£92k debt, time to face up to it!

geoffky

i too would say sod it and go br..its over one hell of a lot quicker,,,,i think you might get a few years down the line and wish you had gone br and think it would be all over by now...ps theres no shame in br.. just a shame you have to do it.

GirlyGirl_2

Sorry you are correct it's an IVA but any creditor can apply to the high court make you bankrupt at any time and that is a fact, as geoffky says I'm sorry but the future pain v's the implications of getting it over with would not make me hesitate for a moment.

Plus and I could be wrong, the companies don't have to accept an DMP do they ? So you could default, stuff up your credit rating and then the credit card companies refuse to accept it.

hypno06

Bankruptcy is coming across here as being the "simple" option, but I think that if you ask all those who have been made bankrupt, it is anything but easy. It isn't just a case of saying "that's it, no debt" and everything is ok.

So, it IS an option, as is DMP, as is paying it off the "conventional" way, but it is not as simple as some people are making it out to be, from what I can see.

new2civvystreet

Hey gonnawin. I think it's brilliant that you're facing up to this debt in the way you are. I know that in many cases bankruptcy is the only option and contrary to the belief of some of the trolls on here, is not an easy choice to 'wipe the slate clean'. You've accepted that you are the one who borrowed this money and you want to try your hardest to pay it back before resorting to the 'last resort'. The very best of luck with whichever way you're going to tackle this.

Lets_do_it_together

Hi I'm also new to this site - 1st post

I know how you feel ! Its tough isn't - 82k in debt 12 months ago now down to £78000.

I agree with some previous posts, contact payplan if not just for advice they really are good.

I think you can handle this on your own (with all our help) The last 12 months have been tough and you spend the majority of the time beating yourself up about it but its tome to take some action.

Personally i think we should all pull to together and start a business, the will and drive to pay off our debt - this time next year we'll be .........

Keep ya chin up

Lets_do_it_together

Hi I'm also new to this site - 1st post

I know how you feel ! Its tough isn't - 82k in debt 12 months ago now down to £78000.

I agree with some previous posts, contact payplan if not just for advice they really are good.

I think you can handle this on your own (with all our help) The last 12 months have been tough and you spend the majority of the time beating yourself up about it but its tome to take some action.

Personally i think we should all pull to together and start a business, the will and drive to pay off our debt - this time next year we'll be .........:j

Keep ya chin up

Lets_do_it_together

Oops posted twice - sorry said i'm new to this...lol

AMG2B

Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 3100
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 3100

Monthly Expense Details
Mortgage................................ 490
Secured loan repayments................. 270
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 60
Electricity............................. 40 - Your electric & gas payments are very high - there are 2 of us in our house and our payments are £40 a month for both (and we're not even that careful . I know your other half won't give you money but maybe you could save energy together (as that would surely benefit him too!)
Gas..................................... 40
Oil..................................... 0
Water rates............................. 30
Telephone (land line)................... 14
Mobile phone............................ 45 - See if you can change plan even if you're on a contract
TV Licence.............................. 7
Satellite/Cable TV...................... 5
Internet Services....................... 13
Groceries etc. ......................... 120 - Again for 2 people and 2 dogs this is quite high - our grocery bill is about £80 each per month.
Clothing................................ 20
Petrol/diesel........................... 210 - I have a long work jouney as well so understand this - make sure you're collecting necar/tesco points etc. and that you take advantage of any supermarket offers where if you spend over a certain amount you get 5p a litre off
Road tax................................ 10
Car Insurance........................... 93 - Again - very high - shop around (use quidco for cashback)
Car maintenance (including MOT)......... 20
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 25
Buildings insurance..................... 20 This is quite high - shop around (use quidco for cashback) Ours is 200 per year for buildings & contents.
Contents insurance...................... 20
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 5
Haircuts................................ 10
Entertainment........................... 20
Holiday................................. 0
Emergency fund.......................... 0
House repairs contingency............... 15
Meals at work........................... 15 - Take a packed lunch
Dog Food................................ 20
Contact Lenses.......................... 30 - Do you need special lenses? I get new lenses every 2 weeks with Boots (not quite as good as dailies, but I take some daily ones for holiday) and it only costs me £15 per month :j
Total monthly expenses.................. 1667

Assets
Cash.................................... 0
House value (Gross)..................... 175000
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 175000

Secured Debts
Description....................Debt......Monthly.. .APR
Mortgage...................... 147000...(490)......0
Secured Debt.................. 19500....(270)......0
Total secured debts........... 166500....-.........-

Unsecured Debts
Description....................Debt......Monthly.. .APR
American Express...............4300......105.......0
Barclaycard....................1840......45....... .0
BCT (Car Finance)..............11000.....380.......0
MBNA Personal Loan.............14500.....253.......0
HSBC Overdraft.................500.......3.........0
HSBC Personal Loan.............16200.....235.......0
HSBC Credit Card...............6400......155.......0
Welcome Finance................8000......251.......0
CitiFinancial..................10000.....270...... .0
Capital One....................1000......40........0
Total unsecured debts..........73740.....1737......-

Monthly Budget Summary
Total monthly income.................... 3,100
Expenses (including secured debts)....... 1,667
Available for debt repayments........... 1,433
Monthly UNsecured debt repayments....... 1,737
Surplus(deficit if negative)............ -304

Personal Balance Sheet Summary
Total assets (things you own)........... 175,000
Total Secured debt...................... -166,500
Total Unsecured debt.................... -73,740
Net Assets.............................. -65,240

Just a few comments - I don't know anything about DMPs, but here are some ideas on how to save money whatever you do. I know you'll be able to do this - just hang on in there

simone83

I know its only a small contribution in the grand scheme. But, I buy my contacts online and find them much cheaper (£50.00 for 6 months from asda).

Also I find this site amazing for advice and support. Ask anything, any time and someone out there is willing to help.

Some people will be judgemental, but thats the world we live in I'm affraid - people who try and make themselves feel better by getting at others ( in a word - Shallow!!).

good luck.

Jacks_xxx

caveatvenditor wrote: »

I have every right to be judgemental because its irresponible idiots like the OP who are living way above their means...borrowing money that they cant afford to pay back that are causing the supply of money in to the economy to be retracted....precursoring recession and ecomonic decline - meaning my job and livelihood is at risk even though I have been sensible in the way I live.

Why dont you wind your neck back in you pious, self-righteous, ignorant, bourgeois individual.

So are you saying that you *can't* explain why you recommended Bankruptcy then??? :rotfl:

Or were you just posting to beat someone when they were already down rather than trying to be helpful?


Gonnawin We all express our opinions pretty freely on here irrespective of our ability to play well with others, :rolleyes: but it's up to you to research all the options and pick the one that you think will work best for you.

The one thing I always say about bankruptcy as an option is that people can sometimes tend to view it as an instant miracle solution when it's often quite a quite lengthy process and even after it's "over" the ramifications can be long lasting.

You know how some women get so fixated on "The Wedding Day" that they don't give much thought to the marriage that comes afterwards? Some people can be like that about Bankruptcy - and anybody who is promoting it as a quick fix instant solution obvously has no idea what they're talking about.

Maybe you could have a good read around on the Bankruptcy Board and check it out thoroughly before you dismiss it as a possibility though? It's good to know that you covered all the bases before you make your decision.

On the subject of The Snowball - when we first used it, it said we would be paying off our debts until until 2028 which was 22 years away back in 2006 but we're in single figure thousands now and we hope to be debt free by Christmas 2008 or very soon afterwards.

We have had to make some pretty big lifestyle changes in order to achieve that though.

Please don't take any notice of the meanies.

Love Jacks xxx