Debts of over £25K Need help

Elcapitan1981

Hi all,
I am not going to drag this on with lots of back story but I am basically in approx £25K and need to know which is the best option for me, I have no assets at all and no savings.
My situation is that I got my first loan when I was around 22, I got it to get a car, I never got my car, like any foolish young man I spent it on stupid things, I was then offered credit cards which I took out, it became evident quite quickly that I could not afford the monthly repayments and I sought to get another loan to consolidate all of my debts, this turned into two loans when I paid of my credit cards but not my existing loan as I had no money at the time, I was going stir crazy thinking how I would manage, I figured if I kept the money from the loan instead of paying my other one off I could just pay instalments and look for a better paying job, it never happened as I was under qualified, I was lumped with two loans now totalling £20,000, I started to gamble in a hope to recoup some money as I had seen other people gambling and talking about how much they had won, this never worked out for me and just left me with a sort of addiction or condition in which gambling or spending of any kind would take my mind away from my debts, it would make me happy for a period of time but then when it came to stepping back into reality I can’t face the debt I am in. After several years I have bounced from debt management plant to debt management plan and am not really denting the debt. I am on a £16000 basic salary with commission payments but the commissioning is not guaranteed, I am worried that if I go bankrupt then when they look into my job they may think I earn more than I actually do, I don’t even have a bank account anymore because of my poor credit, I have to cash my cheque at the end of the month in the money shop. I am not sure if BR is the right option for me and I need advice, I have nothing to my name except a TV and an Xbox, oh and the clothes on my back, I feel ashamed every day of what I have turned out as, I had real dreams of doing well as a child but now I can’t bare to go outside. I have considered suicide and the only reason I haven’t done it is my parents and brothers, I don’t want them to be left with the mess after I am gone. Ironically I have now developed a serious anxiety disorder because I can’t face my problems, I am taking medication but the longer this goes on it’s killing me, I literally feel like I am dying on a daily basis as my heart races and I shake. I can’t help but worry about how much the BR people will make me pay, if I will lose my job, how ashamed my family will be of me, will my partner leave me, I haven’t told anyone about the debt I am in, I am terrified. Please help I am 32 years old now, this debt has been sitting over my head for the last 10 years, I know this is my fault and that I should have paid it off but what turned out as senseless spending is now a serious life changing issues for me.

sparklykitty

If you can't pay it and it is causing so much stress and illness and you actually have nothing to lose I don't see what is stopping you. Bankruptcy is a fresh start. You will only pay what you can afford, you will be able to open a basic bank account. A weight will be lifted off your shoulders and the future bright again.

luvchocolate

please please call one of the debt charities they will take you through your options, also read all the stickies on here.
We are all here to help with advice but first contact the step change or c.a.b.
you will be fine xx

IF

Hi Elcapitan1981 and welcome to the Bankruptcy (BR) Board. As luvchocolate has said your 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.
Advice on here does not count, this has to be from one of the Debt Charities, an IP, an Accountant or a Solicitor. The Judge just wants to be sure that you can never come back and try and overturn the order on the basis that you were not aware of all the consequences.

* 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.


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

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

naughtynick

ive just spoken to step change today, as like you im in a hole (well it feels like it) they were quite good and at least I know I'm not the only one in this boat. chin up, been down the road of looking for a tree (cant afford the rope now anyway, lol) drinking (got banned ) dabbled (lost), sooner you get advice from a proper place all will be mapped out and life will start again..... its only money after all, some of us have it some have less, some of us just got it all !!!! about face. best wishes naughtynick