Had enough

Energised

Hey everyone. Not really sure what anyone can say to this. I guess I just need to get it all out.

I'm 24, I've been in debt since I was 18. I don't wish to distribute blame to anyone but myself but here we go!

When I was 18, I'd had my natwest account for about 2 years. I went to my bank one day and noticed my "availible balance" was £532. At the time I only earned about £170 a week so had never known such money. I phone and found NW had given me a £500 overdraft. Being 18 and stupid, I went out and spent £500 in a weekend.

I'd gotten the taste.

Liverpool Victoria then saw fit to give me a £7,000 loan, which I'm still paying off 6 years later (I then changed it to 9,000 when I fell into arrears the first time) and I somehow still have over £6,000 outstanding.

Add to that to enormously high rate credit cards (Vanquis and Cap One) three catelogues and a couple of other things tot up to just short of 10k.

I'm 24 and I've had enough. I feel like this debt has robbed me of several years of my life and I can't carry on anymore. I'm about to lose my job, my parents have very kindly offered to help me get my life back and have a fresh start.

I'm going to move back home for 6 months or so until I find a new job. In the mean time, I'm hopefully going to declare myself bankrupt and gain a new start to life where I don't have to wake up every morning after a terrible worried nights sleep panicking about phone calls and letters.

In 2 months my only income will be JSA and I will have no assets apart from a guitar, which I'll miss.

I really feel like I have to do this, I've recently been diagnosed with depression and I'm terrible with stress and anxiety. It's odd, because I remember being 18, incredibly calm, well able to deal with stress and pressure and slowly but surely, letter by letter, phone call by phone call I've been wittled down to the mess I am today.

A clean start is what I need.

One quick question if possible. Having 10k worth of debt at 19 obviously meant I couldn't go to university. I'd like to go, would being bankrupt (undischarged or otherwise) stop me from obtaining student finance?

Another question if possible. I'll have two months wages coming in but will then be unemployed. I don't want to be left with nothing to live on for a couple of months while I find new work. Would I be able to take some of that money out of my account and keep it as cash so I have something to live on?

I feel better for getting that out!

Sorry for the rant

peachyprice

Hi Energised,

Have a read here http://forums.moneysavingexpert.com/showthread.html?t=1385275

If you can hang on for a few more months you may be a good candidate for a news thing coming out called a Debt Relief Order, it's an alternative to bankruptcy aimed at people with no assets, low income and debts under £15k. Details are in the link above.

Whatever you decide to do it's important you get advice from one of the debt charities to have your options explained in full.

Hang on in there, it can be sorted.

startagain_2

Hello Energised and welcome to "rantsville"

I wonder just how many of us could say that your story could so easily be our stories as well....
I started off small in borrowing terms and it all just got out of hand. I don't think it helps that people with previous difficulties only get offered credit with very high rates of interst - making the problem worse.
I agree with peachy - it sounds like the new Debt Relief Order scheme would be a good thing for you, and April will be here before we know it.
Your parents are helping as well, this will be a very valuable experience for you once it is all sorted (and it will be) you can move on all the wiser for it.
My very best wishes
SA

maxmycardagain

unless the guitar is a genuine Les Paul/Gibson/Stratocaster signed by jimmy page or eric clapton the chances are you wont lose it...

http://uk.youtube.com/watch?v=IwlnTL3fpoo

http://uk.youtube.com/watch?v=0vfdW74modM&feature=related

Energised

peachyprice wrote: »

Hi Energised,

Have a read here http://forums.moneysavingexpert.comT/showthread.html?t=1385275

If you can hang on for a few more months you may be a good candidate for a news thing coming out called a Debt Relief Order, it's an alternative to bankruptcy aimed at people with no assets, low income and debts under £15k. Details are in the link above.

Whatever you decide to do it's important you get advice from one of the debt charities to have your options explained in full.

Hang on in there, it can be sorted.

That looks really interesting. I will, in effect have no money and be on JSA. Whilst it'll be the first time in my life, it looks like it might be the right time if I'm able to do that. Thank you very much!

Energised

startagain wrote: »

Hello Energised and welcome to "rantsville"

I wonder just how many of us could say that your story could so easily be our stories as well....
I started off small in borrowing terms and it all just got out of hand. I don't think it helps that people with previous difficulties only get offered credit with very high rates of interst - making the problem worse.
I agree with peachy - it sounds like the new Debt Relief Order scheme would be a good thing for you, and April will be here before we know it.
Your parents are helping as well, this will be a very valuable experience for you once it is all sorted (and it will be) you can move on all the wiser for it.
My very best wishes
SA

It's nice to know I'm not on my own. I'm sure lots of us know how it is. Couldn't sleep a wink last night, when you're there at 3am with all these things on your mind it's really difficult to think anything other than you're the only person in the world with problems.

My mum and dad have been fantastic. It's hard at 24 swallowing your pride and moving home for a bit, but hey. We all deserve a second chance right?

Thanks
It's helped so much doing the above.

Energised

maxmycardagain wrote: »

unless the guitar is a genuine Les Paul/Gibson/Stratocaster signed by jimmy page or eric clapton the chances are you wont lose it...

http://uk.youtube.com/watch?v=IwlnTL3fpoo

http://uk.youtube.com/watch?v=0vfdW74modM&feature=related

Haha it's not. That said, a lot of my debt was accrued on buying guitars and various guitar equipment :$. Not good I know, I've sold most of it on. I couldn't take selling my first guitar though, Yamaha Pacifica 112. Paid £200 for it 5 years ago hehe. Black with a maple fretboard so I can pretend I'm Dave Gilmour .

Thanks for the best of Paige link, really enjoying it. God Led Zep rock.

dalip

We all do silly things when we are young and nieve. You are right everybody deserves a second chance,so that we can learn from our mistakes. Keep asking questions. The more you know the better able you are to deal with things.Dx

Energised

Thank you Dalip.

I've certainly learned a lot about dealing with creditors and debt in general. The only things I'll try to obtain credit for ever again is student loans and maybe a mortgage one day!

Thanks everyone .

startagain_2

dalip wrote: »

We all do silly things when we are young and nieve. You are right everybody deserves a second chance,so that we can learn from our mistakes. Keep asking questions. The more you know the better able you are to deal with things.Dx

And some of us never grow out of it.............

even when they have mucked things up once before!!!

No names - just a very red face!

SA

holchar

hi, i can really relate to your story , i just wanted to add that i have recently necome Br and im now in the process of applying for financial assistance to begin my degree with the OU, i have read through most things and have found no reason for BR effecting my application, I work part time with twin girls and you can apply if you claim certain benefits ie JS .
More importantly you are thinking about making a change and thats fantastic, its about taking small steps to make big changes in your life