Any advice is great - We have made a big decision - BANKRUPCY IS HERE....

Mike_St_Helens

Thanks Mrs V - Ive read all that till the cows come home, some still doesnt make sense... Thats why im trying to see if you can all answer my daft questions...

Thanks

Wonder_Girl

Mike_St_Helens wrote:

Thanks Mrs V - Ive read all that till the cows come home, some still doesnt make sense... Thats why im trying to see if you can all answer my daft questions...

Thanks

I do apologise, i have always been under the impression that taxes wouldn't be included but i have looked it up and i was wrong, sorry for the confusion.

MrsV

An IPA (Income Payments Agreement) is calculated by taking your income and subtracting your outgoings. If there is anything left this is known as your expendable income.

This expendable income is split with you on a 60/40 basis (60 to them 40 to you). Therefore, if after paying all your bills and feeding and clothing yourself and travelling to work etc, you are left with £100 per month, they will take £60 and you will be left with £40.

This is not exact and if the calculation shows that they wont get at least £50 per month from you, then an IPA will probably not be made.

If your pay increases significantly (I don't mean by a few quid a week) then you will be expected to pay more.

If your income decreases, then your contributions will decrease or may even be cancelled.

I am by no means an expert; this is just what I have picked up from the DWD board at the fool, so do not take it as gospel!

Mike_St_Helens

how long would an IPA last for, and from our SOA would we have to pay one ?

Thanks again.

MrsV

I believe they last for a maximum of 3 years. Where can I see your SOA?

Mike_St_Helens

Its at the top Mrs V... Our outgoings, debts etc etc...

Thanks for your help, we need all we can get.

x

sanfrancisco

Mike_St_Helens wrote:

I couldnt face having to rent somewhere when ive owned my own home since i was 20... so the OR has the full 5 years to just swipe the house from under you.... how long have you to 'pack your bags !'

But you don't own your home. The bank does. Renting isn't that bad. You will get used to it. Maybe you could rent somewhere cheaper and save more. Maybe you could rent in a place youv'e never lived before. It depends which way you look at it. Try to spin it positively. You will not have to pay any unexpected bills when the boiler breaks etc. You will be fine.

Mike_St_Helens

Thanks Sanfran... I know hey do.. We bought this house as a wreck and have made it into a nice little home... If only I could keep it, then thats all id need.

Renting, Who in their right minds would let someone who is bankrupt rent their house... Id end up living with Scrotes.....

Im sorry.... Thanks for your help, This is helping us both whilst we both read all this.

MrsV

Looking at your SOA, once you remove the CT arrears and the HP payment you have ougoings of approximately 1410 a month.

This would leave you with a surplus of about 600 a month, so the max IPA would probably be 300 to 360 pounds. But that is purely guesswork on my part and remember I am no expert.

However, you must make sure your SOA is as complete as possible, so have a look back through your bank statements to make sure you have included any annual costs that may occur so that you can include a monthly amount for these. The one that springs to mind is an amount for car maintenance eg tyres etc.

Mike_St_Helens

Thanks Mrs V... What are your views on my car, house and the not going BKY for 3 months so we can save for a car and the fees we need to go BKY.

TA