Please help me, SOA completed

Eager_Elephant

My initial thoughts are that your husband should look in the possibility of bankruptcy as he has the highest debts and is unlikely to pay them off in a reasonable time frame.

The minus points of this are that you would have problems remortgaging in the future.

Bankruptcy does not necessarily mean you will lose your home because you will have the chance to buy your partner's interest in the property for £1.00 if it is in negative equity. Obviously you would still have to pay the secured loan and the mortgage to keep the roof over your head but at least then the debts will be under £10,000 which might be a reasonable amount to clear.

If bankruptcy is a no then I think a DMP is the best option because you don't have another excess income for an IVA.

AS someone above says make sure you pay all your creditors something, although you might not have contact from some for a while you don't know what they are planning.

Unsecured debt can become secured if the company gets a County Court Judgement and asks for a forthwith judgement for you to pay the full balance in 28 days, if you don't they can apply for a Charging Order. Obviously at the moment it would not be worth them trying to force the sale of your home as there is no equity but if house prices rise in the future then this is something they might consider.

This is not to scare you but to make you aware of what they can do.

EE

bailey59

I should have made it a bit clearer about the life cover/critical illness cover, I work in the financial services industry (I know I should know better then) I got the life cover through work so I could get the commission, if I cancel the cover I will have to pay the commission back to the company approx 700.00 I think! I will look at the shopping bill as suggested. I will send a payment off to all my creditors with a letter. I contacted CCCS today and didnt realise I was doing anything wrong by keeping upto date with my other creditors, I thought it would look better if I had kept some upto date. I know now that is not the best thing to do. I will look at the mortgage I didnt realise thast I could switch to interest only if I was fixed, I though there would be early repayment charges.

What I really need to know is what do I do next? Howdo I decide what is the best route to follow? I have no idea where to turn to even after speaking to CCCS

Eager_Elephant

What you need to do is sit down with your partner and go through the solutions available to see which one meets your needs.

By doing this you may have further questions so come back here and hopefully we can answer them!!

EE

moneybuster

Hi you haven't got a figure for lloyds tsb and cap 1do you know what they are as you are showing money available at the end of the month,, if you work in the financial sector the bankruptcy could be not the way to go, have a word with one of the debt charities CCCS or Payplan, you will need all you outstanding amounts and out goings they will be able to reccomend a way forward.

regards MB

tallyhoh

I know this is a drop in the ocean at the moment but go through your cupboards/freezer/fridge & check what you have to make meals with. I bet you have enough lying round to last a couple of weeks with just buying a bit of milk etc.