It certainly does. Sequestration should be possible without losing your home - though a word of warning... you may well find that the trustee in a sequestration would get their own valuation done, so it would not necessarily be based on the figure you have been given.

I went to a surveyor that is on the AIB panel and is a national chain with good requtation

That seems to be a very sensible decision skintandfat and must be very reassuring for you in terms of opening up some options.

As Kevin mentioned a Trustee in Bankruptcy is likely to instruct a their own valuation (which might vary from the one that you have), but at least you can now have a degree of confidence about the position.

Some figures for the experts;

Equity on property ?ú2000 approx

Unsecured Debt (in my name, not joint) ?ú49,796.07 - verified last week

Assets (other than house)

The car is on HP and will be reposessed and sold, so the debt will drop by a little when this is done

Van market value ?ú4500
Tools and equipment (as is) ?ú750
Business profit ?ú56 per week
Tax credits income / child benenfit (now business profit has dropped) ?ú263.47 weekly

My concerns are
I lose my house anyway
They make me close down my business and sell my van
There is a strong likelihood my dad will be able to pay a sum to release equity

Hi skintandfat

I assume you work as a joiner, spark etc so don't own a shop or run a pub etc. Your van will be fine if required for work, but subject the the ?ú1000 rule. Tools of the trade will most likely be exempt under 'tools of the trade' if your dad will pay the equity, then the house is fine.

Always good to end on 3 positives.

Mark

Thanks Mark

I thought the van would be safe but I spoke to an IP last week who was all doom and gloom

I know Sequestration is a serious thing but I have let things go on for over a year and a half and feel things will get worse and stay bad for another 18 months at least

She told me;
The van would be taken and sold as I only needed a van worth ?ú3000
I would have to get a new van and then get it signwritten (which I can't affoard)

What's the ?ú1000 rule

Hi skintandfat

sorry I meant the ?ú3,000 rule. I was deducting the ?ú3k from the ?ú4k value.

The guidance is stated underneath and if there were a contribution, then the argument to keep the vehicle could be used:

Motor vehicles

Only vehicles valued at over ?ú3,000 vest in the trustee (see Section 6.9 of these notes).

If a vehicle is valued at over ?ú3,000 and the trustee thinks that it is cost-effective to sell it, it should be sold as soon as possible unless the vehicle is considered essential to the debtor to get to work so that he can make a meaningful contribution to his estate. But, if the debtor is allowed to keep a car that could vest in the trustee, he must maintain the agreed regular contributions. If he fails to do so without reasonable excuse, the trustee should repossess the vehicle as soon as possible and sell it if that is cost-effective.

Mark

The house is jointly owned- does that mean the equity of ?ú1748.84 is halved?

Hi skintandfat

yes, any insolvency only deals with your assets & debts.

Mark

Thanks for the reply Mark

I am quite worried about the thing (this is the reason I am online at this hour of night).

My main concern is my house.

My dad and my mum in law could help with things.

I am thinking of going for Sequestration

As my partner and I have joint accounts I am thinking of getting her to set up accounts in her name only to take benefit payments- i understand any accounts in my name / joint names get frozen

I thought my partner could buy out the trustees interest in the house as it is almost in negative equity (her mum or my dad would PROBABLY help)

My next worry is the van - I need to keep it or go on the dole. This really nerves me as my business on costs (gas registration / insurances etc) are ?ú350 per week and I am making ?ú60-?ú160 per week profit above this.
Ths van may be around the ?ú3000 mark as I checked a auction site and saw vans newer than mine going for around ?ú2800-?ú3000.

I hate not working and can see the writing on the wall within the industry- there are lots of laid off guys doing 'homer jobs' for cash and undercutting the guys who are insured / registered.

On a side issue- inheritance
My dad is alive and kicking [:)]
If the worst were to happen I would inherit half the house. Would it be ilegal to have my dad change his will to benefit my kids instead of me prior to my sequestration?

Hi skintandfat,

Your father can choose to leave his estate to anyone he chooses. If he were to change his will prior to sequestration I don't think that there is any problem with this at all.

It's a tough one with the van given that the valuation is close to the threshold that Mark has quoted. Am I reading correctly in your post that newer vans were going for ?ú2800-?ú3000 at auction? If that's the case would you expect for yours to be worth a little less?

Hello again skintandfat.

As trust deed assistant says, your father is entitled to change his will if he wishes.

Regarding the van, if it is worth more than ?ú3000 then the excess may have to be paid in by a third party such as your in-laws. I would be surprised if the trustee wasn't prepared to be flexible in this regard given that you rely on the van to earn your income.

Hi Kevin

Thanks again for the advice

Regards

S&F