The Bankruptcy Club & Supporters Club

sandralovescats

sandralovescats wrote:

The OR whom told me to email the official insolvency people said that I should not go bankrupt, that I should contact my debt management company and to get a proposition to my creditors for an IVA which will be paid in full on completion of my compensation - so no monthly payments to be made in between.

Sounds okay in principle but daft in reality - to me anyway. She is an OR so she must have seen this done before.

I can't see this working but I have emailed my debt management person to see what he thinks about this. The OR said that they (the DMC) might baulk at the idea of trying it simply because it is so complicated.

Then there are the thoughts that I will have those darned creditors phoning/writing to me for another two years, grrrrrr.

What do you think about the OR's idea?

Just an update on this - I got an email from the debt management company this morning telling me that there is no way I can do an IVA, that I could possibly get away with a tiny DMP payment until the court cases are settled. Since that is two years away, minimum, that is not an option for me.

sandralovescats

scootw1 wrote:

Havent got a home phone so mobile is the only communication to my parents, girlfriend etc

As for the gap,it may be about a month, depending how long it takes to see the Citizens Advice about my income/expenditure sheet

You should be okay.

Why not post your SoA here - or go back a few pages and read Mike's SoA, just to get an idea?

scootw1

My proposals for the IVA were:

245 Rent
52 Council tax
50 Clothing
35 Gas
30 Electric
30 Phone
30 Medical/Dental
20 Optical
54 Travel
20 Water
150 Shopping/toiletries
30 Work meals
50 Contingency

Will this be the same for the bankruptcy?

sandralovescats

scootw1 wrote:

My proposals for the IVA were:

245 Rent
52 Council tax
35 Gas
30 Electric
30 Phone
30 Medical/Dental
20 Optical
54 Travel
20 Water
150 Shopping/toiletries
30 Work meals
50 Contingency

Will this be the same for the bankruptcy?

That looks okay to me. Just list the shopping as shopping, not shopping/toiletries, and allow yourself £160 for it.

Instead of £50 contingency, add

£10 haircut
£20 clothes
£20 incidentals

Simply because it looks better and each section of the £50 has been accounted for!

scootw1

You mean £160 + the £30 for work meals or altogether?

I have £50 for clothing already.

Doesn't bankruptcy allow contingency?

sandralovescats

scootw1 wrote:

You mean £160 + the £30 for work meals or altogether?

I have £50 for clothing already.

Doesn't bankruptcy allow contingency?

I meant £160 + £30 for work meals.

The OR will not allow you £50 for clothes!! The figure they use, per person, is £20 for clothes/shoes together.

Yes, bankruptcy allows you a contingency, usually of £20 per month.

As far as I understand it, the OR doesn't allow any other monies for Christmas/Birthdays/Holidays, but you could try adding that on, at maybe £50 per month. At the end of the day if the OR doesn't agree, he will just remove it.
Just don't miss anything out!

scootw1

I can't even buy a decent shirt for £20 ( some people will say I can but I've looked everywhere in town and the cheapest in my size is £22). I dont think £20 is a realistic figure really. But if thats all the OR will allow then fair enough. Anything else I've missed out? If I am dropping contingency down to £20 and clothes down to £20 my surplus is going to increase a great deal and so will the money being paid back. Hardly seems worth it the way I'm going

sandralovescats

scootw1 wrote:

I can't even buy a decent shirt for £20 ( some people will say I can but I've looked everywhere in town and the cheapest in my size is £22). I dont think £20 is a realistic figure really. But if thats all the OR will allow then fair enough. Anything else I've missed out? If I am dropping contingency down to £20 and clothes down to £20 my surplus is going to increase a great deal and so will the money being paid back. Hardly seems worth it the way I'm going

We are all in the same boat!

You could try adding £40 per month for clothes/shoes and hope it doesn't get altered by the OR.

I read somewhere yesterday that you are allowed to claim for holidays "of reasonable value" and they suggested £60 per month, to allow £720 for holiday, but that the OR wouldn't wash any expensive Caribbean cruises, etc, in the allowances.
You could, maybe, try

£50 per month towards holiday + spending money
£20 per month birthdays
£20 per month for Christmas

and see what happens.

I cannot think of anything else you could have missed

scootw1

Okay thanks for that. Problem is, I've never been on holiday so how could I justify that/ Surely they would ask for proof of what I'm proposing?

sandralovescats

scootw1 wrote:

Okay thanks for that. Problem is, I've never been on holiday so how could I justify that/ Surely they would ask for proof of what I'm proposing?

The OR doesn't know that you haven't been on holiday, does he?

Look at it this way - if you had a week in Eastbourne it would cost you at least £350 without any spending money. You could always allow for a holiday and, if asked, say that some friends had asked you to join them for a week/fortnight in Ibiza, or wherever.
At some point within the 36 months of the IPA you might just decide to go away somewhere, who knows, so allow for it.

Just a thought, that is all