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If I went Bankrupt Would They Take My Mobile Home?
Question: Hi There
My wife and i sold our house and moved down to Devon 4 years ago and the intention was to carry on working as a driving instructor to live unfortunatley after moving down here 5 weeks later i had a near death heart attack and cannot work i was left with 14000 pounds worth of debt to be paid i approached the consumer credit company and agreed to pay my debtors a set amount i have been paying now for nearly 4 years never missed a payment but i only pay off about a thousand a year we live in a mobule home on a retirement park which we bought for 60000 pounds from the proceeds of the sale of our house it is a modist dwelling 2 bed 1 living room i kitchen/diner and a toilet/bathroom i have a small private pension which is now mainly taken up by the repayments of my debts
My question is as follows.if i went bancrupt would the powers that be take away my mobile home to repay my debts ? or is there another way of paying off my debts as a lump sum at a reduced rate as i probably could borrow the money off relatives i await your reply and remain
yours faithfully
Answer: If you go bankrupt the mobile home will be viewed as an asset, and as such could be liquidated or sold to pay into the bankruptcy.
The issue with looking at other options is that technically you are not insolvent due to your debts being less than the value of your assets. You could look into a debt management plan or possibly settling the debts for less than what is owed, but you would need to contact your creditors regarding a settlement and what they may accept.
Regards,
Jon