New too BR

bibby29

I have been advised to become bankcrupt i have been told to put our car in someone elses name as we have a car loan and its our only means of getting back and fourth work. can you give me your opinons on this? is it possible to talk to car finance company and maybe tell them so we can keep paying for it?
clair

tiggerbodhi

bibby29 wrote: »

I have been advised to become bankcrupt i have been told to put our car in someone elses name as we have a car loan and its our only means of getting back and fourth work. can you give me your opinons on this? is it possible to talk to car finance company and maybe tell them so we can keep paying for it?
clair

IMHO very bad advice, you are asked on the BR forms and by the OR if you have disposed of any car in the last two years, they will want to know the circumstances around this.

If you keep paying the loan fully after BR even via a third party you are giving beneficial interest to a creditor, bad puppy i your basket and have a BRO/BRU and whoever you paid the money to has to give it all back.

The caveat maybe is it a personal loan to buy the car or a HP agreement on the car, if it is a personal loan this will go into your BR, the car is owned by you and if worth less than a £1000 the OR will not be interested in it, if it is HP you would have to settle the HP agreement then "sell" the car to the other person who then lets you use it, think the OR will see the stink from that one, you would risk a lot of searching questions and maybe a BRO/BRU, very much doubt the loan company would be party to such an arrangement.

Save up a £1000, buy a car for that, let the other one be re-po'd if on HP, the outstanding debt from this goes into your BR, BR is the time to fess up to everything, be honest and open, try to "trick" the system and you may get burnt.

dojoman

Who advised you to go BR and who advised you about the car?

bibby29

Ok thanks for that.
I have furniture on hp also would they take that?

bibby29

the debt advicecentre, they saidi couldnt do an iva as i couldnt afford 100 a month so bankrupsty would the soloution i have 66,000 in debt

dojoman

Have a look in the thread below, there is some great advice/help in there.

https://forums.moneysavingexpert.com/discussion/1056083

IF

Hi bibby29 and Welcome to the Bankruptcy (BR) Board. First step is to make a list of all your creditors, debts and assets. Secondly and most important is contact one of the following debt charities. Please try these they don't charge and are impartial. They will go through all your options with you and if they suggest bankruptcy then come back to this board and we will help you all we can. Also if your not ‘clicking’ with one of the Debt charities do try another. We advise you to try at least two others for your own piece of mind. Your BR could be refused if you have not sought advice. We can't and shouldn't advise you what to do, this is to safeguard us, you and the forum.

* Blue text on this forum usually signifies hyperlinks, click on the blue links below *

Main recommended sources of help:

• National Debtline - Website: National Debtline Telephone: 0808 808 4000
• Citizens Advice Bureau - Website: Citizens Advice or visit your local CAB centre (find nearest)
• StepChange (formerly CCCS) - Website: StepChange Telephone: 0800 138 1111

Others:

• Business Debtline
  - Website: Business Debtline Telephone: 0800 197 6026
• Christians Against Poverty
• PayPlan
• TaxAid - Help with tax debts.

Please don’t do anything rash take your time and weigh up your options and read everything you can.

We often ask you to post your SOA so we can see if you have included what you need to:-
MSE SOA Calculator - Click here
Select the MSE format at the end. Copy and paste onto your thread.

For ‘essential’ BR info the ‘Look here first’ sticky by Fermi.

BR friendly home insurance thread.

BR Friendly Bank Accounts ~ [Updated Sep 2012 re: Co-op Cashminder withdrawal]

BR Abbreviations

Beth's Guide Reasons for your BR

Charities who help with BR Fees

Bankruptcy NDL Guide

Basic Bankruptcy Advice & Guide NED CAB

If you are new/old to this board and receive/see a comment that is not helpful or insensitive please don’t let it put you off posting, often these comments are made by people who don’t normally contribute to this board and don’t speak for us.

What to do if you get an insensitive or hurtful comment.

And do remember we’ve all been through this and anything you don’t understand don’t be afraid to ask.


Best wishes
IF...x

bibby29

Household Information[/b]
Number of adults in household........... 2
Number of children in household......... 5
Number of cars owned.................... 1

Monthly Income Details
Monthly income after tax................ 0
Partners monthly income after tax....... 2020
Benefits................................ 295
Other income............................ 0
Total monthly income.................... 2315

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 320
Rent.................................... 750
Management charge (leasehold property).. 0
Council tax............................. 145
Electricity............................. 60
Gas..................................... 50
Oil..................................... 0
Water rates............................. 35
Telephone (land line)................... 25
Mobile phone............................ 120
TV Licence.............................. 12.13
Satellite/Cable TV...................... 65
Internet Services....................... 15
Groceries etc. ......................... 100
Clothing................................ 50
Petrol/diesel........................... 30
Road tax................................ 20
Car Insurance........................... 30
Car maintenance (including MOT)......... 10
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 50
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 26
Presents (birthday, christmas etc)...... 50
Haircuts................................ 50
Entertainment........................... 50
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 2063.13


Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 5000
Other assets............................ 0
Total Assets............................ 5000


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 0........(0)........0
Hire Purchase (HP) debt ...... 12000....(320)......0
Total secured & HP debts...... 12000.....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
loan...........................480.......120.......0
ccj............................1000......20........0
tax............................80........20........0
Total unsecured debts..........1560......160.......-


Monthly Budget Summary
Total monthly income.................... 2,315
Expenses (including HP & secured debts). 2,063.13
Available for debt repayments........... 251.87
Monthly UNsecured debt repayments....... 160
Amount left after debt repayments....... 91.87

Personal Balance Sheet Summary
Total assets (things you own)........... 5,000
Total HP & Secured debt................. -12,000
Total Unsecured debt.................... -1,560
Net Assets.............................. -8,560

bibby29

the 66k i owe isnt icluded in this as im not paying them

tiggerbodhi

Is the £66K in your name only?

is it only you going BR or are both of you doing it, you have to provide seperate SOA's for the BR forms and OR.

If you intend to go BR and the SOA is as you posted there are things that the OR will question or not allow, the TV/Sky Package, £120 on mobiles, haircuts and entertainment.

You have a £5K car, if this is on HP it will be re-po'd and shortfall of finance into the BR, if you own it it will be sold to release funds, you will be allowed £1K to buy another.

BR isnt sackcloth and ashes but you have to cut back on your spending to the bare essentials allowed, mobiles, sky etc are often out the window.

bibby29

some are joint claims. As for haircuts, clothes etc i thought i had to put it in. I cant seem to afford these things i am reducing my sky as of tonight and we dont have a social life, i just ut it down cuz it said to do so on form.

what is SOA and OR? im new

I dont mind going without a mobile but then be classed as another debt as they are still in contracts?