Protecting my mums home as one of the excluded

[luimneach2005]

20 years ago I bought my mothers house as she was widowed and couldn't afford it anymore. A few years ago I remortgaged it for 100k valued c160/170k.

I sacrificed a home of my own to look after my elderly parent, no grudges but didn't ever expect to be thrown under a bus like we have.

I have been out of work since lockdown began in March. No income, no government help, even turned down to UC because I have 17k savings which are of course my due taxes. Living on credit cards but unable to pay those bills as of February.

I now need to consider bankruptcy.

Is there anyway I can protect my mums home?

Should I try to put it in a family trust?

Try to sell it back to her - she's over 80? She can cover the mortgage with her income now.

The idea of 30 years of paying over a million in taxes and now it's come to this, no home of my own at 50 and maybe making my severely disabled mother homeless at 83. I don't know how to find a way out.

Can anyone help with ideas?

[jamesbrown]

What about furlough? What about a bounce back loan? There’s also been some briefing that the March budget might include something for company directors, but probably only if their company turnover was low, on average, in prior years. Anyway, I would start with a bounce back loan.

[SueEllen]

You should also consider posting on the forums iof moneysavingexpert.com - Debt-Free Wannabe — MoneySavingExpert Forum

Plus contact this charity - StepChange Debt Charity - Free Expert Debt Advice.

If you are in your 50s and can access a pension in a few years plus your mum can pay the mortgage at the moment, then there is no reason for you to go bankrupt and limit your earning potential.

[jamesbrown]

BBL details:

Apply for a coronavirus Bounce Back Loan - GOV.UK

[luimneach2005]

What about furlough? What about a bounce back loan? There’s also been some briefing that the March budget might include something for company directors, but probably only if their company turnover was low, on average, in prior years. Anyway, I would start with a bounce back loan.

I was daft and liquidated my limited company in March so I could get entrepreneurs tax relief. Since then I've had two contracts offered then withdrawn at the last minute due to financial constraints - so no company vehicle anymore to claim BBL or furlough.

[luimneach2005]

You should also consider posting on the forums iof moneysavingexpert.com - Debt-Free Wannabe — MoneySavingExpert Forum

Plus contact this charity - StepChange Debt Charity - Free Expert Debt Advice.

Thank you!

[Old Greg]

Could you give her a lifetime lease on the house at a low fixed rent, or would the bankruptcy courts not look kindly on that?

Sorry for your troubles by the way.

Looking at your user name, does you Mum live in UK or Ireland? If the latter, try askaboutmoney.com where you may find good advice about protecting your mum for her lifetime.

What is your skill set by the way?

[jamesbrown]

I was daft and liquidated my limited company in March so I could get entrepreneurs tax relief. Since then I've had two contracts offered then withdrawn at the last minute due to financial constraints - so no company vehicle anymore to claim BBL or furlough.

Ah. In that case, your best bet is probably some expert advice along the lines that SE mentions above.

I hope it works out for you.

[luimneach2005]

Could you give her a lifetime lease on the house at a low fixed rent, or would the bankruptcy courts not look kindly on that?

Sorry for your troubles by the way.

Looking at your user name, does you Mum live in UK or Ireland? If the latter, try askaboutmoney.com where you may find good advice about protecting your mum for her lifetime.

What is your skill set by the way?

Ha yes Irish but lives in Scotland.
Would a lifetime lease protect the house while she's alive?

I was an exec - crap at tech these days but good at building tech teams, hadn't used a cv in 15 years, used to being asked to come work places - now suddenly 50 and a pandemic and Brexit all in one year ?

[NotAllThere]

If you have 17K in savings and owe HMRC tax, why not pay the tax and then claim UC?