What are my best options to get back on track?

B1978

Hi all

I am a newbie so hello all!

I will try to keep the details brief because I could ramble on forever with the ins and outs.

I have approx £30,000 of unsecured debt. I have no assets at all. I am about to move and am learning to drive. I have some questions if any of you would be kind enough to offer advice.

I am moving from a local authority property into a private rental. My credit history is appalling so it is being rented by my boyfriend. He is very keen that we buy somewhere eventually but with so much debt how am I ever going to get a mortgage? Am I best to go bankrupt so in 6 years I will be clean? Is it likely that I will get a mortgage after that time? I dont see any other way of paying the debt (that I am currently ignoring completely) other than waiting for statute barred to kick in?

Thank you in advance

sourcrates

B1978 wrote: »

I have approx £30,000 of unsecured debt. I have no assets at all. I dont see any other way of paying the debt (that I am currently ignoring completely) other than waiting for statute barred to kick in?
Thank you in advance

Hi and welcome, :hello:


Its a dangerous tactic to completely ignore your debts.
You could end up with many CCJ`s without even knowing it.


Do you have any income at all ?


I will assume you do, although Bankruptcy may be an option for you, there are a few others as well.
I would recommend you speak to either Stepchange (a free to use debt charity) or National Debtline (also free to use), Google is your friend here.


They will be able to best advise you on this, just ignoring the debts can lead to all kinds of problems, especially as you owe 30k.

double_mummy

is the debt active or defaulted?
are you keeping up with the minimum payments?
does your partner know about these debts?

basically the problem seems like you need to decide on what your priorities are - maybe you need to put of driving for a couple of years maybe partner could move in with you to reduce costs etc

is your debt going to be number 1 or will it be somewhere further down the list? as this can change what the best option is

fatbelly

Options would be:

ignore, see if they go SB (current strategy)
debt management plan
bankruptcy
possible IVA

It would be impossible to say which of these is your best option without further info, but you could try National Debtline and see what they think. They would be pretty impartial I would think.

Post an SoA if you want - the calculator's here

From what you have said so far, my only comment would be that driving lessons are expensive, and the costs would not be legitimate expenditure for the latter 3 strategies.

B1978

Thanks for your replies so far. To answer the questions posed:

Yes I have income of approx £30k a year.
The debts are all defaulted as I have ignored them for two years, all are with debt collection agencies. I have not made any payments, not even minimum.
Yes my partner knows about them.

I have to move as my boyfriend has to be located specifically for work and I have to drive as I need to commute back to where I currently live because I have joint custody of my son. Driving would be cheaper than trains in the long run.

National_Debtline

B1978 wrote: »

Thanks for your replies so far. To answer the questions posed:

Yes I have income of approx £30k a year.
The debts are all defaulted as I have ignored them for two years, all are with debt collection agencies. I have not made any payments, not even minimum.
Yes my partner knows about them.

I have to move as my boyfriend has to be located specifically for work and I have to drive as I need to commute back to where I currently live because I have joint custody of my son. Driving would be cheaper than trains in the long run.

Hi B1978 and welcome to the forum, hope you find it helpful.

From what we know, I would certainly say that just waiting in the hope that the debts become statute barred is not viable.

As for other options, right now is not the time to commit to a definitive course of action, given that you are about to move and so your finances may be in a state of flux.

Do you have any idea at this stage of what your living costs are likely to be at your new address? If so, maybe you could post up a Statement of Affairs here http://stoozing.com/calculator/soa.php to give us all a better idea of what you have to work with. If not, then give one of the free advice charities a call so you can have a chat about where you go from here.

There will be options that allow you to deal with these debts one way or another whilst being able to invest in learning to drive. The credit rating and "mortgageability" side of things will take longer to iron out but in my view it's best to focus on the debts themselves at this stage.

Regards

Dennis
@natdebtline

Depth_Charge

Hi B9178

Just following on from others

As already mentioned SOA would help

Also maybe try the CAB or check out the free CABmoney online Debt Option / remedy resource

https://nedcab.cabmoney.org.uk/

Best Wishes

DC