To BR or not to BR

Whatnodosh?

Single mum of two. Aged 37

My income is £1840 various sources (child tax/child benefit/maint)

Outgoings as follows

rent 625
gas 50
elec 50
water 58
c tax 86
tv lic 11
mobile 28
tel 30
car 43
petrol 65
bus 92 children to school
shopp 300
smoke 20
Clothing 39
hair 12
hobby(sons) 48
p money 20
sundries15
DMP 100

Amount 1692

1840
1692

148 left

DEBT
LLoyds TSB Personal Loan 12343.74
LLoyds TSB Credit Card 6125.41
LLoyds TSB Overdraft 1451.41
Barclaycard 4208.00

We have not had a holiday since I split from dad, kids need clothes all the time as they are growing, and I may lose half of cb, child tax and maintenance when my son reaches 16. I certainly cant spend the next 20 years paying this off. When I look around my home there is nothing special in it, |How did I get here????? Am seriously considering BR. Any Advice plsx

Richard_S

Hi whatnodosh,

Your first port of call should be to contact one of the Debt Charities; see links below. Their services are free; they have no vested interest to serve; their advisors are professionally trained and the advice they give will be objective and in your best interests only. CCCS operate a system of telephone appointments that are designed to be flexible and don’t require you to attend an office based interview. At the CAB you will need to make an appointment with a specialist Financial Advisor; other advisors may not have the specialist knowledge you’ll need.

http://www.cccs.co.uk/

http://www.nationaldebtline.co.uk/

http://www.citizensadvice.org.uk/index.htm

If you’re advised that bankruptcy is the most suitable solution to your financial problems then we can offer the best support and anecdotal advice that you’ll find anywhere on the Web.

For more specific advice and support, in an environment that is managed by people with first hand experience of bankruptcy, and moderated to ensure that no deliberately inflammatory or abusive posts are made then please visit:

http://bankruptcysupportersclub.co.uk/default.aspx

Just remember, as desperate as you may feel at the moment, we have all experienced what you are going through at the moment and with the right support and advice things will improve. It’s not an easy route to take but it is a route that will put you back in control of your life rather than just reacting to events.

This is a pro forma response but it's an essential starting point.

Any other questions please post again,

Kind regards

Richard

Whatnodosh?

thanks RS

I am worried that I will have to tell my employer if I go BR. I have just been promoted to Manager after working for them for 10 years. Before this I was part time. I have been in contact with CCCS and make payments to my creditors of £100 per month. I now probably have £200 per month spare to pay but it still would still mean that I have 10 years to pay, and my children are 11 and 14, so I will definately lose a lot of income before 10 years is up in Child Benefit etc. I am so annoyed with myself for getting into this pickle. Have posted this here as was advised to from other site DFW.

fermi

Hi Whatnodosh?,

Richard has already pointed you in the direction of the other charitable advice agencies, and I would strongly advise you to get a second opinion on your circumstances from one of the ones you haven't spoken to so far.

We cannot really advice what is the best decision for each individual, but we can help after the decision is made.

Remember in bankruptcy (if you decide on bankruptcy) the Judge/court will ask you if you have sought professional advice. The organisations listed by Richard and in my sig are acceptable as that professional advice.

You really have to weigh up the pros's and cons of bankruptcy in your situation, since it is not an easy option.

The long term benefits/disadvantages for you and your family are paramount.

Your employer doesn't need to know, except for a few select professions or if your contract specifies it. What is your profession? Remember this site is anonymous.

Good luck, and please keep posting.

ClaireLR

Hi WND,

I think a lot of people here (myself included) wonder how they ever got into the mess they were/are in. I myself had £23k worth of debt (which is about the same as you) but I don't have any children (I would assume they have cost you a lot of money!) and when I look around I too don't have anything worth much to be honest.

I just wanted to say that if you do decide on bankruptcy, it's hard enough without beating yourself up about it SO STOP! I do understand that it's hard though.

Personally I spoke to CCCS and I found them to be extremely helpful.

IF you decide to go for it then please keep posting here, I found this site invaluable for advice and support, and still do.

HTH

Claire. X

betterlatethannever

I fell into the same trap as the OP, all benefits stopped when kid reached 16 and thats when things faultered. Its a terrible situation to be in, knowing that the 'state' holds you purse strings.
At least your foreseeing whats goiing to happen...i didn't see it till it was too late.
keep posting and seeking advice and good luck to you.

lindsaygalaxy

Hi

My SOA and sitaution is quite similar, except im 23 and in as many £1000s debt as my years plus a student loan!

I have decided to go bankrupt, as similar to you, feel like I will never actually be able to pay the debt off, and i ssuspect, like me, you often think, well i should pay it off, or if i do something differerent then it will be ok. What i say is talk to the proffesionals, and if they say it is best to be BR, then listen to them. forget about what any family or work collegues may think, and think about how you will feel.

People on this site are great and you will get support whatever you decide to do.

wherediditallgo

As bitter a pill as it is to swallow (no-one likes strangers telling them what to do, plus the whole BR thing is scary in itself when you don't know what it really entails), I say definitely listen to the professionals. If we knew better than them, we'd have done better ages ago. I didn't listen when CCCS advised me to go BR. Had I done so, I'd have gone BR six months earlier, would have saved myself the additional six months of stress & would have been either discharged or almost discharged by now. Swimming against the tide of good professional advice did me no favours in the end.

Whatnodosh?

Thank you for all your support and comments, however, due to an increase in my tax credits I am able to hold out for a while and have decided to carry on with my DMP. What with my new full time salary and TC my DFD has now been significantly reduced:j . I know that maybe I will be unable to sustain the payment of £450 per month forever, but I am giving it a go. I have increased it by £350 per month since June and it obviously will have an effect on the debt.

Just a query tho, whilst giving my review for DMP, I told them that I would be putting away £20 per month for a family holiday (not unreasonable, scrimping for 51 weeks a year and having one week away) and was told that my creditors would not like this!! I had some literature on BR sent to me previously and it stated that I could claim up to £30 per month for holiday??? How does this work? What a mad world we live in:rotfl:

Anyhow thanks again, I shall update on my progress/demise (please delete as necessary) lol.

x

scaredwitless32

Sorry Im not sure about what to advise re holiday, just wanted to say well done and I wish you well and BR free for many years to come..........:) someone will come and answer your question soon im sure