Struggling with dh's debts

homeschooler

Hi

We are really struggling with dh's debts now. I went BR last week and hoped that things would be ok and we would be able to slowly clear his debts. He is self employed and is worried that if he goes BR he will lose his business. He has put his heart and soul into it and doesn't want to have to close it down. He is an engraver.

He owes all his debts to Lloyds TSB:

Loan £12000 got in Dec 2005 (originally borrowed £12000 paid for 2 years no problems been on DMP since Nov 2007 and still owes over £12437!!)

Lloyds Credit card £4786 last used summer 2005 but was making minimum repayments until Nov 2007. Since them been paying DMP.

Overdraft £1130 on his own personal account

Overdraft £2000 on what was our joint account but they will now come after him for.

We had arranged a DMP with Lloyds but this has expired now and from the middle of August they expect him to start paying in full and clear the arrears which there is no way we can afford. We were hoping to be able to continue on lower payments but they are refusing and we don't know what to do. I was hoping the days of being harassed constantly by creditors were over but it seems this won't be the case.

None of the money was used for the business. It was all general living costs to help us live when the business wasn't doing great. The business has around £500 of stock and machinery.

Will he be allowed to continue trading if he went BR?

Thanks
Emma

peachyprice

If he's a sole trader, then yes he can continue as normal.

homeschooler

Thanks Peachy Price.

He is a sole trader. We are starting to see that BR is pretty much our only option. His credit rating is screwed so couldn't refinance.

I will get him to contact CCCS and see what they advise us to do as Lloyds won't accept lower payments so i don't see what choice he has really but to go BR.

Thanks
Emma

fiveyearplan

Yes, if he is a sole trader he should be fine but remember he won't be able to use credit. I'm currently having cashflow problems with my business after BR but do feel better paying as I go than getting into debt.

How old are your children and do you see them ever going back to mainstream school?

homeschooler

He has always paid for stuff from the business in cash thankfully so he will be ok to carry on as normal. If we get a prepaid card then he should be able to order anything that needs paying over the phone.

fiveyearplan wrote: »

How old are your children and do you see them ever going back to mainstream school?

Our children are ds9 and dd6. We took the youngest out of school first after a term in reception cos she has selective mutism (a fear of speaking in public) and was unable to talk to her teacher. We gave the school tons of info on it and told them not to pressure her to speak as she would do so in her own time. The teacher continued to put pressure on her - "Are you going to speak to me today?!?" - and then told us that she couldn't teach her. dd was probably the best behaved child in the class - not disruptive, did whatever she was told apart from speak, well behaved. We were pretty shocked that her teacher said that but by then we were getting pretty disillusioned with the school so we decided to homeschool.

She has come on so well and although still a little shy she has no problem talking to people now once she has known them for an hour or two. She doesn't shut up lol! :j

Shortly after this we discovered that ds was being bullied and having things pinched from his bag and the school weren't doing anything about it. Also he had always struggled with reading and was on the 'dummy's table' at school (his words not mine!!)

Since taking him out his reading has really improved and where as before it was an absolute nightmare getting to even look at a book now he loves reading and his confidence overall has improved.

I love having them at home and being able to spend the time with them. I was never really able to do that when I was working. I love reading great books to them like Charlotte's Web, Mr Popper's Penguins, Faraway Tree, The Borrowers, Alice in Wonderland. I can't wait to do Narnia with them next year too.

As for the possibility of them going back into school at some point we haven't ruled it out. I think as long as we are all happy with homeschooling we will continue but if they wanted to go back than that would be ok too. When it comes to GCSE's etc then they can enter as an external candidate and just pay to sit the exam at a centre.

They have a hectic social life so don't miss out on any socialising. We go to a homeschool meet up once a week and ds still meets up with his friends from school once a fortnight or so and he goes to cubs and badgers. dd goes to rainbows and irish dancing. She loves it and I am so proud of her for having found the confidence to do something without her big brother being there to hold her hand. There's also plenty of kids by us so they are always in and out of one another's houses.

As you can probably tell I love homeschooling!!!

fiveyearplan

I have a cashplus prepaid card, he could also use debit card if he gets a Coop account (I have one of those too!).

I'm glad your homeschooling is going well, its just a shame you were forced to do it.

blueopal5577

what does dh stand for?

Baffled, scanned the glossary. Its become one of those things I just have to know!!!

Sure its obvious but my mind is a blank lol.

Sorry to butt in on thread but glossary isnt usually checked

Merry_Gentry

darling husband

blueopal5577

Thank You!!!