Giving in to bankruptcy

ScattyStudent

Long story short, I've got myself in a terrible mess. I am drowning in debt and can see no way out.
I am Bi-Polar, due £1600 in payday loans and around £5000 in other debts (credit cards, catalogues etc). I have no job, they keep stopping or cutting my JSA, so my only steady income is £60 p/w child tax credit and £80 a month child benefit.
I left my husband and job on same day at start of year at beginning of a manic period and since then everything has spiralled.
I'm not sleeping, eating, answering door or phone or opening mail now.
I'm just scared all the time, is bankruptcy an easy (ish) process? I really dont think I can take any more stress

NinjaSavingKat

Hello and good morning - not many of us up at this time but you have come to the right place!

Firstly bankruptcy doesn't have to be the first and only option. Is £6600 the limit of your debt or is there more lurking around? This is not a hefty amount by all accounts but I can see why you are worried...

I am not an expert but have you spoken to CCCS ..? They would be your best option...? Are you looking for work etc...?

You can approach some companies and explain your situation, offer to pay a token amount ( sometimes as little as £1 ) and ask for the interest to be frizen.. or even and IVA I think its called...

All is not lost - you are in the right place...

fermi

Well, the first thing is to get some free impartial advice.

See this link ---> IMPORTANT - Where to seek professional impartial advice about your debts.

We can try to give an opinion, but only one of those professional advice services can advise properly and go through things in proper detail.

Or as said, token payments until things approve could be the way to go.

One thing I will say is that although things may seem bad or bleak at the moment, there always is a way to sort out debt problems. Please believe that. And having gone through it myself, I lknow how hard it can be to see that, and afterwards how things can turn around.

ScattyStudent

thanks for your help folks. I just feel hopeless just now. I'm in Scotland and the advice from CCCS is basically 'you have more due out than coming in, spend less' lol

PippaGirl_2

There is special legislation where it may be possible to have debt written off without going BR if the debt was caused by a severe MH problem. This is actually quite successfully used for people with bipolar.

I'm not sure if it is covered in this guide but if not, the CAB will definitely know as they guide many people through the process.

Anondebtadvisor

If you do not have any assets, you may find that Low income low asset sequestration is an option for you "LILA".

I am suprised that CCCS did not give you advice on this - have a look here to see if you meet the criteria http://www.cccs.co.uk/InfoCentre/Scotland/Debtsolutions/SequestrationandLILA.aspx