going bankrupt

jonsyt

I have a 31k debt from a mortgage repo and about 4k unsecured debt and i think the only way out of this will be declaring myself bankrupt .

My questions are really what happens is it true they take everything you own money wise from your wages so you have nothing left after food and bills .

You have to close your bank account - Where do your wages , child benifit and working tax credits get paid into.

You cannot get car insurance on a monthly pay plan as it is a credit agreement over 500 .

You are only allowed 7 a month for your self to do what you want with ie holidays ect .

Is All this true and how long after being discharged until you would be able to obtain any sort of credit again . (Not that i would think about it after all this unless it was needed )

Thanks in advance for any feedback

Ineedaname

Hi there

I think the first thing you need to do is get some advice from one of the free debt advice charities. They will be able to go through all your finances and advise the best course of action for your situation.

Have a good read of the thread linked in the above paragraph, a lot of your questions will be answered there. If you are advised to go BR then pop back and ask as many questions as you need.

fatbelly

jonsyt wrote: »

I have a 31k debt from a mortgage repo and about 4k unsecured debt and i think the only way out of this will be declaring myself bankrupt .

Thanks in advance for any feedback

I've moved my comments to your other thread

https://forums.moneysavingexpert.com/discussion/3636853

Bankruptcy is an option for you and I understand that you might want to bring all this to a conclusion.

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tigerfeet2006

jonsyt wrote: »

I have a 31k debt from a mortgage repo and about 4k unsecured debt and i think the only way out of this will be declaring myself bankrupt .

My questions are really what happens is it true they take everything you own money wise from your wages so you have nothing left after food and bills . You are allowed a reasonable standard of living and if you have any surplus AFTER all your living costs have been agreed by the OR then you will have to ay your surplus to the OR.

You have to close your bank account - Where do your wages , child benifit and working tax credits get paid into. Yes, most banks will not allow you to have an account with them. There are however 2 who will, see the the bank account sticky https://forums.moneysavingexpert.com/discussion/3582093

You cannot get car insurance on a monthly pay plan as it is a credit agreement over 500 . Yes you can, it just takes a little work to find one. I had a look at your SoA on the other thread, is it really £254 a month :eek:

You are only allowed 7 a month for your self to do what you want with ie holidays ect . You are allowed £10 a month for emergencies per person and if your SoA allows then the OR may allow some towards a cheap break.

Is All this true and how long after being discharged until you would be able to obtain any sort of credit again . (Not that i would think about it after all this unless it was needed ) You don't need to worry about this at the moment. Just start dealing with the problems you have at the moment but it certainly is possible to start building your credit again after BR, just takes time and effort.

Thanks in advance for any feedback

So your plan of action is to look at the sticky high lighted in blue in INAN's post and read it, ring one or more of the debt charities and get good, free, professional advice about your situation. Read all you can on this board about BR and ask questions, read, read and read some more, ask questions and read.

Have a look at Fatbelly's post to you on the other board and ask the charities about that as well.

Answer my question about your insurance and someone will look at you SoA as an OR may look at it.

If BR is suggested then come back here and we will help and support you all we can through the process.

jonsyt

Yep it really is 254 a month , I have only been driving since september and 25 years old , And an affray charge from 3 years ago stuffed me up with any other chance i had of getting cheaper insurance , Ive been in touch with cccs and national debtline and have two phone appointments with them next week

tigerfeet2006

Ah! ok! understood. Just make sure you check out Martin's article on insurance when it is due to be renewed, blue Travel and Motoring tab above and also go through someone like www.topcashback.co.uk or www.quidco.co.uk if you can.

Well done on getting those appointments, let us know what they say. Meanwhile have a read of the board and get yourself knowledgeable about what the process is about. Ask questions as and when you need and read some more.

Will both of you need to go BR?

jonsyt

Im not sure because the mortgage debt is joint names maybe that would be the case , Im sure one of the debt counceling people will be able to tell me for sure .

Also when at work today i was notified that after christmas i am getting taken on as perment staff at the place i work instead of agency . So that is going to up my earnings to basic rate if £1800 a month , Not including OT and shift premiums . So that could help me avoid bankrupty