please help !

imalooser

hi guys

my first post in here as I'm going crazy and really depressed with a nervous breakdown on the way I think (literally)

For years I always paid my loans and cc on time and never defaulted I have lost my job 8 months ago for the 1st time in my life and stopped paying my debts about 3-4 months ago, my only option now is to go bankrupt over 25k and i have no assets except a car that I'm planning to sell to rent a house and pay the fees.

I left the UK 4 months ago to find a job in Europe and start paying back my benefits but things are not going great at all and im thinking of going back home to to face the music, I haven't got a job or a home to go to and might be staying with friends for a while. I will be claiming benefits once I find a place to live as im hoping to get a room or something (i lost my fiancee due to this issue and lots of people are not picking up their phones).

what I want to know is if its worth getting a job or stay on job-seekers, is it more likely to get an ED when on benefits?

my other issue is that before leaving I took out 3 grands from my credit cards to finance my travel (rent a place, food .. )so would the OR pick on this ?

Is there any free psychological help out there because I'm really on the edge?

Many thanks guys

---

Debts are a gift of the devil to humans!

jon1965

Don't panic
First question is why do you think you need to go BR?
Yes 25k is a lot but I know people with a lot more than that who haven't gone down the BR route
If you are on benefits you will only need to make nominal paymenst at best to your creditors
Are you still in europe or have you come back yet?

Now some serious questions, how old are your debts..I mean when were they first taken out /opened.

Do you know it costs money to go BR, £520 and then court fees
Personally I think it likely that the OR may impose conditions on you for taking the money and running

Can you manage some answers

imalooser

I am still in europe and they they are about 5 years old !

jon1965

Ok
I am surprised no one else has passed on any pearls of wisdom.
Ok so first off you can claim benefits as soon as you get back
I would think about going to CAB in the first instance , they will help you contact your creditors and get some basic payments back on track. Maybe £1 per month.
If any of the debts are pre 2007, especially catalogue debts or older then they mat be unenforceable.
Really think you need some expert advice here

PippaGirl_2

A lot of debts 'die' after 6 years if no communication or payments have been made. By starting to pay them you render them active again. CAB tend to go for debt payment schemes as that is what they know, but it is not always the best solution and in your case as no payments have been made for a long time, other options might be better. I'm not sure you will get a full option view from the CAB.

jon1965

Pippa, unless I am much mistaken the debts have only not been paid for a few months so waiting fir them to go statute barred is a huge risk and would take some serious letter ping pong etc at the same time managing not to acknowledge the debt.

imalooser

It has been years paying the debts and not months!

PippaGirl_2

Yes on re-reading that seems that way Jon, I'd only picked up on the debts being 5 years old, I shouldn't post so late!

PippaGirl_2

imalooser wrote: »

For years I always paid my loans and cc on time and never defaulted I have lost my job 8 months ago for the 1st time in my life and stopped paying my debts about 3-4 months ago, my only option now is to go bankrupt over 25k and i have no assets except a car that I'm planning to sell to rent a house and pay the fees.

what I want to know is if its worth getting a job or stay on job-seekers, is it more likely to get an ED when on benefits?

Is there any free psychological help out there because I'm really on the edge?

I take it then that for some debts you stopped paying 3-4 months ago and some you haven't paid for years? Technically many debts do die after 6 years when no payment or correspondance has been made, but some don't and won't. If you do go BR then it is not popular to pay some debts and not others which it appears you may have done to date. I'm too confused as to what you have paid to date and what you haven't but the long and the short is if you are considering BR then you will need to seek legal advice first, the Judge is unlikely to rubber stamp it unless you have so as Jon says I would see someone from CAB or similar and say you are considering BR and wonder if that is right for you and see what they advise.

To answer your other 2 questions. It is always 'worth' getting a job if you can, the effects of being employed, contributing to society and feeling fulfilled far outweigh the psychological effects of being unemployed. The OR will only take what is surplas after all living costs and expenses anyway.

As for psychological services many towns and cities have counselling services that you can self refer to that are means tested. Or you can discuss that with your GP who is the ideal first port of call.

jon1965

Easy done .
So what are we going to do for imaloser?

It's no crime to be in debt, after all thats why we are here

imalooser

Hi Pippa

I only stopped paying about 4 months ago, before that I always paid installments in full and on time never skipped a payment until 4 months ago when I left the UK and stopped paying everything.