Advice needed on bankruptcy please

huddleinthestorm

Hi there


I am hoping that you may be able to give me some advice on BR, I have lurked on these boards for over a year and after failing with my DMP I have come to the conclusion that bankruptcy is the only option.


I have debts of around 19 thousand pounds, all in the form of credit card and payday loans. I can't believe that I was stupid enough to use payday loans to the point where it has escalated to this. I feel so ashamed and like an absolute fool.


The areas that I need some advice on are:


- I earn £1800 a month and my partner earns £450, he looks after our 2yo for the majority of the time. I am a little confused about how much of the household bills I need to put on the SOA? Also will I need to provide evidence of my OH's wage/bank statements to the OR?


- My OH also sometimes works for himself as a web designer, this work is very sporadic and some months he may have a little extra that he can contribute to the household income however it is difficult to estimate when/how much this will be. How do I explain this to the OR?


- My OH has debts of his own of around £10,000. We have discussed whether he should look at BR or a DRO in order to give us a truly fresh start however we are concerned that they would take his business of him. Do you think this is likely?


Sorry for all the questions but any advice would be greatly appreciated. In addition we privately rent and both own cars of less than £1000 value each.


Many thanks in advance

IF

Hi huddleinthestorm and welcome to the Bankruptcy (BR) Board. I know you'll receive more replies and answers to your questions, in the meantime please 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.

If you're not ‘clicking’ with one of the Debt charities do try another. We advise you to try at least two/three 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 MSE 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:

• Debt Advice Foundation
  
• Christians Against Poverty
• Business Debtline
  
• PayPlan
• TaxAid - Help with tax debts.
• Debt Support Trust
  

Please do read these threads and other threads relevant to you, on the BR Board, remember knowledge is power :beer:

For ‘essential’ BR info the ‘Look here first’ sticky by Fermi.

Beware of advice via PM.

BR Friendly Bank Accounts ~ [Updated Sep 2012 re: Co-op Cashminder withdrawal]

BR Abbreviations

Reasons for your BR - 6.28

Charities who help with BR Fees

BR friendly home insurance thread.

CABmoney Bankruptcy Payment Order Calculator

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

National_Debtline

Hello there,

- I earn £1800 a month and my partner earns £450, he looks after our 2yo for the majority of the time. I am a little confused about how much of the household bills I need to put on the SOA? Also will I need to provide evidence of my OH's wage/bank statements to the OR?

The OR may wish to see a joint budget sheet. From that they'll be able to work out your share of any surplus income (if there is any) - which is based upon a percentage of your earnings compared to your partner's.

- My OH also sometimes works for himself as a web designer, this work is very sporadic and some months he may have a little extra that he can contribute to the household income however it is difficult to estimate when/how much this will be. How do I explain this to the OR?

I think you've explained it perfectly well in that paragraph.

- My OH has debts of his own of around £10,000. We have discussed whether he should look at BR or a DRO in order to give us a truly fresh start however we are concerned that they would take his business of him. Do you think this is likely?

If he is director of a limited company it may be that he'll have to stop being one. There generally isn't any problems with someone being a sole-trader.

Sorry for all the questions but any advice would be greatly appreciated. In addition we privately rent and both own cars of less than £1000 value each.

Please feel free to ask as many questions as you need. The cars should be OK to keep, do check your tenancy agreement to ensure that there isn't a clause which could cause you difficulties should you become bankrupt (or have a DRO).

We have a useful page on our website which discusses the various insolvency options briefly. You can also click through to our main fact sheets on each of the topics, you can find the page here.

Best wishes,

David @ NDL.