Easy way out ?

Mike_St_Helens

Afternoon.... Im quite new here but have a burning desire to ask a question as there are some strong yet firm opinions on this board.:rolleyes:

Ive been reading a few threads and notices a mass of difference of opinion in the Bankrupcy / IVA issues....

Some people seem to think they are the easy way out....A way to get away from debt that they have ammassed.... etc etc....

However I am in a position... me and OH £80k+ in debt due to a 'business error' (and some naught spending when i thought things were good) and there is no way on earth we can get out of it this side of our working lives... does anyone have any other ideas ?

Thanks:A

MD

GreyPilgrim

Know nowt about bankruptcy apart from what I've read on MSE - but be prepared for a deluge of replies

nearlyrich

As this is a place of mutual support for people in debt hopefully you will get helpful and supportive replies, I am working right now so I don't have time to do a full reply I will come back later, but please people be nice;)

System

I don't think people have a problem with people whom have genuine reasons, such as business going wrong etc. This is why the bankrupcy laws have just recently been changed. ie to encourage more people into business without the fear of "what if"

The people who spend like water on things they know they cannot afford but want and then declare "oh ill go bankrupt and start all over again!" or "it will take to long" - usually only a few years or "I cant stand paying it back, its not fair" are the people with whom most of us have the issue. These people then wind up people who genuinly realise they owe money and arent going to shirk their responsabilities.

Toto

Well, seeing as bankruptcy means you both lose your jobs I can't see that would be the easy way out and I am actually not sure that a judge would question it to be honest. Wouldn't the judge want you to look at alternatives seeing as at the moment you could actually pay back a bunch of this debt with either a dmp (all be it a very long one) or an IVA. But I am certainly no expert at all, just a fleeting thought really.

I do want to say though that I completely understand what you are going through. I have a lot of debt, 60k, which is personal but because of a business. I have been up and down, changing my mind, searching for a solution on how to get through this. I have just this week decided to sell my house and pay it all off that way, I am on an IO mortgage which costs a fortune, so I may as well sell up, pay off the debt and start saving money. I am lucky, I do have equity here to cover the debt. But that not quite knowing which way to go is awful and I empathise.

Mike_St_Helens

Thanks TOTO, Yeah, we cant go Bankrupt due to our jobs, and my 'plan is a dmpfor 6-12 months then an IVA... if accepted !

It sounds daft when i say well i dont want to sell my home, i truly dont, its only small and all more important mine... abeit mortgaged ! Im on an IO mort too.... but with a dmp and no spare cash, when if ever am i going to turn this nightmare around !

and with no spare money.. what the hell do you all do to have a nice time.. a night out or break away now and then... or is this the deamon i now have to face !

MD

Emmzi

MSH,

most new folk start with an SOA to let the debt nerds have enough info to help.. there's a sticky post called 'first time posters' which explains this. Then people can offer an informed opinion.

Welcome and good luck.

xx

Mike_St_Helens

Hi Emzie.. I did this yeaterday ... do i have to do it on each post ?

Thanks

MD

Toto

Well, you may have gone down, but you went down trying. That's my opinion and for that I personally have respect. Yes it does suck, the whole thing and you are in for a rough time ahead but it will get easier.

You have no reason to sell your home, my decision was right for me based on my circumstances. I do have equity, my house is too small for my family, my mortgage is far too high £1068 high on IO to be exact. I don't have anything saved to pay off the balance, it has all gone into the business. By selling, I am debt free and I save £847 a month with one thing and another after rent (we can give up our storage unit and council tax/ water rates are included in rent)

My choice in the end was save the house or the business, I can't do both. My business has turned the corner, it's doing well and I love it, there was no choice.

In 12 months time things will look brighter for you I am sure. I do stand by what I said in the beginning, which was if I were in your position I would agree with going for an IVA as much as I am not keen on them as a whole. But I am certainly no expert, just someone who understands a bit about how a business can destroy your personal finances in no time.

Mike_St_Helens

Thanks TOTO.. it can destroy it in 8 months to be exatct... from hardly any debt, a nice home, mgf sports car and a business to .... nothing ! and most of all evil money grabbing breweries... screwing you left right and centre.....

if there are any other pub owners on here reading this id be interested in your experiences too.

Glad your business is good mind !

MD

Emmzi

Mike_St_Helens wrote:

Hi Emzie.. I did this yeaterday ... do i have to do it on each post ?

Thanks

MD

Oh, no, sorry! I was working away yesterday.. will go find it!