# Going Bankrupt



## bonnie10 (Apr 26, 2010)

Hi ,,
Sorry this is my first time on a forum.

We lived in the uk and were experiencing bad financial difficulties due to me losing my self employed contract with a company in january 2009.
We decided to move to Turkey in July as the cost of living was lower and rent our house out in the uk to try and clear our debts.
The cost of living here has worked out a lot higher than the advise we were given'we have hardly any collateral in our home and have had a night mare with tennants in our home.We cannot afford to sell it as we have to pay for all these hips packs and are hardly earning here,so we are wondering if any one has any advice on whether we can go bankrupt in the uk and will it effect you here.


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## sophie2009 (Nov 24, 2009)

You do not need to declare that you are bankrupt to any future creditors but for the first 12 months of the bankruptcy you will have to declare any change of address, including if you move abroad. hope that helps


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## bonnie10 (Apr 26, 2010)

sophie2009 said:


> You do not need to declare that you are bankrupt to any future creditors but for the first 12 months of the bankruptcy you will have to declare any change of address, including if you move abroad. hope that helps


Thankyou Sophie


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## Joppa (Sep 7, 2009)

bonnie10 said:


> Hi ,,
> Sorry this is my first time on a forum.
> 
> We lived in the uk and were experiencing bad financial difficulties due to me losing my self employed contract with a company in january 2009.
> ...


You don't normally have to pay for your HIP upfront - it's deducted from the sale price, together with sales commission, legal costs etc before the proceeds is paid out to you by your solicitor. If your tenant is breaking the terms of their tenancy, start proceedings to get them evicted - are you renting out using an agent? Bankruptcy is the last resort and is to be avoided at all costs, as it has serious implications for many years to come. You may be credit blacklisted for up to 15 years after bankruptcy ends, so no credit cards, no mortgage et al. If you owe money to creditors, get in touch with debt advice line and ask them to negotiate better repayment terms by suspending interest, lower monthly payment and so on. Or you may want to go down the route of Individual Voluntary Arrangement (IVA), a much better alternative to bankruptcy, where you retain control over much of your assets and incomes.


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## bonnie10 (Apr 26, 2010)

Joppa said:


> You don't normally have to pay for your HIP upfront - it's deducted from the sale price, together with sales commission, legal costs etc before the proceeds is paid out to you by your solicitor. If your tenant is breaking the terms of their tenancy, start proceedings to get them evicted - are you renting out using an agent? Bankruptcy is the last resort and is to be avoided at all costs, as it has serious implications for many years to come. You may be credit blacklisted for up to 15 years after bankruptcy ends, so no credit cards, no mortgage et al. If you owe money to creditors, get in touch with debt advice line and ask them to negotiate better repayment terms by suspending interest, lower monthly payment and so on. Or you may want to go down the route of Individual Voluntary Arrangement (IVA), a much better alternative to bankruptcy, where you retain control over much of your assets and incomes.


Yes we are using an agent but they are absolutely useless,theproblem is with an iva I don"t have an income at the moment only my rent money from the uk which is just over 500 pounds a month and I am trying to keep a famoliy of four on this money as due to the recession they aren"t any jobs around unless you want to work for commission only which I tried and then they just never pay you.
My and mortgage is interest only and my house isn"t worth as much as the debts we owe now'we don"t know which way to turn my husband is driking now all the time and we are arguing all the time;I don"t know whether to go back to the uk or stay here.


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## jojo (Sep 20, 2007)

bonnie10 said:


> Yes we are using an agent but they are absolutely useless,theproblem is with an iva I don"t have an income at the moment only my rent money from the uk which is just over 500 pounds a month and I am trying to keep a famoliy of four on this money as due to the recession they aren"t any jobs around unless you want to work for commission only which I tried and then they just never pay you.
> My and mortgage is interest only and my house isn"t worth as much as the debts we owe now'we don"t know which way to turn my husband is driking now all the time and we are arguing all the time;I don"t know whether to go back to the uk or stay here.



If you have family and friends in the UK then go back there and face the music! Its not the end of the world and the UK, for all its faults is a country that will not let you be totally homeless. As for your husband, well drinking will make it all much worse, if you show him that you're being strong and decisive, it will give him a bit of hope and confidence! You've both got to face the strain! Accept defeat, dust yourselves off and start again! 

Jo xxx


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## MissJo (Dec 15, 2009)

Try going down the route of an IVA instead of bankruptcy, it's a similar process but as someone already pointed out, you keep control of a lot more. No risk in losing your house and over in 5 years with your credit file then marked as debt settled. Bankruptcy can stay with you for what seems like forever from what I understand. I've just done an IVA and I used the UK charity CCCS, they were amazing and no-one judged me at all. I was left in an awful financial position due to my ex and battled for months to try and control it, in the end it was controlling me and now I feel like I have had a weight lifted off my shoulders


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## kaz101 (Nov 29, 2007)

Have you tied contacting somewhere like citizens advice bureau in the UK? They should be able to give you some advice. I realise that you don't live in the UK at the moment but maybe you can call them? 

If your letting agent is making things worse then replace them or threaten to take them to somewhere like ARLA (assuming that they are registered agents). 

I know from personal experience that lots of things happening at the same time can seem overwhelming but take one step at a time. 

One of things people miss most is a support system when they move. If you can afford to move back to the UK and maybe stay with family or friends that may help you. 

Whatever you decide to do, know that you are doing the best that you can do right now with the information you have. I can drive myself crazy sometimes trying to analyse everything but sometimes action is more important than the analysis.

:grouphug:

Karen


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