Facing Bankruptcy

merlo_2

HI Everyone, been a long time viewer of the boards but finally plucked up the courage to post about my sorry mess, for 10 years I have had mounting unsecured debts and its come to a head where I can no longer live like this, before 2009 I had a perfect credit score, working as a mortgage adviser I had a decent wage, owned a home (with my now ex wife) in 2006 I decided to go Self Employed as a Mortgage Broker, it was tough but I gained some good contacts and eventually I was earning good money, however slowly my unsecured debts were mounting and I chose to ignore it, then came the credit crunch and my industry just bombed, my business dropped by 90%!!

To give you an idea, my tax return for 08-09 was 3,800 profit! during this time I split up with my wife and due to the house dropping in value I left the marriage with nothing from the equity, I tried my best to keep up repayments of over a 1000 on unsecured loans and credit cards but I was starting to crack under the pressure, my now girlfriend has been amazing and lent me so much money to keep me going but I realise now I should have done something a long time ago, due to my industry being what it is, my credit score has to be good, I know the company I'm contracted to will ask me to resign when they do my annual credit check which means the end of my career.

I have spoken to Nationaldebtline and they are sending a pack in the post to me, i've read a lot on here about various options but it looks like bankruptcy is my only option.

I've done a SOA so you can see the mess i'm in, i've based my income on 900 per month, sometimes its 1500 sometimes its 500 but a good average is 900.

I just need some advice on what to do, currently my post goes to my old address (private rented property) so none of my creditors know I live with my gf, however I want to know can they look in to my gf finances? she has 2 properties and I dont want them to use them as its nothing to do with my gf.

I'm worried too about bailiffs and debt collectors, how far can they go? i've read some good and bad experiences on here.

I've spoken to an old colleague of mine today and he has given me good advice about my work, it seems I still may be able to trade as a mortgage broker in some form, so i'm looking in to that.

Any advice is appreciated, its taken me so long to get this out in the open, I finally spoke to my gf about it and gave her an insight in to my mess but she has been so supportive, i've been working solidly every month just to pay my min payments, nothing was reducing off my debt. I was going round in circles.

Also in 2001 i took out a together mortgage with my ex wife, i still pay that loan and her name is still on the agreement, how is this viewed in bankruptcy, obviously I dont want to drag my ex wife's credit down too, i'm happy to carry on paying this loan due to the nature of it.

Also selling my car too, luckily my dad runs a garage so I can borrow a car when I need one, so I think that will bring in around 1500 however that is my only asset.

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 1
Number of children in household......... 0
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 900
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 900
Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 275
Management charge (leasehold property).. 0
Council tax............................. 50
Electricity............................. 30
Gas..................................... 0
Oil..................................... 30
Water rates............................. 17
Telephone (land line)................... 20
Mobile phone............................ 45
TV Licence.............................. 7
Satellite/Cable TV...................... 10
Internet Services....................... 5
Groceries etc. ......................... 250
Clothing................................ 0
Petrol/diesel........................... 120
Road tax................................ 12
Car Insurance........................... 27
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 27
Buildings insurance..................... 0
Contents insurance...................... 10
Life assurance ......................... 67
Other insurance......................... 0
Presents (birthday, christmas etc)...... 10
Haircuts................................ 3
Entertainment........................... 30
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1045

Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 1500
Other assets............................ 0
Total Assets............................ 1500

No Secured nor Hire Purchase Debts
Unsecured Debts
Description....................Debt......Monthly...APR
mint...........................8500......200.......0
egg............................3400......150.......0
barclaycard....................3700......80........0
asda...........................4000......156.......0
virgin.........................5500......100.......0
welcome........................4000......200.......0
northern rock togethe..........12000.....108.......0
northern rock..................2500......35........0
lloyds.........................11000.....300.......0
capital one....................1200......68........0
vanquis........................990.......48........0
Total unsecured debts..........56790.....1445......-

Monthly Budget Summary
Total monthly income.................... 900
Expenses (including HP & secured debts). 1,045
Available for debt repayments........... -145
Monthly UNsecured debt repayments....... 1,445
Amount short for making debt repayments. -1,590
Personal Balance Sheet Summary
Total assets (things you own)........... 1,500
Total HP & Secured debt................. -0
Total Unsecured debt.................... -56,790
Net Assets.............................. -55,290



Thanks

Sunnylooloo

Hi and welcome

Well done on speaking the the national debtline as it is always advisable to get good independent FREE advice.

I'm not sure how it would affect your working as a mortgage broker but someone will advise soon.

it is amazing how supportive OH can be, I know mine was.

It may help you to post your SOA up here for some comments?

I'm not sure, and someone will correct me if I am wrong but I think if there is a joint debt they will pursue your ex wife once you are made BR??

Please ask as many questions as you need there are some great people that can help you, sorry can't be of much help as still quite new myself but this will give you a bit of a bump up

Good luck
LL

IF

Hello and welcome merlo, sunnylooloo has said it all. Just want to bump your post, I'm not very good at soa x

stevemarsh1976

Speak to the FSA regarding your job situation, as an insurance broker it was something I was particulraly concerned about (also regulated by the FSA). They advised me that as I wasnt an appointed representative then there was no issue with my position.

If you are an appointed representative of the company then you have to do a fit and proper persons test which is taken on a case by case situation and they would not elaborate further on that.

merlo_2

Cheers Guys, I'm going to speak to the FSA tomorrow.

Thanks for the bumps!