'Windfall' just before BR

Skint_Chick_2

Hi

It's my first time posting but I have found this forum invaluable over the last few weeks.

I have already taken advice from cccs and national debtline and they both agree that BR is the way to go.

I'm currently in the process of getting the money together for court fees etc.

A couple of days ago I found out that I have been awarded a settlement from my divorce a few years ago. (It's not a huge amount in the grand scheme of my debt - £6.5k and over £40k debt)

I don't think it is worth offering f & f settlements is it? They would only get 15p in the pound.

My question is what to do with this money (if it arrives before BR).

Should I keep it in a seperate account for the OR to split as he wishes? Should I draw the cash out and give it to the court when I go?
(I think I know the answer to this, but will ask anyway!) I currently have no kitchen, we are trying to save up for one but it will take years at this rate (we literally have a sink, cooker, washing maching and fridge in a 'room' - I can't call it a kitchen), and I am expecting our first baby in the summer. Could I use a little of this money towards the kitchen and take pictures as proof and keep receipts to show the OR?

The kitchen issue is just the tip of the iceburg to be honest. We also have no flooring in anyroom other than the bathroom and nothing on the walls bar bare plaster. The only habitable room is the bathroom :-(

It's also not my house (it's my partners) so I guess I can't be seen to put too much money towards it.

Any advice would be very welcome
x

Ineedaname

My guess is the OR will want all the money to put towards their fees and your debts.

You could use some of the money for essential living, but I'm not sure if sorting the house would come under that. The argument probably being that you've lived with it so far so it can't be essential, sorry.

Might be worth speaking to the Insolvency Service helpline about this.

You could try and make F&F offers to your creditors, DCAs are more likely to accept a lower amount as they've paid less for the debt anyway.

Skint_Chick_2

Thanks

The debts aren't with any DCA's at the moment. I've managed to pay everything to date but from July I won't be able to cover any of them as I'll be on SMP only

Ineedaname

Might be worth speaking to one of the free debt advice charities then. If you've still got questions about the windfall after that, then ask the IS per the link above.

now

Skint_Chick wrote: »

Hi

It's my first time posting but I have found this forum invaluable over the last few weeks.

I have already taken advice from cccs and national debtline and they both agree that BR is the way to go.

I'm currently in the process of getting the money together for court fees etc.

A couple of days ago I found out that I have been awarded a settlement from my divorce a few years ago. (It's not a huge amount in the grand scheme of my debt - £6.5k and over £40k debt)

I don't think it is worth offering f & f settlements is it? They would only get 15p in the pound.

My question is what to do with this money (if it arrives before BR).

Should I keep it in a seperate account for the OR to split as he wishes? Should I draw the cash out and give it to the court when I go?
(I think I know the answer to this, but will ask anyway!) I currently have no kitchen, we are trying to save up for one but it will take years at this rate (we literally have a sink, cooker, washing maching and fridge in a 'room' - I can't call it a kitchen), and I am expecting our first baby in the summer. Could I use a little of this money towards the kitchen and take pictures as proof and keep receipts to show the OR?

The kitchen issue is just the tip of the iceburg to be honest. We also have no flooring in anyroom other than the bathroom and nothing on the walls bar bare plaster. The only habitable room is the bathroom :-(

It's also not my house (it's my partners) so I guess I can't be seen to put too much money towards it.

Any advice would be very welcome
x

When are you planning on going BR? I would be very careful about taking pictures to prove you used the money to do up the kitchen as this may be seen in a bad light, keep the receipts by all means. and if it was me I would only go for a basic B&Q job. which would not use all the money. They may think you planned your BR if you were to have things to much in order

You will need stuff for the new baby

Skint_Chick_2

Thanks

I thought taking a picture woud show what a mess it is at the moment and they might be more understanding? I'm not thinking of blowing the lot on a top of the range show house style, just a bog standard cheapy for about 2k or something and then handing the rest of the money over.

I'm hopefully going BR next month if I can get the money together.

It's really hard. I don't want to p!ss off the OR and end up in trouble - I'm going through enough stress at the moment, I don't want to add to it. I guess some OR's would see spending a small amount as sensible-ish, while others would throw the book at me

Ineedaname

Which is why you need some free professional advice.