My partner is declaring himself bankrupt. I understand that this effects me. However, the house is the same value as when we bought it. So really, the only equity we have in the house is a 10% deposit. I want to transfer the mortgage into my name but my credit rating is poor, so I am afraid I will not be permitted to go it alone. What are my options here? I’ll fail all credit checks, but CAN afford the repayments…. Im assuming I’ll be declined any remortgage attempt etc but would like to hear some advice. Is a guanentor a possibility, or how about someone replacing my partner who does has good credit?
Please help – im so confused!
Any property transferred in the 5 years prior to bankruptcy would be investigated by the trustee in bankruptcy and so transferring the property to your name before the bankruptcy will be of little help as if the Trustee in bankruptcy thinks this was an attempt to put an asset beyond the reach of creditors and they could reverse that transaction. If there is any equity in a property owned by the bankrupt the Trustee in bankruptcy has an obligation to realise the value of that, however they will offer to sell the bankrupts ‘interest’ in the property to joint owners in the first instance.
This question has been answered by Christians Against Poverty, a leading debt charity offering hope and a solution to anyone in debt.