asked 4 years ago

Just as papers were due to be signed to effect a divorce my daughters husband decided to go Bankrupt.She had not lived in their property for two years .The mortgage is in joint names can she return to the property ?She is quite able to pay mortgage.What will happen about the bankruptcy?

1 Answers
answered 4 years ago

Now that her husband has declared bankruptcy his share of the property will automatically be the property of the Trustee in Bankruptcy and is available to try and pay back as much money as possible into the bankruptcy. She may need to consult with her solicitor to define, or argue, how much of the property belongs to her and how much to her husband. If some money can be gained from his share then she may have the option of buying his share out of the bankruptcy, if the property does end up being sold then she will get back her share, if any, of the profit. It would not really be possible to say whether she can continue to pay the mortgage or live in the property. These questions depend on too many other possibilities and will likely require legal and/or mortgage advice rather than debt advice.

This question was answered by Debt Advice Foundation, an independent UK debt advice charity. If you need further help, Debt Advice Foundation provides a free, confidential helpline and can advise you. Click here to find out more.