Hi Newbie here

youngchap

Hi Guys,

My name is Ian, I am new here, I'm 24 at the moment.

When I finished school and turned 18 I started accruing lots of debt, then when I went to university it started to snowball. It reached a peak in 2007 around Christmas time when I tried to take out an IVA, however after about 6 months of trying no one was willing to take on my case.
I had no saving, no assets, no money in the bank the only thing I lost was my car and at this point was in debt of around 22k which included;
2x credit cards
2x student bank accounts with 0% overdrafts
Car loan
3 x Unsecured loans
In addition to my 2 student accounts I had a nationwide bank account which I set up for my IVA just simple cash account and had transferred all my non debt related direct debits into it. So in September 2008 when I was 23 I declared bankruptcy myself, the morning I did, I went into Nationwide, told them that in 10mins I was declaring myself bankrupt, took the money out to pay the court fees and they didn’t even suspend the account as I had already warned them and I just carried on using that account which I still use today.
I filed all my own papers in court; I was in and out of court in about 30mins
Because I was a student my SOA was negative, as I was relying on grants and student loans to get me through university the person in charge of my estate didn’t need or want anything else after this.
I was discharged sometime around May 2009, just as I was graduating. I now have a well paid job renting a nice place, and tbh if I didn’t declare myself bankrupt I would not have graduated and would probably be still working in Pizza Hut.
During all of this I didn’t tell anyone so no one knows that I have been declared bankrupt it is my best kept secret until now because I’m telling you guys. At least now I’ll have someone to answer the many questions that I have to ask and you never know I might, after a while, be able to offer some people support and advice.
I do worry that it was too easy and it’s going to come back and haunt me at a later stage in life though I’ll cross that bridge when I get to it.
A few questions though:
1. I found out last October that one of my student bank accounts, even though listed in the bankruptcy was never shut down. The over draft is still there, and all the student facilities are still available. i.e. the interest free overdraft.

I started using this at Christmas, I don’t get paid into it, and I don’t have any SO/DD coming out of it, all I do is put my monthly spending money into it so I can use the cheque book and a visa debit card which allows me to shop online, the only thing I missed during bankruptcy. I also now earn enough money to start paying of the overdraft.
However it has dawned on me, that it should have been shut down, and if I should be using it? The bank has no knowledge of my bankruptcy.....

2. Because I was busy graduating, moving, starting new job in a new part of the country, I have not done anything since I received my letter of discharge. Do I need to do anything?

3. How do I go about rebuilding my credit score? I don’t need any credit, but in about 5 years I will want to buy my own house. I stupidly applied for one of these ‘rebuild your credit score cards’ and now get about 10 emails a day telling me about payday loans, consolidation loans etc... When all I want is a safe secure way of building it up.

4. I’m currently living with another graduate at my company, do I need to do anything to ensure that my bad credit rating does not affect her by living in the same house?

5. I have now moved, therefore my address has changed. Do I need to tell anyone?

Nice chatting,

Ian

sizzler

Hi there and welcome.

Thank you for sharing that with us and glad you made it through.


1. I found out last October that one of my student bank accounts, even though listed in the bankruptcy was never shut down. The over draft is still there, and all the student facilities are still available. i.e. the interest free overdraft.Was the account overdarwn? Student debts are not covered by bankruptcy.

I started using this at Christmas, I don’t get paid into it, and I don’t have any SO/DD coming out of it, all I do is put my monthly spending money into it so I can use the cheque book and a visa debit card which allows me to shop online, the only thing I missed during bankruptcy. I also now earn enough money to start paying of the overdraft.
However it has dawned on me, that it should have been shut down, and if I should be using it? The bank has no knowledge of my bankruptcy.....

2. Because I was busy graduating, moving, starting new job in a new part of the country, I have not done anything since I received my letter of discharge. Do I need to do anything?If you were BR when youmoved you should of informed the OR as part of your terms and conditions. Unless you have an IPA, I would not worry about that now you are fully discharged.

3. How do I go about rebuilding my credit score? I don’t need any credit, but in about 5 years I will want to buy my own house. I stupidly applied for one of these ‘rebuild your credit score cards’ and now get about 10 emails a day telling me about payday loans, consolidation loans etc... When all I want is a safe secure way of building it up.See the sticky at the topof the Board Rebuilding your credit some excellent help there and get a copy of your credit score from the three main credit reference agencys. Also send them a copy of your discharge so they can upgrade thier records.

4. I’m currently living with another graduate at my company, do I need to do anything to ensure that my bad credit rating does not affect her by living in the same house?Your credit rating should not affect theres and if it shows up you are assosciated write to the agencys saying you are not assosciated.

5. I have now moved, therefore my address has changed. Do I need to tell anyone?Who in particullar are you wondering about?

Nice chatting,

Ian

Hope this is some help sizzler:)

skylight

Mmm. This is going to sound rude; but don't take it in a nasty way; this is the mumsy bit coming out.


Now come on. You are an intelligent lad and know damn well that you shouldn't be using the account. The account should have been closed at your BR and the debt of the overdraft go to. I assume you have accrued no new debt on this account? Stop using it, leave the account as it was when you went BR and email your OR asking for their advice on it. There are many great basic accounts that allow you a debit card and you can shop online. Natwest Step, Co-Op Cashminder etc.

2. Your BR is finished. You do not need to do anything else anymore. (I assume you are NOT paying an IPA).

3. Credit. There is a great clean up sticky at the top of this BR forum. It shows you how to get it clean. Rebuilding a score is easyish - you need to make sure your file is clean and apply for small things. JD Williams group have lots of catalogues and are not fussy to whom they allow a credit account (small one). Vanquis credit card are also not too picky but have a really high interest rate so pay in full. As long as you keep these clear and paid in full you wont owe anything but be building your file back up. There is a sub-prime thread on the credit card board.

4. No. It wont affect her in anyway. Unless you are financially linked (joint account etc).

5. No, you no longer have to inform anyone of a change of address once discharged (unless paying an IPA).


Hope this helps.

youngchap

Hi,

THanks both sizzler and skylight,

I moved after I was discharged, I didn't think I needed to tell anyone, but just wanted to make sure, and no I don't have a IPA as my SOA was negative

Regards the student account, It was still within the allowed overdraft, but it is not classed as a student debt. I have not accrued anymore debt, infact I think it's about £76 less. On ther otherhand, I could just pay off the interest free overdraft now and close the account but it doesn't seem to be a problem, however I will speak to my OR.

As for the address, I meant for the or and stuff like that, I'm assuming your credit history will follow you around.

I've read clearing your credit history and just get confused, so I'll do it in small steps. First I will request all three (?) of my crdit files and report back

sizzler

Mmm. This is going to sound rude; but don't take it in a nasty way; this is the mumsy bit coming out.

Thats just what my mum would say:rotfl: