The biggest debt was taken, so that we could get the deposit for our present house, as the equity on our old home was so small and our new house so expensive.As we came from a much cheaper housing area, we struggled to get a mortgage, but did so through a financial adviser, who secured a mortgage that did not require employers / payslip verification. Mortgage payments were at a higher rate than most people paid and we turned to credit cards to keep us going.
Before we started the IVA process, we had opened 2 current accounts, which had overdraft facilities, which we have used for the last 8 months and which amount to £1500.
Could any of this be regarded as fraudlent or reckless ??
Whilst greatly increased outgoings, e.g. mortgage payments more than doubled from our previous house, have been the cause of most of our problems , we have not been good financial managers, exacerbated by stress and depression.
Could this be construed as reckless and could we encounter problems during the bankcruptcy process as a result ?
Any help / advice would ber much appreciated.