I really need more Advice iva or bankrupsy???????

summer19

Just checked the car is h.p gutted!!!!!!!!!!!!!!1

summer19

Oh god what do I do now, we really wanted too go b/r but with the car on hp it doesnt seem possible, this is a nightmare I justbwish I had a magic wand!!!!!!!!!!!!! any advice???

lou756

Hello

I'm sorry I don't kow the answer about your car... have you tried asking the question over on the bankruptcy board where people may have some info... they seem a knowledgeable bunch over there too!

Would it be a good thing to go and get some professional advice, from a non charging organisation, about all aspects of your situation from someone who can see all the details at once?

You sound so stressed, and I'm so sorry... try and get some rest, it must be hard enough anyway with ME without all this.

Choo_Choo_4

Summer...just because the car is on HP it doesn't mean that you cannot go into an IVA or go bankrupt. All it means is that you must allow for the HP payment each month in your I&E and @ £130pm it isn't a huge amount.

So long as you continue to make this payment to the HP Company (I think you mentioned it was Bank of Scotland already) - it will have no effect on them. They just want paid. There is no value in the car at the minute anyways since the HP is secured on it so it's not technically an asset. Do you know if you OWN the car once the agreement expires or is there a balloon payment?

Nothing has changed really Summer - you still need this car to get to/from work and take kids to/from school etc... you will be allowed to keep this in IVA/Bankruptcy because without it you'd be worse off (no income)

So we know that you have £50k debt (in both you and your husband's names?)
Have you done up an SOA yet to show what you have left over each month - after you've paid all the household expenses. This will then determine whether IVA/Bankruptcy is better for you!

Please don't allow this to affect your health Summer. Life is way too short as it is and it is not worth worrying yourself sick. I know that it's much easier for me to say that than to put it into practice but when you hear of these problems day in, day out and try to give people the best advice for their situation - I know that there is always a solution ... most of the time people like you who are new to the DEBT SOLUTION side of things are unaware of the solutions until they are explained in more detail. Hopefully you will have decided in the next month or two which way you want to go and that big weight wil be lifted from your shoulder - life in general will be much better for you and you will see that light at the end of the tunnel.

summer19

Hi thanks so much, Sorry to be thick but what is a soa is this a budget sheet, we have a maximum of about £100 left r u sure about the car we really cant loose it, when its paid its done I think not sure how we can find out. I would much rather go bankrupt cause its getting me so down I just want it over with, I had the house valued today and its in negitive equity so thats good as they cant take it away from us.

keano1999

i currently have a iva but i am on esa so making no contribuations but i am worried about losing house

Charco_2

Sure about the car, but you can ask elsewhere if you like.

It has a debt secured against it so it's value to you is only £3k or so. If you sold the car you'd need another and you'd be allowed a car roughly up to that value anyhow so in reality there's no money you can free up by selling it!

You really should speak to someone FOR FREE.

Charco_2

Keano have you agreed with your IP about the no contributions or are you simply unable to pay at the moment so you're not paying!?

Choo_Choo_4

Right Summer, I'd say if you have a total of £100 left over each month for the household then bankruptcy could well be the best option for you as I'm sure you're not being generous in what you're allowing yourself ... in fact you're probably scrimping a bit ...

If your house is in negative equity then bankruptcy will not have any effect on that - they will not try to take that from you (no value in it for creditors). The only way that your house would be at risk is if you didn't pay your mortgage - so make sure that you do this no matter what! I'm sure you know this already.

Do speak to someone soon Summer. There are lots of companies offering free advice - they will tell you how you can cover the interest in your home (basically paying a nominal fee at the beginning of the bankruptcy to guarantee that your creditors do not come back in 3, 5 or 10 years looking to take what equity has accrued) ... they will explain this and make sure you do it for your own security! Can sometimes be a matter of £s...

They will go through Statement Of Affairs (or budget sheet) with you to see if you need to make a contribution in bankruptcy - it's likely based on the information you've provided that you won't ...

Good Luck with this Summer - I hope you get it sorted soon and can look forward to some sleepFULL nights x

summer19

Thanks again, I feel so gratefull for all the amazing advice, I spoke with mike earlier (who u recomended) who also gave me excellent advice. we have done a soa and there really isnt much left with 2 kids and 1 wage, it is very tight. I havnt even allowed for bday presents or anything other than basic living. All this is so scary to me It is none stop worry. I think b/r is better for us because if we do a iva it will almost be impossible. Then we will only end up b/r in the end! I dont really know who to talk to I will do some research!

Thanks again.xx