Don't know what to do re-debt

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michellen34
michellen34 Posts: 685 Forumite
in Debt-free wannabe
Hi everyone,

Very long story but my husband and i ran up debts of around £11,000 some time ago(5-6 years or more), we then split and i hid from them, binned letters don't answer phone etc as i'm on income support (no excuse i know but moneys tight as it is) and all the debts are in my name, feel sick just thinking about it. we are now considering getting back together after a long split and would like to start off on a new foot so to speak i think maybe i should go bankrutp ? as he is still on a low income and we have 3 kids to support , what do you guys think? don't know what to do about this mess i have got myself into , its at the stage where i don't even know what i owe to who!!
does anyone know how i would start to sort all this out - desperate!

Thanks in advance, Michelle.

Comments

  • Dolly_Smith
    Dolly_Smith Posts: 265 Forumite
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    well the first step is to find out what you owe and to whom! Get a copy of your credit report or dig out any paperwork you have. You need to do this to take control!
  • Biffa
    Biffa Posts: 321 Forumite
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    You'll also need to post a SOA so we can have a look. Bankruptcy is quite drastic - been there, done that, couldn't afford the t-shirt, so you'll also need to get proper advice from somewhere like CCCS or Payplan. It might not be as bad as you think!
    BCSC # 9 and proud! :beer:
  • beverleyhills
    beverleyhills Posts: 747 Forumite
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    Hello Michelle. Welcome to MSE. Take it a step at a time.

    The very helpful people on this board will want some more informationto help you come to a decision.

    Read the stickies at the top of the board.

    List your income and your household expenses. This may take a bit of time. Find or make a small notebook to keep a spending diary.

    Make a cup of tea and take a deep breath. Look for any paperwork that you have on your debts. People will advise you how to find out if you have desposed of the bills.

    Hope that the reconciliation is going well. Sleep well tonight as you have taken the first step towards sorting your finances
    'You can't change the past, you can only change the future' Gary Boulet.

    'Show me the person who never makes a mistake and I'll show you the person who never makes anything'. Anon
  • rog2
    rog2 Posts: 11,650 Forumite
    First Post Combo Breaker
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    When you say that these debts are 5 or 6 years old - have you actually communicated with the creditors in those 5 - 6 years? If not, some of these debts may no longer be enforceable under the 'statute barred' legislation.
    If you haven't done so, sort out a list of ALL of the debts, along with dates etc.
    If these debts are less than 6 years old, it could be possible to talk to PAYPLAN or CCCS and set up a Debt Management Plan.
    I am NOT, nor do I profess to be, a Qualified Debt Adviser. I have made MANY mistakes and have OFTEN been the unwitting victim of the the shamefull tactics of the Financial Industry.
    If any of my experiences, or the knowledge that I have gained from those experiences, can help anyone who finds themselves in similar circumstances, then my experiences have not been in vain.

    HMRC Bankruptcy Statistic - 26th October 2006 - 23rd April 2007 BCSC Member No. 7

    DFW Nerd # 166 PROUD TO BE DEALING WITH MY DEBTS
  • michellen34
    michellen34 Posts: 685 Forumite
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    Hiya everyone,

    Thank you so much for your replys.

    I'm having a good sort out today and trying to find anything i can to do with the debts, (will also not thow the letters away as soon as i get them!)
    Think its time to face this!!

    I havent had any communication with most of the debts i owe, apart from lloyds tsb for my loan and credit card.

    whats an SOA please (i think thats what i saw mentioned?)

    As soon as i can i will post what my debts etc are , and also does anyone know how i can get a copy of my credit report?

    Thanks again , Michelle x
  • CLAPTON
    CLAPTON Posts: 41,865 Forumite
    Combo Breaker First Post
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    firstly proceed with some caution.

    it all depends upon whether you wish to pay your debts off or you dont or you can't.

    if your creditors know your current address then there is no harm in gettting your credit records from the Credit Record Agencies (CRAs)
    If, however, they dont know your address then your contacting the CRAs will cause your address to be updated.

    If debts are over 6 years old and you haven't 'acknowledged' them during this time then they become unenforceable in law. (Statute of Limitations)
    So if some debts are over five years old you may wish to wait until they are six years old before becoming more visable.

    I would suggest you seek advice form CCCS or Payplan who will give you free advice.
    but a useful site about Statute of limitaitons:

    http://www.hmrc.gov.uk/manuals/IHTmanual/IHTM28384.htm

    and details fo the three CRAs (the forth is a free site but does not yet cover all of the UK)


    http://www.experian.co.uk/consumer/index.html

    https://www.econsumer.equifax.co.uk/consumer/uk/sitepage.ehtml?forward=gb_elearning_credit14

    http://www.callcredit.plc.uk/corporate_scripts/consumer_creditreport.asp

    http://www.annualcreditreport.co.uk/
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