Desperate in debt :( ...and pregnant

desperate_preggo

I need help... At present I live with my partner, we are expecting (due the beginning of June) and we've just had a summons for not paying our council tax - we owe about £600. There is no way we can afford to pay it and it's just another block on the jenga stack that is our money situation at the moment, any day it's going to stop balancing and come crashing down around our ears..

He runs a small internet based business and I work a a pub... I get paid about £150 a week, after deductions, but am going to have to stop working in a month or two, and the business is just balancing, any profit we do make goes on paying what we owe...

I was considering going bankrupt but I can't afford to and the total value of debt is only about £8k and apparently my motives for going bankrupt would be questioned. I have defaulted on all my accounts and am trying to sort some kind of payment with the bank.. And his credit is ok... I'm seriously panicking because if the council go down the insolvency route will it affect his business/his source of income?

The business is his dream so he won't get even a part time job and I do want it to work but he's so stubborn... I really think he needs to get an overdraft (of about £1500 - £2000) for his business account so we can get a good base level of stock up cos at the moment we can only buy stock in when it has been sold, which means customers have to wait longer which could potentially lose us business... But he refuses to entertain the idea saying he won't borrow in the businesss name.

My hormones don't help at the mo either but it's so frustrating. The business is a good, profitable business... Our sales have been good for this year, so far, despite the 'r' word but we're struggling to get stock in to complete peoples orders within 3 weeks or so, which is rubbish

I keep seeing if we're eligable for any kind of benefits/help but we can't get tax credits cos we don't work enough hours and we're not eligable for low income because we work too much (?) I'm bringing in £7,800 a year... if I'm not ill or off work... how is that not a low income?

I don't know what to do... citizens advice we're friendly enough but not much help... I'm hoping the advice I get from here is going to lift me up a bit,

Any advice would be so appreciated

RAS

Welcome

If the council have a liability order on the debt, it would not make any difference if you were to go bankrupt, and anyway, you are jointly and severally liable for council tax so the whole sum would become OHs responsibility.

You need to talk to one of the debt charities, to find out if you will get any maternity grants and how much you will get once your child is born.

What support will your employer offer?

You have not been working full-time, based on your income?

needtopaymydebts

hi
i know it might not be much but there is a new maternity grant coming in for anyone with a due date later than April 09. This is about £190 and is not means tested at all, I think you need to get a form from your midwife to apply for it so hopefully she will be able to help you further with this one.

good luck

desperate_preggo

I'm not eligible for smp as haven't been working there long enough, but can get ma - up to £117 a week, I think.
I have been working 25 - 30 hours a week, full time.
Everyone, after Apr 09, who gives birth is eligible for a £190 grant but as I don't receive any other benefits I think that is all I am going to get..

needtopaymydebts

sorry if i've completely missed something but once your baby is born shouldn't you be eligible to Family Allowance (or whatever it is called?) and Child Tax Credit? or are these linked to work?

LittleMissKitty

Once you get child tax credits apply for a Sure start maternity grant within three months of baby being born too. It's £500 and I'd be incredibly surprised if you weren't entitled to it given your financial circumstances.

Kitty x

carkeyz

Hi hun!
Just wanted to pop and and say keep calm... remember that little bean in there!
I am 34 weeks pregnant... due 7th April so made the cut off point for the grant by a day phew!
Speak to the job centre as you you may be entitled to the Sure Start Maternity Grant which is £500!
With regards to OH business get him to speak to a business financial adviser, they may agree with you and that may convince him to get over draft but to be honest I wouldnt recommend more debt.... its never a good thing especially when your about to have a baby.
I had our lightbulb moment in October when I was about 3 months pregnant and started looking into how we were going to keep paying our debts when I left work and to be honest we couldnt have if it wasnt for starting a debt management programme.... look at list of charitys that offer this service. I got all of this sorted and OH just pottered along, still dragging me down by getting money out and spending it on crap.... he had his LB moment two days ago, he now plays an active part in our finances, well has for 2 days lol and seems to "get it" that he is going to be the main income provider for the next year and now we get little hands and feet sticking out my stomach he knows there is a little miss in there that needs paying for too!

I would defo contact CCCS or someone cause bankrupcy really is a last resort and I should imagine you will never be able to get a good loan/credit card or mortgage again, although I think it stays on your file for 6 years they can ask "have you ever been made bankrupt" but I dont know too much about it.

Good luck with the bump hun and sorry for huuuuuge post!

Carla x