I'm desperate. Will anyone help me?

naughtynige

Were do I begin! I am 43, I owe around £70k, on a mixture of credit cards and loans. Not all through my fault. I was a director of a company and my business partner was taking money out of the business without me knowing. He also didnt pay off any off our debts, subsequently I have defaults and a ccj. This then led to my divorce, and I'm currently living with my parents. I'm suffering from depression and I need to get out of this house asap. I now only have one credit card with a limit of £300 for emergancies, my bank lost a little patiences with me, and took away my debit card and chq book. For 6 months now I have managed to stay in credit. I earn a basic of £26k plus bonus. I know I have a terrible credit rating, and a huge risk.

We went to a Haven caravan site over Easter, and I got thinking. If a company would look sympathetically at my finances, would a company give me a mortgage or loan of say,£70k based on a caravan costing £25-£30k, the remainder,going some way to paying off the debts.

I would then look at moving out of my parents house, giving me some freedom. I could also rent the caravan out from £300-£500 a week, for extra income and again going towards paying off my debts.

This all seems the perfect answer, but with my very bad record and poor rating, does anyone know of a company that would do this for me.

Please help, my only other option is bankruptcy, but if I did that I would loose my job.

lisyloo

Hi Nige,

I pressume you reported your business partner?
Are there any actions going on to chase him/her or have they disappeared.

Sadly I think you have no chance of getting that money.

The people that might be able to help you however are you parents.
Would they be able to take out a cheaper mortgage/loan and pay of your debts.
You would obviously have to pay it all back, but at a much better rate.

Can they throw you a lifeline or do their circumstances not allow it?
Any other family members who could help?

I would certainly help close family if they were in difficulty.

Have you taken proper advice about bankruptcy.
I know there are serious consequences but there are also serious consequences to your debt.
Have you had proper advice about weighing up the pros and cons.
I believe the CAB would be a good place to go for advice.

Fairdo_2

I'm going to show my ignorance in this area now, but you desreve a reply and I hope this might be a starting point for some others with more experience to put their opinions in.

I cannot see a Lender giving you money specifically for purchase of Static caravan and additional borrowing on top, as there would not be suitable security.

My first suggestion would be to go to CAB and ask them about debt repair processes.

I am sure one of the many clever contributors may be able supply a link or two, to specific providers of this service, but CAB would be my suggested starting point.

Obviously, you would want to have a space of your own, but I would imagine that lenders would want to see that you have gone about making an improvement to the debt balance under your own steam.

Bankrupcy may be a suitable option I'm afraid.

I hope you get some good suggestions to help you.

Murtle

In my simple world, the answer would be no. However, I think it would certainly be worth you posting this on the I wanna be debt free board, where you will get help with actually reducing/removing your debt rather then adding to it, which I think you will be by buying a caravan...

http://forums.moneysavingexpert.com/forumdisplay.html?f=76

Most of all, good luck

Murtle

first there were no replies - now there are three

naughtynige

Thank you all. My business partner vanished off the face of the earth I'm afraid. My parents are sadly in their 80's, they dont know the full extent of my debt, but they wouldnt be able to help financially I'm afraid. I'm really panicking now,If I do go bankrupt I WILL lose my job.

naughtynige

yes i have been to cab the lady said it was too bigger debt for them to deal with.But she gave me some helpful leaflets. Who else shouldI talk to about this?

Patr100

Id also be surprised if anyone would lend against the value of a caravan - unlike a house - however much it cost to buy it would depreciate in value unlike a property which - though never guaranteed - is more likely to appreciate in value.

Why would bankruptcy lose you your job? Surely that would depend on what you do for a living?

Joe_Bloggs

Why will you lose your job if you opt for or a forced into bankruptcy ?
That caravan idea is not going to work. I'm not going to pay 300 to 500 per week to stay anywhere. Stick with the site. Your local CAB may have been
overwhelmed by this partly non-domestic cause of debt.
J_B.

naughtynige

I work for BT. part of the deal to work for them is that you must have a bank account so that they can pay salary into it.If i go bankrupt dont I lose my bank account?

lisyloo

nige - I honestly don't know whether you'd lose your job or bank account, but what you need to be doing is weighing up the pros and cons of bankrupcy and paying off the debt over a long period.

The debt looks pretty big to me and it's going to take a long, long time to pay it off.
I know that losing your job may seem terrible but it has to be weighed up against being weighed down with debt for the longer term.
This is a very long term problem, because whilst you are paying off debt you can't save for a pension which will affect your wealth later on down the line.
I'm sure you know that but it looks serious enough to me that you have to consider whether it's worth taking the short term hit (bankrupcy and possible job loss) to have a better future.

You can't make this decision on your own. You need help from people who are objective and preferably trained to help you.

Did the CAB leaflets give you any details of organisations that might be able to help you?

Steer clear of any debt consolidation firms or anyone that wants to charge you for advice. There are companies that will take advanatge of people your situation.

The debt board might help.
Also another site you might find helpful is https://www.fool.co.uk
There is a board on there called dealing with debt where there are many knowledgeable people.