Starting out

loulou5 · 25 October 2014 at 8:55AM

Hi.
I currently live with my partner, but my debts have reached such a massive amount for various reasons over the last few years that I am now going to be starting out again on my own. Just trying to get my head around the order to do things in. I have spoken to Stepchange who have advised an IVA, but due to the shame of having my details on a public register, this is not something I can do re my work. So it looks like a dmp for ever really. Perhaps I can swap later ? I need to find a new rental property so am I best to do this first, and will the credit checks be okay at this stage. My salary this month will go into my usual bank acc, and I can pay my minimums just, but then I need to open a new basic acc. Will any prospective landlord realize I have a basic account from my application, and realize I am a bad prospective tenant. I have never missed my rent so have good refs generally. Sorry so many things to think about.

sourcrates · 25 October 2014 at 9:19AM

Hi,
Should be no worries re the bank account, its not distinguishable from any other account, except there's no OD facility.
Does your work regularly check the insolvency register ?
What area do you work in ?

I was in an IVA for 6 years, not once did anyone come up to me and say,

"hey, saw your name on the insolvency register last night, wanna tell me about it ?"

I wouldn't dismiss this option out of hand, what are your specific worries ?

loulou5 · 25 October 2014 at 10:21AM

Hi.
Thanks for replying. I work in education and fear another member of staff, a parent or worse a student, knowing. When I searched the register i noticed a parent on there as again, an unusual name.
What if someone said something and I was asked to resign ?
Troubles are worse today as just opened a letter from the bank, giving intention of removing overdraft and closing my account. Think I will go into town today to try to open a Barclays basic acc. Will they ask me why or just know anyway ?
I guess with a tenancy app, worse case scenario, I will fail the referencing. If that happens, can I still go down the dmp route if then sharing house with partner, but possibly not in a relationship with ?. The current tenancy is in joint names, but we are not married.

sourcrates · 25 October 2014 at 10:54AM

Ok, first of all its not the end of the world, I think you are thinking everything along the lines of worst case scenario.
Cant help re the tenancy, but the basic bank account you can open online, depending which bank you choose, if you go into branch, just ask for a basic account with no OD, they all have different names for these accounts, I suggest you check out a few bank websites first.
Also can I suggest you get a bit more advice on your options, National Debtline are good, do you actually have a clause in your work contract that forbids any kind of insolvency ?

if not they cant fire you, or ask you to leave, IVA is quiet a common form of debt remedy these days.

[Deleted User] · 25 October 2014 at 11:42AM

Is it really necessary for you to move out and start again, on your own?

Generally speaking, living alone is more expensive than sharing, so moving out to live alone, would likely put you in a worse position, financially, than you are now.

Then there's the cost of actually moving, finding a deposit, and furnishing (and possibly decorating) the new place.

loulou5 · 25 October 2014 at 12:05PM

Hi.
Thanks for helping. The relationship has broken down, but fortunately my other half is prepared to pay my up front costs until I get my deposit back where I am now. I have all of my furniture anyway.
I know through Step change that I will have enough to pay my living costs, and still have some surplus for my dmp or iva. Really scary, but I ,m trying to remember that some are worse off and I have my health and a job.Not sure how it works, but have read threads where, folks, get paid and don't pay any creditors to enable them to build up a small emergency fund before a dmp etc. Not sure how moral that is, bu:(t if needs must ?

sourcrates · 25 October 2014 at 12:20PM

loulou5 wrote: »

Not sure how it works, but have read threads where, folks, get paid and don't pay any creditors to enable them to build up a small emergency fund before a dmp etc. Not sure how moral that is, bu:(t if needs must ?

That is actually a very good idea, its also a sign that you are taking steps to control the situation, which is also good.
An emergency fund will be a necessity in the coming months.

Aloofdragon · 26 October 2014 at 2:38AM

Hiya I am just in process of setting up A DMP with stepchange they make everything so so easy and they also send out a pack to open a Barclays basic account which is also a doddle and can be done without going into branch x

Starting out

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