Bankruptcy and Keeping Your Home?

Poor_Churchmouse

Hi Y'all,
Have been in a DMP for around 6 months with Payplan and whilst it has kept the wolves from the door and got most of our creditors to freeze interest (some have started to sneak charges back on though ) we are still finding things a struggle.

I feel we are always only one step away from disaster and am currently on medication for stress to try and control my blood pressure. Perhaps overdramatising to say disaster but as an example; I own a 13 year old car which is basically very good but it's clutch failed a couple of months back costing a couple of hundred pounds to rectify. I feel we are still getting over the shockwaves this caused Now we have no credit cards to turn to (which is good) unexpected costs like this can really hit us hard. Without my car, getting to work is a real struggle so it's a real worry. The thought that, at the end of our DMP, this car could be 19-20 years old, well, doesn't bear thinking about in terms of maintainence.

Anyway, with costs rising; gas, electric, petrol etc and creditors sneaking interest back here and there I feel the DMP has no realistic end in sight and with little money spare the next 6-7 years stand to be a real struggle and hard to face.

For this reason I am starting to think Bankruptcy may be the only realistic end to our woes but we really don't want to lose our home. I have heard that if only one from a couple went bankrupt (that would be me in our case as I owe the lionshare of the debt) or if there is little equity in the home (an absolute max of £10k in our case) there is a chance the home can be kept?

I've been to CAB today and as far as I'm concerned wasted 2 hours as they didn't have the answers and this sort of thing seems to be very hard to find out about even on the internet.

Thanks in advance.
A

Tixy

Hi

Probably worth posting in the bankruptcy section - and maybe have a look at this thread - Look here first - Bankruptcy Help: Important topics, factsheets and links which has a home section in the first post with this link What will happen to my home? (IS) which explains a bit about 1 partner buying the beneficial interest in the property from the other etc.

RAS

It also sounds like you need to get Payplan to check your SOA; there should be money in there every month to cover car maintenance and if needs be Payplan can stop or reduce payments for a month whilst you sort out ajor things like bashed cars.

Poor_Churchmouse

RAS wrote: »

It also sounds like you need to get Payplan to check your SOA; there should be money in there every month to cover car maintenance and if needs be Payplan can stop or reduce payments for a month whilst you sort out ajor things like bashed cars.

Can Payplan really stop payments to allow for emergencies? Just worried about annoying my creditors really and the pressure that creates is causing me health problems.

Our DMP had only been going for a couple of months when the clutch went so the cash we'd allowed for monthly maintenence was nowhere near the amount needed for the repair if you see what I mean as we hadn't built up any cushion for that eventuality.

RAS

yes they can and if you read the posts by CCCS and Payplan reps on here, you will see the number of times fraught posters have been advised to contact their reps when they are faced with boiler break-downs, car replacements etc. Things are fine; taking out a payday loan to cover the problems is not however.

Can you add up what you spent last year and tell us how much?

Poor_Churchmouse

RAS wrote: »

yes they can and if you read the posts by CCCS and Payplan reps on here, you will see the number of times fraught posters have been advised to contact their reps when they are faced with boiler break-downs, car replacements etc. Things are fine; taking out a payday loan to cover the problems is not however.

Can you add up what you spent last year and tell us how much?

How much I spent on what? The car? Very interesting post, thank you.

RAS

How much the car cost to maintain last year? Divide by 12. Then look at what you have put in your SOA for Payplan. Is it enough?

By the way, my sense of things is that CCCS is a bit nmore generous with allowances than Payplan.

If you want to try and get a bit ahead, consider going over to the Moneysaving oldstyle forum and doing a storecupbaord challenge. Also post and SOA here for help.