Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@.

Search
  • FIRST POST
    • Deedee153
    • By Deedee153 2nd Dec 17, 10:59 AM
    • 3Posts
    • 0Thanks
    Deedee153
    Just completed the Stepchange debt remedy and my only option was to go bankrupt
    • #1
    • 2nd Dec 17, 10:59 AM
    Just completed the Stepchange debt remedy and my only option was to go bankrupt 2nd Dec 17 at 10:59 AM
    They are sending me out a pack. Could anybody point me in the right direction as to where I would find information about what bankruptcy actually is. I have loads of questions unanswered I donít know if Iím best just phoning Stepchange and asking them?

    I have my car on finance (although Iím not sure if itís classed as a personal loan or car finance) I basically applied for car finance through zuto who got me a loan I then went and picked a car at local garage and then informed zuto who phoned car company and paid for car if that makes sense?) I have 5 years of finance for it Iíve paid nearly 2 full years never missed a payment. My worry is I will need to give my car back as itís the only way I can keep my job.

    I also live in Scotland if that makes any difference to Council Tax but I owe them about £5500 I know this is all 100% my fault but I really have got myself into some mess financially, Will bankruptcy stop them from arresting my wages and wipe the arrears so I can start a fresh?

    Last question do I pay to go bankrupt and if so how much is it and does it just mean i will be locked in to an arranged payment plan for so many years? Then Iím totally debt free.

    Iím sorry for all the questions I just want to sort my finances out once and for all and get myself back into a position where Iím debt free and can breath again.
Page 1
    • Deedee153
    • By Deedee153 2nd Dec 17, 11:20 AM
    • 3 Posts
    • 0 Thanks
    Deedee153
    • #2
    • 2nd Dec 17, 11:20 AM
    • #2
    • 2nd Dec 17, 11:20 AM
    They have sent me an email with information on bankruptcy and what it actually means so just need the car and Council Tax questions answered thanks
    • luvchocolate
    • By luvchocolate 2nd Dec 17, 4:35 PM
    • 1,486 Posts
    • 1,337 Thanks
    luvchocolate
    • #3
    • 2nd Dec 17, 4:35 PM
    • #3
    • 2nd Dec 17, 4:35 PM
    Hi read everything you can...the stickies on the top of the page on this board..search for the welcome to the the B.R board, also read on the I.S website a lot of information on there.
    • ToxtethO'Grady
    • By ToxtethO'Grady 2nd Dec 17, 8:24 PM
    • 80 Posts
    • 39 Thanks
    ToxtethO'Grady
    • #4
    • 2nd Dec 17, 8:24 PM
    • #4
    • 2nd Dec 17, 8:24 PM
    1. Car finance - time to dig out the agreement - if it's a personal loan it will say it's a Fixed Sum Loan Agreement on the paperwork, this means you own the car and the money owed to zuto is a loan and goes in to the BR. If it's hire purchase/conditional sale or personal contract purchase you don't own the car xuto do and BR may invalidate your agreement. You can argue the car is essential for work or travel however if the monthly HP payments are higher than £200 the insolvency service may not allow it. But you will deal with that if it happens don't worry about it until you know for definite what the agreement is
    2. Council tax - yes it will stop them from arresting your wages and it will go in to the BR - if you are up to date with this years council tax it may not go in to the BR but if they have taken away the option to pay by instalments for this year it will go in to the BR. REMEMBER if it does you will have to find your council tax money from next April so factor that in to your budget and if an IPA is set remind the insolvency service that you have to start paying your council tax from April 2018.

    Hope that helps but the free debt advice agencies will give more specific advice when you speak to them.
    • Deedee153
    • By Deedee153 3rd Dec 17, 11:20 AM
    • 3 Posts
    • 0 Thanks
    Deedee153
    • #5
    • 3rd Dec 17, 11:20 AM
    • #5
    • 3rd Dec 17, 11:20 AM
    Thanks for the information, I have just double checked the paperwork it says hire purchase on it so I donít own it for another 3 years until agreement is over. My monthly payments are £101 so hopefully I still get to keep it. Iím going to phone StepChange tomorrow morning when they open to ask another few questions before sending in my paper work. Thanks again
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

3,254Posts Today

7,607Users online

Martin's Twitter