Will the court refuse me BR for debts of £10,000???

oliviaolivia12345

Someone mentioned £10,000 debt is very low to go BR, but my average earnings (as sekf-employed) per year are just £6000 before tax.

Will I be refused BR??

wherediditallgo

What seems a drop in the ocean to some people is a massive hurdle to others - some wouldn't go BR for £10k, but many have done it for a lot less. You can go BR for as little as £750, so the court won't refuse to let you go BR for £10,000.

They'll want the same assurances & information as they do for everyone else - they'll want to know that you've taken professional advice (speak to the CAB, Consumer Credit Counselling Service, National Debtline or Payplan for free advice, if you haven't done so already), & that you understand all the implications of going BR (you can check them on the Insolvency Service site). Once you've assured them of that, your case will be dealt with no differently from anyone else's.

lindsaygalaxy

Im not saying this to be mean or anything, but wouldnt it be better to go to a paid job where you can earn more and put your debts on a payment plan tp pay them off rather than go bankrupt? I know £10,000 may seem a lot but if you were earnign more money it would be possible to clear. Obviously i dont know your circumstances so i dont know if it would be, im just thinking of your future and being able to start your own business etc.

Bakeybadoo

Isn't that pointing out the obvious? Make more money, clear your debts. Yes, that's always possible in theory but I don't think if you read the rest of the OP's threads, it would be a solution for her.

Anyway, I went back for just under £5k. That was an impossible debt for me to clear. It's up to your own individual circumstances. And you have to factor in the stress that debt can cause. It's ok breaking your back to earn more to pay more but is losing your health, relationship and sometimes your mind, worth it in the long run?

Broken_hearted

It does seem a low amount but I've seen a friend make herself ill over much less.

oliviaolivia12345

Thanks for your advice. To answer lindsaygalaxy's advice - I am a graduate (as of 2006) and am adament to pursue work in my field (the arts and the only thing I can do well) so I took on a contract to a very good freelance admin job which ensures I get the right experience for my future career and get I get paid for it (though it is very little money). I entered into a contract from Jan until August 2007 and it renews again in January - August 2008 again with more money, so I cannot just abandon that prospect...

I also work freelance as a designer and musician to make up the rest of my expenses but it is irregular work and that is why I had difficulty in negotiating lower repayments with all my creditors and why my charges and fees spiralled into yet more debt.

Bakeybadoo is right, I suffer a great deal of stress from having this debt (which built up from using credit to live on as a student (a terrible idea I know!). I am young, I have no assets at all, I don't have a single penny to my name, but I have a promising career ahead of me and would rather not abandon that to work full-time in a dead-end job for 4 or more years just to pay off this debt when I have the option to go BR.

This is also bearing in mind I still have a further £12,000 student loan to pay off in the future!!

Broken_hearted

You are lucky to be able to use your degree mine was a total waste of time (albeit a very good time). Good luck with the future

savagevixen

I went Bankrupt for @£7000. The judge queried as to whether I was sure. She then agreed and declared me Bankrupt.
My friend was their on the same day (we didn't know before hand!!!) and she was declared for £14000.

oliviaolivia12345

Thanks for your support. Yes I want to use my degree (I think the government owe me some leeway for getting me into an unavoidable £12,000 of student loan debt to get it in the first place!). So many people I know have gone through a degree and ended up having to work full-time in a totally non-related job just to pay for the last 3/4 years of study. I got myself into credit debt because I handled my finances incorrectly and couldn't borrow from family. But nevertheless people go BR for much more irresponsible reasons...

rog2

oliviaolivia12345 wrote: »

Thanks for your support. Yes I want to use my degree (I think the government owe me some leeway for getting me into an unavoidable £12,000 of student loan debt to get it in the first place!). So many people I know have gone through a degree and ended up having to work full-time in a totally non-related job just to pay for the last 3/4 years of study. I got myself into credit debt because I handled my finances incorrectly and couldn't borrow from family. But nevertheless people go BR for much more irresponsible reasons...

Just to say that I agree wholeheartedly with you. I think it is a shame that the 'system' allows students to get into 'unavoidable' debt through the student loan scheme, yet comes down on them like 'a ton of bricks' for getting into debt through 'credit'.
I am sorry that you, and many other highly educated graduates, are having to face the prospect of bankruptcy.
I hope that you find a job, which will allow you to use your degree, soon.

Remmer

oliviaolivia12345 wrote: »

Thanks for your support. Yes I want to use my degree (I think the government owe me some leeway for getting me into an unavoidable £12,000 of student loan debt to get it in the first place!). So many people I know have gone through a degree and ended up having to work full-time in a totally non-related job just to pay for the last 3/4 years of study. I got myself into credit debt because I handled my finances incorrectly and couldn't borrow from family. But nevertheless people go BR for much more irresponsible reasons...

This makes me so mad. It's a symptom of the society we have voted into power...but that's for another forum, another thread!! I wish you all the very best for the future. You've worked hard and deserve some luck