Decision Time

craighemming

Hi All,

I have been lurking for the past day or so reading all the helpful threads and kind words that are here. Now I feel its time I made a decision to sort my problems out.

I have debts of just 25K. Recently my IVA failed as the payments were too high for me to cope with while also paying my rent ( IVA payments were £300pm). I had been in the IVA for almost exactly a year, I moved in with my partner and her son 7 months ago into rented accomodation.

I am at the point where I need a fresh start and believe that BR is my best option. I have had this confirmed by a number of advisors. My partner disagrees with me but she has picked up on the scaremongering and media stories of it all being the final nail in your financial coffin!

I have had all my debts before I moved in with her so they are all in my own name. I just realise that if I want a future, I need to sort things out now.

Any help / advice would be much appreciated. Thanks

Gemlou26

Hi Craig,

I have been BR now for around seven weeks, like yourself I didn't have support from my partner as such, alot of it is peoples perception of what the process is and what happens afterwards. Some people still think you go to prison for it(excluding serious fraud / criminal cases here!

The way I looked at it two debt charities advised it was the way to go, I researched it myself and I knew it was the right thing to do.

Although I am part of a couple, I couldn't see a future for myself separate from 'us', what if I were to find myself having to start again on my own? The answer to that I would be totally screwed. Sometimes however strong your relationships are it is wise to think of worse case senarios, because after all really the only person that can sort these debts out is yourself.

My partner is now 100% supportive now Ive been and done the deed so to speak.

Good luck with what ever you decide to do.

confused76

a tough one. bankruptcy should only be a last resort, but if it is right for you then there is little point prolonging the agony. have you spoken to one of the free debt charities? try the national debtline, cccs or the cab.

bankruptcy shows on your credit file for 6 years. if you are ever asked in the future if you have ever been made bankrupt (eg, mortgage application), you would have to answer yes. some employers credit check, so it depends on your line of work whether your employment would be affected.

you have to weigh up the pro's and con's and decide what is right for you. good luck x

craighemming

Hi both,

Thanks for your advice.

I'm sure my partner will come round. Again I think it's purely the stigma that is associated with Bankruptcy that she has been worried about. Believing that her property could be taken for my past misdemeanours!

In relation to taking advice, I have spoken to both the CAB and CCCS. The conclusion is that my "best" option is Bankruptcy. Believe me, its not a decision I have taken lightly and I have tried not to ignore my debts but it all got too much.

If I want a bright future I need to fix my past. I have asked the relevant questions and this decision (thankfully) won't affect my employment.

alastairq

''betsy worse, richy poor'' went the words..from an old novel, maybe Wells, maybe Hardy..cannot recall.

This is the point where a partner really has to decide whether to accept us, 'bags 'n baggage'..or not?


Does the OP's partner fully understand the consequences of not dealing with those debts?

Does the OP's partner fully understand the implications of following any alternatives to BR?

perhaps the OP's partner is concerned about not being able to obtain a mortgage at a reasonable rate, in the future?


Talking is needed.......dispelling the urban myth is needed.....?

Best of luck, whatever you decide.

philnicandamy

Hi craig....i'll not repeat the excellent advice the others have given apart from no matter how daft a question may sound to you just ask it...the support network here is second to none

I can understand where your OH is coming from mine was the same a few years ago but after reading a few bits both here & elsewhere she decided in the end I had no other choice...nearly 4yrs down the line now & life is good

Good luck

Queen

Hi Craig,

I shouldn't worry what other people think and how are they going to know unless you tell them, both myself and hubby went BR on bonfire night 2008, I agonised for 12 months should we, shouldn't we, our creditors where not being co-operative, and this was all down to long term illness after we had taken out credit so through no fault of our own. If you know that your circumstances are not likely to change for the better, then you have to do what you have to, I am sure that if the people who judge were in the same position they would do exactly the same.

My priority was to keep the roof over out head's and the only way was to go BR and I must say it's the best decision I have made, I have no sleepless nights and no hassle from creditors, I am not saying it's being easy but I am sure it was by far the best option. People think we have got off scott free what they don't understand is that we pay an IPA each month so we paying some credit back.

Hope you make the right choice. As the amount of being going BR has probably tripled in the last year alone.

craighemming

Thanks for all the support, kind words and advice. I feel it is my only option.

Time to get those forms and raise the necessary funds!

craighemming

My next question is. Does anybody have any advice on how I keep the creditors at bay until I manage to raise the funds to go bankrupt? I have had a letter today telling me to expect a doorstep call in the next day or so.

I have heard about the companys who charge a fee to sort the bankruptcy process out for you but the costs only breakdown over 2-3 months and with the fees they charge amount to nearly £250 - £300 a month. If I could afford that, my IVA would not have failed.

I'll say it again, awesome people on here

philnicandamy

Just tell creditors your in discussion with cab/cccs/national debtline etc and you'll contact them soon..whatever you do DO NOT mention bankruptcy all this will do is increase the hassle ten fold..

There isnt a bargepole big enough in the universe to touch companies who do all the bankruptcy stuff for you...its a simple process you can do yourself for free (and with the help from here as well)

dont worry about the "doorstep" collector they've about as much clout as the avon lady...99.9% of the time they never bother coming out anyhoo

dktreesea

Anyone who wants to charge you a monthly fee for going bankrupt is ripping you off, imho. The fees should just be £150 for the court fee, £450 deposit towards the costs of administering your bankruptcy and a fee to swear the statement of affiars. In a county court this will be free but otherwise £12 if before a solicitor. I suggest you check out insolvency.gov.uk.