help, not sure of what to do next

riquelme

ok, bit of background

approx 22k worth of debt, been on DMP for 20 months and its now down to approx 17k with 4 creditors.

going through separation at the moment and my new budget means that i cannot afford to stay on DMP withy CCCS as my outgoings are more than incomings. (I still need to look at where i can cut back and save a little more though as im still getting used to living and budgetting for myself)

ive had the offer of a gift that equals about 45% of what i owe and have offered my creditors this, so far only 1 looks like willing to negotiate (smallest one) with the 2 biggest not budging.

im a home owner and though of signing the house over to my wife (its all amicable and i trust her 100%) so that they cannot come after the family home and put my family through any stress that i have caused.

so what to do> whats my options? CCCS says that its potential fraud if i were to sign the property over to my wife and look at bankruptcy.

can anyone offer any advice as to what i can do

thanks in advance

Fitzer2000

Hi Riq, First off, well done for posting. Can you post a Statement of Affairs, then we can see the type of debt you have, credit card, loans etc. It may be possible to go down the Unenforcibility route depending on the age and type of debt.. If you have the time take a look at Never In Doubts (NID's) excellent thread.

GeorgeUK

Hi Riq, hope you're doing okay.

As Fitzer says, a SOA would be helpful to see. Use the SOA calculator and try to make the figures as accurate as possible if you can. https://www.makesenseofcards.com/soacalc.html

None of the debt are joint debt/loans are they?
Do you have any other joint finances other than the house? Even a savings account?

Don't forget, your SOA should be the actual expenditure, not the budget you use to work out how much you can afford to pay your creditors.

Would a poor credit rating / CCJ's have any impact on your job? (financial services sector etc)

Until you know how much you will be able to allocate towards payments if you are no longer going through CCCS, i wouldn't worry too much about them not responding to the settlement offer. It may transpire that you can only afford a small amount each month to put towards the debts and it would take years to pay off the creditors. Once they see this, they may give the settlement offer a bit more consideration.

First you need to see where you are before moving forward.

I've probably mentioned this a while back, but have you looked at reclaiming credit card and loan charges? These were not covered by the bank charges court case. Also look to see if any of your accounts/loans had Payment Protection Insurance and if this had been missold.

NID's thread deals with the enforcability of credit agreements - basically if a credit agreement made before 6th April 2007 does not contain certain terms and is in the required prescribed form, then the debt may be unenforcable. This means that while the debt would still exist, they would not be able to take you to court to try to enforce the debt - section 127(3) of the Consumer Credit Act 1974 states that in a case like that a court must not enforce the agreement.

The CCCS are right about the bankruptcy though - i believe assets passed on to others can still be reversed back to you. Bankruptcy is a last option though - some people pay only £1 towards their debts so you don't need to be thinking along these lines just yet.

riquelme

thanks both will post it up tomorrow

FraudBuster

From the Bankruptcy Petition guidance notes:

Q.3.5
[FONT=Arial, sans-serif]If you have sold or given away any of your assets in the last 5 years and received less money than they were worth or no money at all you must provide full details of the transaction.[/FONT]


[FONT=Arial, sans-serif]The trustee may apply to the court for an order restoring property to him or her if you disposed of it in a way which was unfair to the creditors (for example, if before bankruptcy you had transferred property to a relative for less than its worth).[/FONT]

jo70mo

This may not be a viable idea but if you can't negotiate with any of the others then could you bank the remainder of the gift and use it to make your cccs payments each month until you can get your finances on a more even keel for making the payments out of your income?
I haven't thought this out so it may well have holes left, right and centre but it was the first thought that occured to me. is it definite that you can have this money?
Jo x

GeorgeUK

Hi Riq, just wondering how you were doing?