I was made bankrupt this April and own a property with my partner, who was also made bankrupt. His mother lives with us and contributed to the purchase of the house and is due roughly 50% of the sale proceeds once the mortgage is paid off - there is a legal document drawn up for this and the trustee has accepted it. However, the trustee has asked for approx £ 30,000 as my partner and my share of the interest in the house, which we simply do not have.
It is a high figure anyway - if the mortgage were redeemed tomorrow with all its costs etc and taking into account a 'fast' sale price there would be about 20,000 in total, of which 50% is our combined BI - about £ 10,000. There are no further assets and based on the trustee's breakdown of costs, this would still not return a penny to creditors - the trustees ( and OR ) costs are estimated by them at about £ 20,000. The total ( combined ) debts of the bankruptcy were about £ 100,000 - before OR fees etc!
WE may be able to ask my family to put forward a lump sum, or combine a lump sum + monthly payment from both families ( neither of us have a surplus income ) and an insolvency solicitor suggested that if this were the case we may be better proposing a fast track VA and asking for both bankruptcies to be annulled.
As I understand that this is a relatively new possibility in this year's EA, could anyone advise whether this is a possibility and how we would go about it ? The insolvency solicitor was very knowledgeable and pleasant but suggested an IVA almost immediately - having tried one once and had it thrown out at the Interim stage ( one creditor is due 40% so has overal voting rights ) I don't want to go for a paid - for IVA at all again !
Sorry if this isn't very clear - I'm a bit out of my depth here !