The diary of the bankrupt

MyMoneyTime

Thanks for all the comments once again.

Today has been a positive day I would say with me and hubby doing lots of chatting whilst the kids were playing in the garden.

I suggested he read my last thread and this one as he would find some of his questions answered. I also suggested he read Scarletts diary and he got really involved in it - he told me that he had read up to the part where she is about to move in - like he was reading a novel, which it is I suppose! She writes it all so well and it really helps.

I feel as if we are in the same place today - both knowing that it is the way forward but not too sure if we have the guts to take the plunge. Our main worry is the creditors calling every five minutes when we start to not pay our bills.

Tomorrow its off to the CAB in the hope we can see someone in their two hour slot twice a week! I shall type up all my questions after posting this as I know when I get there, all questions will be forgotten and I shall just ramble about insignificant things and leave feeling just as confused.

OH made a good point today which was that it doesn't matter where we live, I will still be checking the bank account everyday, feeding the kids and tucking them up in bed, moaning about work, not going to bed early enough, etc etc etc. We will still have the same friends, same family, same interests, same favourite tele programmes just somewhere different and with no debt! True words and after watching Comic Relief this year, it hits home just how much we do have.


TOPIC OF THE DAY - IPA

I have read about IPAs and understand that if your circumstances are subject to change, ie getting a job, then your case is looked at again to see if you could afford an IPA. I assume therefore that an IPA is based on your SOA when you go BR (getting used to these abbreviations!) and if you have an increase or decrease in income, it changes accordingly.

Just wondered about peoples experiences with IPAs

MyMoneyTime

Yes, we are both going BR - I often write in the singular because its me doing most of the paperwork!

Thanks for the comments - slowly and surely I am getting there with this SOA business!

MyMoneyTime

The decision is made - we are going BR - although I still have the hope a fairy godmother will appear and it won't be necessary :rolleyes:

I am about to cancel direct debits but could you please advise on what, if any, I should keep going and just have enough money in the account to cover them - OH is up for cancelling it all but I am undecided on things like a TV licence where we will need one when we rent so why not just pay it??


Mortgage - obviously cancel
Sec Loan - obviously cancel
Credit cards aren't direct debit but I obviously won't pay them
Council Tax - assume I cancel as we won't be in the house anyway for much longer
Child Trust Funds - assume the money will stay in their acc and we can reinstate when we are settled
Mobile - do we just keep paying and tell them we have moved and they need never know?
Car Ins - surely we have to keep this going or it will be void
Life Ins - expensive at £114 a month but don't want to run the risk of us being knocked down by a bus and we have made our policy void and the kids get nothing. However, as its mortgage linked would they not pay out anyway?
Buildings and Contents Ins - surely we are still responsible for the house until its repossessed and if there was a fire when its empty would we be liable for the rebuild?
TV Licence - we will need one when we rent so why stop paying?
Gas and Elec and Water - how quick would they cut us off as we are still living here after all - also we will need utilities in the future so don't want to upset them
Sky - could live without internet (use in laws PC if necessary) and the tv for a while if they cut it off and suppose we could have it again in the rented house in the future or would they decline us?
Landline - probably like them to cut it off so the creditors can't get me!
Student Loan - this will not go into the BR pot so surely we have to maintain the payments
Sky Repair - pointless if we cancel sky I suppose!
Pension - OH has an Abbey Life pension - if we cancel, can we reinstate when settled - what will happen to it? should we keep this one going?
Paymentshield - cover for mortgage and secured loan - speaks for itself but I wanted to include everything for my own benefit!
Union - as they are currently fighting for OH unfair dismissal, I guess we need to keep this one up!

I am about to apply for a Co-op bank account and understand I shouldn't start using it for DD as it will get frozen but if we explain its purely for living expenses, it won't be frozen, is that correct? On the day of BR, we switch to a cash account - is that right???

Once the Barclays account is frozen (one listed above) and the DD are no longer paid, we will obviously get letters from the suppliers and we can explain we are BR and give them new Co-op details can we?

I hope you can help me with all this because its very real now and I am such a worrier when it comes to the not paying people bit I don't want to upset people I need not upset.

Ta

PS - Overdraft interest - if they take this it will either eat the money we have put in for the DD we want to keep or we will go into our reserve account which incurs charges but as we are going BR I suppose that isn't our problem

MyMoneyTime

OK, I have just requested the forms from the Court and they asked for the form numbers so I said 6.27 and 6.28 but now I don't know if thats right!!!

Help!

Are they online if I have made my first mistake?

philnicandamy

MyMoneyTime wrote: »

OK, I have just requested the forms from the Court and they asked for the form numbers so I said 6.27 and 6.28 but now I don't know if thats right!!!

Help!

Are they online if I have made my first mistake?

6.27 (Debtors bankruptcy petition)
6.28 (Statement of affairs)

both these are the required forms for filing personal bankuptcy....so you did good NOT wrong at all
and yes they are available online from here

headoutofsand

"The decision is made - we are going BR - although I still have the hope a fairy godmother will appear and it won't be necessary :rolleyes: " Quote Mymoneytime

Be careful of "Fairy Godmothers" my business manager said she was one
and look where she got me.

MyMoneyTime

Thanks! don't know why I held on for so long with the Courts now - should have just asked on here in the first place!

I was about to print form 2 and then realised it is 30 pages long (gulp) so maybe I will wait for the post.

Once they are completed do you have to make an appointment to file them at Court? Is that it, you are BR, or do they make a date in the future - any estimation on how long this is at present? I know it must be different in different areas of the country but just roughly.

headoutofsand

MyMoneyTime wrote: »

Thanks! don't know why I held on for so long with the Courts now - should have just asked on here in the first place!

I was about to print form 2 and then realised it is 30 pages long (gulp) so maybe I will wait for the post.

Once they are completed do you have to make an appointment to file them at Court? Is that it, you are BR, or do they make a date in the future - any estimation on how long this is at present? I know it must be different in different areas of the country but just roughly.

4 weeks in Birmingham, at the last visit 2 March.

Tobiwan_Kenobi

MyMoneyTime wrote: »

Once they are completed do you have to make an appointment to file them at Court? Is that it, you are BR, or do they make a date in the future - any estimation on how long this is at present? I know it must be different in different areas of the country but just roughly.

You need to contact your local court and ask them as the processes vary hugely from one to the other. I just had to nip in one morning to go through paperwork with a clerk and pop back to collect my paperwork once the judge had approved it. Done! In other courts you have to make an appointment weeks/months in advance...

MyMoneyTime

Excuse me for bumping myself up but I could do with some advice on direct debits - please see my earlier post on this thread

Ta in advance x