Considering bankruptcy - advice appreciated

Gojo_2

Hi there

I have an approximate debt of £25,000. £23k of this is a bank loan with Abbey spread over three years (I am three months into it), paying approx £800 a month. The remaining debt is a credit card worth £1500 approx (I have just transferred this to a 0% interest credit card which hopefully will give me some breathing space) and I have an authorised overdraft with Abbey of £1900.

I have been working on a contractual basis and earning a reasonable salary of almost £30k per year however the contract is finishing at the end of this month and I am facing unemployment unless I find a job.

I realise it was only a matter of time before sailing close to the wind landed me in trouble and, now it has happened, I would appreciate any advice about whether I should opt for bankruptcy, as opposed to an IVA or other debt management arrangement. Or simply continue to pay the loan off over the 3 year period and commit to further temp contracts in order to pay for this.

I do not have a mortgage (rent my mother's house) but I realise this will sit on my credit record for 6 years. I am 42 years old, single, with no dependants.

I was wondering what people would recommend for my situation?

Many thanks for your help.

Kind regards

Richard_S

Gojo wrote: »

Hi there

I have an approximate debt of £25,000. £23k of this is a bank loan with Abbey spread over three years (I am three months into it), paying approx £800 a month. The remaining debt is a credit card worth £1500 approx (I have just transferred this to a 0% interest credit card which hopefully will give me some breathing space) and I have an authorised overdraft with Abbey of £1900.

I have been working on a contractual basis and earning a reasonable salary of almost £30k per year however the contract is finishing at the end of this month and I am facing unemployment unless I find a job.

I realise it was only a matter of time before sailing close to the wind landed me in trouble and, now it has happened, I would appreciate any advice about whether I should opt for bankruptcy, as opposed to an IVA or other debt management arrangement. Or simply continue to pay the loan off over the 3 year period and commit to further temp contracts in order to pay for this.

I do not have a mortgage (rent my mother's house) but I realise this will sit on my credit record for 6 years. I am 42 years old, single, with no dependants.

I was wondering what people would recommend for my situation?

Many thanks for your help.

Kind regards

Hi Gojo,

It's not really up to anybody on this forum to say whether bankruptcy is best for you or not. That's the job of a professional advisor, contact one of the debt charities, CCCS, CAB or The National Debt line, their advice is free, their advisors are professionally trained and they only recommend what is best for you; the links are at the top of the page.

If they recommend bankruptcy then you'll get all the anecdotal advice and support you need on this site and we can point you in the direction of other sites that you may well find useful and supportive.

Regards

Richard

earwig

to be honest with you if you can get temp jobs to pay back your loan i would do it going bankrupct is a major thing to do it will sit on your file for six years you may have to pay ip payments anyway if you have a car worth any value the or will take it or any other assets as said above cccs or cab will be better to adivice then we can but from personal experince of going bankrupt if i had another option then i wouldnt of done it

as for iva dmp they all screw your credit rating anyway and only worth bothering with if you have assets to protect good luck and if you do have to go bankrupt we can help you with any questions you need to ask