Help!!!!!

My last posting was on bankruptcy a few weeks ago, since then things are changing rapidly.  My husband saw a lawyer last week and has filed for bankruptcy, chapter 7.  The very next day he comes home from work with news of a more than definite forced retirement.  He'll have his pension of course but even with me working it's going to be a struggle to pay our mortgage.  I feel absolutely sick with worry over everything.

All I want to do is just pack up and leave and head back home to the UK but it's not as easy as that.  I'm trying to think straight but my head is in a whirr ..

We were aiming/hoping to go home next year, if this bankruptcy goes through OK then he should be discharged just before the end of this year. I could really do with some advice.

I'm even thinking now of just not paying the mortgage for three months, letting the house go into foreclosure ... one problem with that though is how is that going to effect the application? i.e we'll submit copies of bank accounts but if were not paying the morgage here then surely we'll be asked how we're living!! i.e rent/mortgage etc. 

I won't have any job offers but could print out some jobs with titles etc that I'm qualified for.  Perhaps I could even get in touch with a few agencies over there ..

Im sorry if this sounds all garbled but I'm in a complete panic ..

I thought bankruptcy protection saves your home from foreclosure.
If you are moving back to the UK and had any equity in the house could you put it up and hope for a quick sale.

There are no credit checks for a UK visa. However, you may find issues trying to secure housing & credit once you arrive. Basically they will want to see if you can support yourselves once you arrive in the UK and your current situation is not really applicable. Having a hefty savings can be used to show that you will be reasonably able to accommodate & maintain yourselves until such time that employment is secured. Also if you can live with family in the UK and thereby minimizing your expenses that will also help your application.

As far as your current situation, I have heard of companies that will purchase your home at short notice preventing forclosure which may allow you to downsize into a more affordable rental or if not possible, to move in with family. But I am in no way a financial or immigration adviser and suggest that you consult one or both.

Given that you do not have a clear picture of what your situation will be if and when you choose to apply, and who knows what the immigration rules will be at that time, yours is not a clear cut situation that I feel comfortable commenting any further except to say that you may need professional advice. You also do not state if you have children, that aspect will be needed to factor into your budget as well.

I thought bankruptcy protection saves your home from foreclosure.
If you are moving back to the UK and had any equity in the house could you put it up and hope for a quick sale.

There's no equity in our home, since buying it we've lost almost $30,000 due to house values going down. 

There are no credit checks for a UK visa. However, you may find issues trying to secure housing & credit once you arrive. Basically they will want to see if you can support yourselves once you arrive in the UK and your current situation is not really applicable. Having a hefty savings can be used to show that you will be reasonably able to accommodate & maintain yourselves until such time that employment is secured. Also if you can live with family in the UK and thereby minimizing your expenses that will also help your application.

My sister and her partner have said that we could live with them until we're on our feet. The house is owned by them.  A four bedroomed house.  I have a 13 year old daughter. As far as savings go, not very much .. maybe $6,000.  My husband's pension would be in the region of $1900 per month.  From what I can see, I should be earning anywere between 14,000 to 19,000 (pounds) depending on where we actually end up living.

Given that you do not have a clear picture of what your situation will be if and when you choose to apply, and who knows what the immigration rules will be at that time, yours is not a clear cut situation that I feel comfortable commenting any further except to say that you may need professional advice. You also do not state if you have children, that aspect will be needed to factor into your budget as well.

I have a 13 year old daughter (British).  I am ready to hand the house back to the bank if necessary.  I have lost too much since the time I've spent in the US and, I'm getting older.  I need to get back home to stability and family - not just for my sake and my husbands, but also that of my daughter before it's too late.  Once my husband officially receives his notice and he's out of work and retired, then from that time we have no medical cover. 

That's why I need to know if handing back the house to the bank would endanger, in any way, my application for my husband. 

My bankruptcy and remaining mountain of debt didn't affect my application. Your mileage may vary!

There's no equity in our home, since buying it we've lost almost $30,000 due to house values going down. 

If eventually they do credit checks for visa's with a bankruptcy there's already a low fico score so I don't know if a foreclosure could do that much more damage.

The basic question is where / how would you live if you did this?

Vicky

The basic question is where / how would you live if you did this?

Vicky, to be honest with you - I just don't know.  The thought of moving into a motel with my daughter just isn't going to work. I thought maybe we could rent, maybe a short term rental. My OH says that it takes time for foreclosure to go through, to just stay in our home until the enivitable happens. There are problems with this too - I mean the stress levels would be enormous, and how we'd tie this in with applying for a visa .. I just don't know.

For the first time in my life .. I just don't know how to overcome this situation.

I think that you need to think very carefully before doing this.  To render yourself effectively homeless will seriously scupper your chances of getting a spousal visa.  I think you should discuss this with a professional, both in terms of the immigration issues and to see if there is a way to get out of your current financial predicament.

Vicky

I don't know that you need to talk to a professional about it though.  I think if you can sort out how you'll support yourselves once you move back, it shouldn't matter that you've had a financial mess here.  Like others have said, no one will check your credit scores, just your bank statements.

And FWIW, a foreclosure can take up to 2 years to go through so I wouldn't be in a rush to move out or hand it over to the bank.  Call your lender and tell them what's up with your situation.  You may be able to modify your mortgage.  It could be worse.  DH and I are $220,000 upside down in our equity.  We couldn't move if we wanted to.

Ah, hang on a second.  My question was how will you live and support yourself in the UK, not in the US.

Vicky

The basic question is where / how would you live if you did this?

Vicky, to be honest with you - I just don't know.  The thought of moving into a motel with my daughter just isn't going to work. I thought maybe we could rent, maybe a short term rental. My OH says that it takes time for foreclosure to go through, to just stay in our home until the enivitable happens. There are problems with this too - I mean the stress levels would be enormous, and how we'd tie this in with applying for a visa .. I just don't know.

For the first time in my life .. I just don't know how to overcome this situation.

Even if the UK doesn't do credit checks if you rent they will and you might have a hard time finding a place. If it were me it would depend on the timing.  If it were 3 months I would let it go. If it was a year or longer I would try to tap into one of the government programs for homeowners trying not to go into foreclosure. Then you  have the option of renting out your house while you are in the UK for extra income or sell it when people start buying again.
That's what I would do but I'm not an expert. Just someone who watches Suze Orman.

Ah, hang on a second.  My question was how will you live and support yourself in the UK, not in the US.

Initially, we will have to live with my sister and her partner. My husband will have  a pension, not much, I think at the moment it would equate to approx. 1,100 pounds per month.  I mentioned savings earlier, it's not actually savings but we would be expecting somewhere in the region of $10,000 poss. $11,000 as part of his "forced" retirement payoff.  We don't have exact figures yet but OH has a meeting Thursday which his employers so we should know more then.

I've spoken with a few agencies in the UK, explained to them the experience I have, and have been told I'd have no problem getting work - even if it meant I had to temp until I could find permanent employment.  When I left the UK one employer told me not to hesitate to get in touch with him if I were ever to return to the UK - I'll be getting in touch with him over the next few weeks.

Victoria - I may very well need your help so will PM you - if that's OK with you?

Yep, please PM away.  Though depending on the size of the payoff, you may manage without me!

Vicky