If you have a bankruptcy question you'd like to ask, just ask using this online form. All help is free.
Questions People Have Regarding Bankruptcy
Concerns Prior to Going Bankrupt
It seems people are always asking many of the same questions when they are considering bankruptcy, and this is normal and to be expected.
I have addressed a few previously and thought I would cover a few others here:
One question asked is what debts are included in my bankruptcy, and the answer is all your unsecured debts.
There are only a few debts that cannot be included, student loans, certain fines, traffic tickets, etc.
And one other question that usually follows the previous one, is about council tax arrears. You can include previous years and previous residence’s council taxes in your bankruptcy.
Another question asked frequently is about partners or spouses and what happens if one of them goes bankrupt.
If they do not have any joint debts or any assets, such as property, the bankruptcy does not affect the other partner or spouse’s credit. However, if they have jointly held debts or property, it can have an impact if one of them goes bankrupt.
Also, an individual’s bankruptcy does not affect others residing in the same property. If there ever is an issue due to the address being shown as having a bankrupt there, the other party can contact the credit bureaus and have a letter of disassociation done.
One last question that is asked quite a bit is about buying property after being bankrupt.
My stock answer is let’s deal in the here and now and get the debts you have sorted before we look too far down the road.
In addition, it is difficult to predict what the state of the housing market will be in the future.
In purchasing a house your credit history is only a part of the criteria used in making the decision to grant you a mortgage or not. There are other factors such as your deposit, your employment history, etc.
In some instances a mortgage may be granted, but at a slightly higher interest rate due to being previously bankrupt.
I know people have many questions when considering the decision to go bankrupt or not, and that is why our web site can be a valuable resource to find the answers to the questions you have.
This link will also help in explaining the basics of bankruptcy.
If you have a bankruptcy question you’d like to ask, just ask using this online form. All help is free.
Source: Questions People Have Regarding Bankruptcy