Dont know what to do!

danbet

Hello
I have been on and off these forums over the last year - 18th months.
Finally reached the bottom of the barrel and am now totally screwed.

basically through bad decisions and head burying I have gotten myself in a total mess.

My wife has left me and taken the kids (this is the 2nd time as previously married) after she discovered what was going on. (tryed to keep the debts a secret)
So I have an outstanding mortgage of 83K and loan of 7K.
House is worth about 72K-75K.
After maintance I have £1100 left but these payments:
Mortgage: £561 - this is interest only
Loans : £425 - three loans (2 secured)
Council Tax £90

So thats ALL my money gone without
Gas-electricty-food-travel-tv-phone
and all the other stuff.
As this has been going on for months now I find myself in deeper sh*t.
I am in a cycle of going overdrawn (no facility!) so I then incur charges (about £100 a month) and find myself living off high interest month to month loans (Wonga)
I have started loaning off freinds and family and am now at the precipice.
As I also have about 10 outstanding debts.

All in all I have £3000 in different debts from the last 2 years or so.
(catalogues, Credit Cards, Store cards Etc)

I cannot go on like this and would appreciate any help.
Can anyone tell me what would happen if I just gave Northern Rock my keys back? I have missed about 4 payments in the last year and they have started charging me as I am behind. (£55 a month)
Is bankruptcy open to me?
Regards
Dan

miss_spooky

Hi Danbet,

Firstly welcome to the board. You will get some great advise from the peeps on here, who between us all have been through every drama that br and leading to br can bring. The hardest thing you've done is to take your head out of the sand & admit you have a problem.

There are a few things that you will need to do. Firstly speak to one of the debt charities - CAB go online for your nearest & opening times. National Debt Line - you can ring them, will have to hold a while but they will go thru the motions with you now. Or CCCS who have an online debt remedy where you can chat online. Or you can phone them but they will book you in for an appt. I went thru NDL and they were fantastic. Their numbers are in the help stickies in the top. When you go BR the Judge will aslo ask if you hae taken advise as it can be complicated.

Do a proper Statement of Affairs using this link . At the bottom after you've calculated it, press the MSE format button. It will open up a note pad. Just Select all & copy, then paste into this thread. Then we can get a better idea of what's happening.

http://www.makesenseofcards.com/soacalc.html

Do this for now, then we'll tackle the rest after you've taken advise & posted your SOA.

And don't panic.

Regards

Donna.

So_Sad_Angel

Hi Dan

I guess if you`ve been lurking you will know most of us already....but wanted to say `Hi` anyway.

You know that you can`t go on like this Sweetheart so take a step back...call one of the debt charities & start to look ahead.

Its good to talk & there is alwasy someone around that has `been there` as it were. If you need to PM please feel free.

Above all...take care of you & your health ...money stuff can be sorted.

Angiexx

FACEDUPTOITATLAST

Hi Danbet,

Just read your post and didn't want to read and run. There are a good bunch of guys on this forum who will be able to help you. Like Missspooky said, get you SOA on here, and someone will be along who can help you.

Take care.

Potential_Advisor

So_Sad_Angel wrote: »

Hi Dan

I guess if you`ve been lurking you will know most of us already....but wanted to say `Hi` anyway.

You know that you can`t go on like this Sweetheart so take a step back...call one of the debt charities & start to look ahead.

Its good to talk & there is alwasy someone around that has `been there` as it were. If you need to PM please feel free.

Above all...take care of you & your health ...money stuff can be sorted.

Angiexx

That is very good advice Danbet. Although it may be not be specific as to dealing with your problem right now, it is still good advice and, I would think, what you need to hear right now.

Good luck with dealing with it all, but remember there are people around to help you, God knows we have all made mistakes, I know I have.

Feelingfoolish_3

danbet wrote: »

Hello
I have been on and off these forums over the last year - 18th months.
Finally reached the bottom of the barrel and am now totally screwed.

basically through bad decisions and head burying I have gotten myself in a total mess.

My wife has left me and taken the kids (this is the 2nd time as previously married) after she discovered what was going on. (tryed to keep the debts a secret)
So I have an outstanding mortgage of 83K and loan of 7K.
House is worth about 72K-75K.
After maintance I have £1100 left but these payments:
Mortgage: £561 - this is interest only
Loans : £425 - three loans (2 secured)
Council Tax £90

So thats ALL my money gone without
Gas-electricty-food-travel-tv-phone
and all the other stuff.
As this has been going on for months now I find myself in deeper sh*t.
I am in a cycle of going overdrawn (no facility!) so I then incur charges (about £100 a month) and find myself living off high interest month to month loans (Wonga)
I have started loaning off freinds and family and am now at the precipice.
As I also have about 10 outstanding debts.

All in all I have £3000 in different debts from the last 2 years or so.
(catalogues, Credit Cards, Store cards Etc)

I cannot go on like this and would appreciate any help.
Can anyone tell me what would happen if I just gave Northern Rock my keys back? I have missed about 4 payments in the last year and they have started charging me as I am behind. (£55 a month)
Is bankruptcy open to me?
Regards
Dan

Hiya Dan

First things first is you need professional advice.

The one thing you MUST do immediately is change your bank account. Get an account with Barclays or The Co-op (providing you havent any debt with these). This will ensure the money you earn is your own.

You cant remain in your house unless your income increases, as you said your mortgage loans and council tax eat up your remaining money. Yes I would say from what you have said that bankrutpcy will give you a fresh start. (you could consider a lodger if this would help and stave off BR)

However health must come first so you need to get your head straight, stop paying the mortgage and sec loans and use this money to find somewhere to rent (if you do decide BR is for you then you need to ensure the LL is ok with this), once you have this sorted then you are ready for BR. I would imagine your rent will be about the size of the mortgage payment but then you wont have any secured loan payments so you will have more money.

Northern Rock wont start possession proceedings against you until you have 6 months worth of arrears and even then it is a lengthy(ish) process to get you to court and then evict but if you do everything step by step then you will have time.

This is my opinion however before you can go BR a judge will want to know you have sought advice from one of the debt advice agencies. Be aware though if you do a financial statement with them as you are then they will probably say you cant go BR whilst in a deficit posn but if you then do a financial statement as if you were paying rent then you will probably have enough to live on.

All of this is based on what you have said so please make an appointment with an advice agency. Feel free to PM me

Take care