anything for you? I hope I have answered your query in a way that is simple and easy to understand. If anything remains unclear, I will be more than happy to clarify it for you. In the meantime, thank you once again for using our services.

Customer: replied 11 days ago.
Thank you very much for the response. Can I just clarify a couple of things firstly if I were to amass savings (in my name) and then become liable for building repair work on my current property, I assume I would be obliged to use those savings if I were to receive a big bill (and if I had sufficient savings to cover the liability would not be able to declare bankruptcy - is that correct? If I were to set up an ISA in the name of my husband for example, who is not named on the mortgage, as his personal asset from what you are saying (noting the point about large transfers) that would be outside of any bankruptcy proceedings pertaining to me. One follow on question - what are the personal implications for me (eg for my credit rating, and my employment) of declaring personal bankruptcy? Thank you so much for your response and I look forward to hearing back from you. Thanks
Expert:  ReadyLaw replied 11 days ago.

Please note the following responses:

1. yes you may use the savings amassed.

2. Money held by husband in ISA in his sole name would be outside bankruptcy proceedings in relation to you.

3. I suppose you have stated the personal implication which is credit rating. This is likely to be the case for at least three years. This may also affect such things as, bank accounts you may open with a bank. It does. To fetch employment so much unless your job relates to finances or is link to you having a particular credit in order to be considered for the role.

Customer: replied 11 days ago.
Thanks again for the quick response, that's really helpful. Nothing else for now! Thanks
Expert:  ReadyLaw replied 10 days ago.

You are welcome