Today!

egrescrimp

I've been reading this forum section for longer than I've been a forum member, I've been struggling with debt for years and have made my families life hell during that period by being incredibly moody whilst I tried to fight against the debt I've found myself in.

I took the plunge last week and called Step Change after discussions with one of my creditors. Today I had my arranged appointment with them to work out the best plan for me going forwards.

I owe around £60,000, hearing Step Change say that amount made me shudder, but the guy didn't judge me and was very supportive. A lot of my debt is from my failed marriage, I have tried really hard to service this debt but I just cannot seem to meet the required payment levels anymore and based on what I could afford which isn't very much I'd need to live well in to my hundreds and would probably still have some outstanding

It was agreed that I should and will file for personal bankruptcy, the ball is rolling and the pressure on my shoulders has lifted! No longer having the pressure or burden of the debt will allow me to enjoy my new family and kids without worrying about the bills and if I can put food on the table as it has just got to the point where it's eat or pay the creditors.

Time to start saving that £700!

woodformoretrees

Well done for taking the plunge.
It's such a scary thing to do before you do it, and then can be such a huge relief once done. It means you're giving yourself back a bit of control and that can only be a brilliant thing.
Look forward to hearing about your journey over the coming months.

AndyBSG

Make no mistake, BR isn't the 'easy' option some people think it to be.

However, the decision to go BR for me was quite simple and boiled down to three questions

- Did I own a car or home that was worth struggling for? I was renting at the time and had a modest car that I could justify as for business use.

- Could I hope to clear my debts within 6 years? Not a chance in hell for me, I could have broke my back and maybe cleared just over half of that.

- How badly would a BR mark affect me personally? Given that it would fall off in 6 years the only real effect was if I wanted a mortgage in future but I wasn't going to get a mortgage in the 6 year period anyway and post BR I was confident that money I saved during the 6 year period towards a deposit would more than offset any problems the BR caused.

You'll find the period up until discharge quite tough and the next couple of years after that will see difficulties with simple things people take for granted like renting new properties, getting mobile phone deals etc but nothing that is insurmountable and these will seem like a walk in the park compared to the stress of being in debt for so long any way!

Good luck and hope it works out well for you

egrescrimp

I'm under no illusions about the impact bankruptcy will have, I have spent a lot of time making sure this is the right thing for me todo. It wasn't a case of, he said it's the best option do it so I agreed Sorry, if my response gave that impression.

I've spent time investigating if it's right for me, including speaking with my employers to make sure my job wouldn't be at risk if this is the route that best fits my requirements for getting out of this mess!

I'm sure Bankruptcy is scary and perhaps stressful! but it won't be anything like the last 3 or so years have been. I should of been enjoying the birth of my two girls in that time, instead I've spent it stressing about money and constantly looking at ways to make my money stretch further.

I'm lucky that I live in a house that I've no intentions of leaving, it's rented from the local housing association. I couldn't afford a house this size if I went private, around here 4 bedroom houses privately are £800 p/m!

I've learn't a harsh lesson about credit!

longtermplanner

Good for you and good for Stepchange about being frank that bankruptcy is your best choice.

Bankruptcy is an option in almost every country because sometimes when someone has no hope of repaying their debts, they need the option of a fresh start.

I hope Stepchange told you to stop paying anything to your debts? How long do you expect it will take to save up the required payments?

egrescrimp

longtermplanner wrote: »

I hope Stepchange told you to stop paying anything to your debts? How long do you expect it will take to save up the required payments?

Should be able to go Bankrupt in March

I won't be paying my creditors, I told my first one today when they contacted me.

egrescrimp

I'm getting closer and closer to going through with this, I've got just over half of the fees saved up and will be heading towards an early April bankruptcy from the looks of things.

Went to Barclays Bank today to sort out a new account, I have a co-op cashminder account already which shouldn't be of interest to the OR but taking no chances! the lady I spoke to was really helpful and didn't judge me in anyway, I did feel slightly nervous when she asked why I only wanted a basic account. Appointment made for Monday to finish setting up the account as I didn't have all the required ID with me.

I thought this month was going to turn into a nightmare when our sofa finally gave up after having a 1 and 2 year old using it as a trampoline! but went to our local impact housing and picked up a 2 piece suite for £60! (they have a half price sale on this week for sofas!) and it's almost brand new!

Life is starting to look much better and I'm sleeping so much better since I started this process.

egrescrimp

I've been bankrupt for about a month now, so much pressure has been lifted off my shoulders and I'm starting to manage and see things in a totally different way.

Previously when something broke, I'd grab the credit card and panic buy to replace. Now I take a totally different approach to things! we had one of those plastic bin/bike stores that cost in excess of £150, well it took a bit of a battering this winter and is no longer safe or lockable. I spent a few days watching some Youtube videos, trawling websites for low cost timber and ideas and have built a replacement myself for less than £50 (well inside my allowed emergency fund!)! it took me 2 days to complete the project but I saved a lot of money and feel a real sense of achievement from doing this task.

Onwards and upwards in a credit free future I feel a lot happier and thats reflecting on my family life too

SomebodyToldMe

egrescrimp wrote: »

I'm under no illusions about the impact bankruptcy will have, I have spent a lot of time making sure this is the right thing for me todo. It wasn't a case of, he said it's the best option do it so I agreed Sorry, if my response gave that impression.

No need for apologies...ignore the perfect, high & mighty buffoons who love blood sucking the banks on these forums...
I went BR last month, and know the relief of not having to deal with calls or knock on the door from any number of creeps after money!
Yes, I've had to adjust too...wait & save rather than just using O/D or cards but it is so nice to at least be in positive figures in the bank account now
Good luck- we'll get there!

egrescrimp

Today is discharge day I've checked the insolvency service website and it now shows me as discharged and I'm thrilled

The last 12 months haven't always been easy, it would of been so handy at times to have credit options available but I've learnt to manage my money better and budgeting is now a part of every day life.

I've got just over 2 years of paying an IPA that I think is very fair, my family life is much better and we were lovely and warm this winter because we could afford to have the heating on!

Those considering bankruptcy, it's not all doom and gloom and the process isn't really that scary or bad. Just be as honest and helpful as you can be when the examiner or the OR need anything from you and everything will be fine

fermi

Congratulations. Well done on making it through that.