spending before Bankruptcy

screwedpocket

the debt is 17k at the moment. i have a car i am trying to sell which should bring it down to near 14k.

lilibet1

Hi there
Please try not too worry, as others have said, worst case is a bro/bru which you have read up on?

I worried the same as you, although all my debt had been run up before i saw the CAB but i didnt really believe i was insolvent until very recently,i kept thinking that something good would happen. I havent taken on anymore debt since feb which was when i started to struggle, i saw the cab i think in march/april and tbh only just decided that i have to go br.

I think that if you had spent the 1000.00 on gambling then maybe the or would feel differently. Sometimes, through no fault of our own and sometimes also because we hope for the best, we bury our heads in the sand and then panic later... i know i do, please stick around and ask lots of questions.

Hopefully, i have helped you? Also i dont know if you should sell the car and pay it off your debts???? Someone else will know though.

x

lilibet1

Sorry forgot to say, i had used credit cards up til feb(ish) and taken money out on them too just to survive, im sure others have too?

Gemlou26

Hi SP,

There is nothing you can do about it now, however, like others have said it could possibly result in a BRO depending on the OR, but in reality that is not going to stop you making a fresh start which is definately a positive.

From now on if you have definately decided on BR you need to make sure you are careful and any decisions are thought through such selling your car to reduce your debts could be seen as favouring a creditor which is something the OR will check for, and if so would not be viewed favourably.

In reality the more upfront you are and honest, and moving forwards careful with your cash the smoother the whole process will be for you, and of course there will be less to explain!

Good luck! x

screwedpocket

thanks lilibet1 you have made me feel better.

i have been in a daze with my money since i lost my job in feb. i keep thinking something will come along and fix it but now i am not so sure.

i keep trying to think its only a problem and not to take it personally, i hear about people killing them selfs over debt and i always think its never worth that and that it is just a learning curve. i will still be able to enjoy the sun and my mind thats free.

i think i will need to sell the car it is worth about 4k

really good to be able to get the answers the question that buzz round in my head all the time and get good answers.

thanks

lilibet1

Im really pleased that i have helped you. When are you planning on going BR? Have you got the money yet? Or have you got to save it up?

x

delightfuldior

If you havent paid the creditors how come they hadnt put a stop on your cards to prevent you from withdrawing or using them? I wouldnt use them from now on as mentioned before. I wwent to CAB 3 months ago since then I havent used credit and have been very carefull about what spends are apparent on my bank statements!!!!

kepar

Lets be honest about this, probably about 90% of readers or users of this site have used credit cards when they know they have been insolvent. You may not realise at the time . but looking back you justified by using to make ends meet. We were using credit cards basically up until the day we went bankrupt. How do you think we raised the money to do the deed.
The OR asked how we had raised the money and we told him it had come off a credit card. He was fine with this.
My OH was still working but I was unemployed then, we were having to use credit to survive, we were still paying all the creditors up until about 2 weeks before we went bankrupt. We were in a vicious circle we were not earning enough through me being unemployed, so using credit to pay credit. This meant the bills were going up and I was having to find a job paying more and more.
Bankruptcy took us out of the circle.
Do not worry you will be unlucky to get a BRO/BRU. If you can get to look at the site , hopefully someone will put the link up for you. You will see that a lot have people have done a lot worse.
I hope it works out for you.

screwedpocket

lilibet1 i am thinking of going BR soon really i have to go back to the cab at some point i dont have another appt just yet waiting for one. i still want to hide from it. Its a bit of a life changer but sure i will be ok in the end.

i have read up on BRO hopefully i should be ok.
what a mess .

i think i will start living like my grandparents did save then spend and thrift thrift thrift

lilibet1

im pleased that you have had a look about the bro possibility. I know its easier said than done because im still worrying myself, but the one thing i have learnt is that you can be a million per cent certain than others have done far worse and probably havent even batted an eyelid over it. Its the people that do worry that are taking br seriously - IMHO anyway.

x