Is bankruptcy right for me?

Michelle_James

Hello all, I would appreciate any advice.

Due to my ex any my own fear of dealing with things I am now left alone with a toddler and a lot of debts.

It's not really usual debt, loans and such. It is mostly money owed to companies that I thought where being paid when in fact my ex was spending the money and just running up all of the bills in my name.
Almost £2000 is owed on gas and electricity, nearly £1000 to another company. And several hundred for a mobile phone. I also have a £1000 overdraft to pay off.

I know it was stupid of me to have everything in my name and to let him be responsible for paying (or not as the case is) but I was very controlled and couldn't see what was going on.

I am currently on benefits as I have moved to a new area to get away from my ex, and there doesn't seem to be much work here.

I am trying to pay these debts but am really struggling.

I am seriously considering bankruptcy as an option to get rid of these debts, as at the moment we are only just getting by.

Do you think it is the right option for me?
Will it affect my benefits?
My benefits get paid into a bank account that has no over draft or anything, will they close that account?

Thank you.

dojoman

[QUOTE=Michelle James;42874388

Do you think it is the right option for me? You may be eligible for a DRO, if this all your debt
Will it affect my benefits? NO
My benefits get paid into a bank account that has no over draft or anything, will they close that account?Depends whether it is a Barclays basic or Coop cashminder account, these are the only 2 BR friendly accounts.

Thank you.[/QUOTE]
Hi and welcome, hope my comments help, in the mean time please contact one of the charities below, they will offer free and impartial advice.

https://www.nationaldebtline.co.uk/
https://www.citizensadvice.org.uk/
https://www.cccs.co.uk/

Ineedaname

If your total debts are less than £15k then a DRO may be recommended if a DMP isn't thought to be appropriate. So you might not have to face BR.

Michelle_James

Thank you, It is a barclays account, I am pretty sure it is just a basic account, no overdraft or special features.
What is a DRO?

Thanks again

dojoman

It is a Debt Relief Order, it is similar to BR except your debts must be £15000 or less and you must have no assets. The CAB are a good port of call if you are eligible for one. Also it is a lot less expensive to take a DRO out than go BR.

ollirian

Think you should go to the Citizen Advice Bureau

dojoman

ollirian wrote: »

Think you should go to the Citizen Advice Bureau

That has already been suggested.

philnicandamy

and speak to [EMAIL="forumteam@moneysavingexpert.com"]forumteam@moneysavingexpert.com[/EMAIL] about changing your user name....you could be easily recognised as it is now

philnicandamy

and a bit of a read about DRO's here

https://forums.moneysavingexpert.com/discussion/1385275