loads of questions and advice needed please

lilly153

i spoke to a debt advisor over a year ago he told me my best choice would be making myself bankrupt i still havent done this yet :eek:

i have about £15000 in debt dont have any assests, im a single parent and my only income is student loan the £15000 doesnt include my student loan or about £3000 brighthouse hire purchase

so its clear ive managed to get myself in some mess in my younger years but its time to digg my head out the sand, is my best option just to go bankrupt? does this mean i can never get a mortgage? if i ever mange to pass my driving test does this mean i cant get a car?

or ive got 1 yr and a half left in uni, do i start trying to make as much money outside uni as i can to try clear some of the debt untill i can get a full time job n continue paying them off

my main concerns are im only 25 :eek: so my foolishness at 18 till 20 really has ruined my full financial future, i want to get a mortgage i want to be able to buy a car but all i see is mountains of debts

lilly153

should say i also want to start saving, clearly with my debts and little income im not talking hundreds i just want to change my previouse habbits so even small amount £10 or £20 a month to start off how does this affect me if i went bankrupt
thank you

alastairq

hi...welcome!

First of all, you need to go back and talk to one [or more] of the debt advice charities listed above in the stickies.....[CAB, etc]

Whilst Bankruptcy [or a DRO] may well be an option for you to deal with your debts...they may also not be the only options.

This is why you need current advice, based upon your current position.

[Plus, up-to-date advice as above is needed before petitioning in Court for BR, anyway].

or ive got 1 yr and a half left in uni, do i start trying to make as much money outside uni as i can to try clear some of the debt untill i can get a full time job n continue paying them off

This will depend on what sort of income you envisage earning, and what sort of surplus is left to pay off creditors.....time may well be an issue here? Then there are your own moral viewpoints to consider?

so its clear ive managed to get myself in some mess in my younger years but its time to digg my head out the sand, is my best option just to go bankrupt? does this mean i can never get a mortgage? if i ever mange to pass my driving test does this mean i cant get a car?

well done for realising something has to be done to deal with your debt.......but you must realise that Bankruptcy does change what one's expectations for the future must be.

YES, discharged BR's can and do get mortgages...but they won't be at the interest rates so glibly advertised in the past...and may well demand a higher percentage deposit[although I suspect that factor is becoming more commonplace anyway, regardless?]

There is nothing to prevent someone who is BR...discharged or not, from buying a car. [and indeed, a car can be exempted as an asset in BR if a need is established].

The main issue isn't purchase, but funding the running costs.

And being able to walk into a car showroom and exiting with something shiny and new might prove difficult if finance is the only way of funding such a purchase. [to do with credit checks?}


Even if BR, there is nothing to prevent the individual from 'setting aside' any amount which can be gleaned from the allowable living expenses...in fact, this is essential!

Within BR, living expenses are allowed, but how the individual spends that allowance has nothing to do with the Receiver.

Regarding Hire Purchase?

There may be issues with that, as technically one doesn't 'own' the goods acquired on HP, so these can be recovered in the event of BR....therefore it may be wise to seek alternative replacements beforehand...check the terms and conditions?

Obviously you will need to evaluate all the options for dealing with your debts...


Research, by asking questions and reading stickies, will answer nearly all your questions..........don't rely on urban myth!