Bankruptcy questions, please help!!

blakepaterson

Hi,

Thanks for taking the time to read this. Basically I am 22 years old and have debts excluding leased vehicles of around £30k. Although I earn good money and can pay these leaving me with around £400pm disposable income it is getting me down as I am working extra long hours for the extra money and am becoming seriously depressed.

I want to declare bankruptcy but need to know the following:

Does the OR check all payslips etc and how does commission work? Most of my wage is commission based which of course fluctuates and will seriously decrease when I start working 40hrs per week as apposed to 60 which I am currently doing to make payments.

I have a vehicle on finance which my dad uses and pays for. Will he be able to keep this and continue the payments? I have taken over his car and payments and the finance is in his name however the log book is in mine. Would the or know about this as the car is registered with the dvla in my name?

How hard is the interview with the OR? Am I interrogated? Basically I spent around £4000 on my debit card a couple of months ago as I just split with my fiancee and went shopping. Stupid I know but most of it was on clothes so have no assets etc. Will they lock me up for this!?

I just need to get rid of my debts and start my life again! I have looked at an IVA but I would prefer to clean the slate as it were.

Please help!

Thanks

scaredwitless32

This is all new to me and I know there are lots of very helpful and clued up people on this forum that will be along to give you some help.
Have you sought advice

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.htme from the following?

Hope you get it sorted !

(I borrowed the last section from a post of philnicandamy, I hope they dont mind.)

Conor_3

THe car would be sold/returned to the finance company.

But here's something to think about....

With a £400 a month disposible income, the OR will make a repayment order so you'll end up paying a set amount each month anyway.

You're not anywhere near bankrupt and it sounds to me like you're looking for an easy way out. You work 60 hrs a week - well so do many people. You're just going to have to do it to pay back the !!!!less spending.

bobblebot

Personally I would contatc CCCS and take things from there. I'm sorry I don't agree with Connor
"You work 60 hrs a week - well so do many people. You're just going to have to do it to pay back the !!!!less spending."
Life is too short to work like a dog, have no quality of life and then perhaps pop your clogs unexpectedly. If things are getting you very down and you can't see a way out in say more than 5 years-in my case it would have took 26 and I would have been 53 then take advice and if they agree you can go BR-do it, its the best thing i've ever done, even though I'm losing my house as I can now sleep at night and any cash I have now I can call my own!
Good luck

gettingitsorted

I would also advise you talk to one of the debt charities,they will be able to go through all of the options available to you and help you decide which route is best for you to take .

rog2

Hi bp - I am a little worried that you may be 'jumping into' bankruptcy, without considering all the wider implications.
It is obvious that you have recognised a serious debt problem, and well done for that, but maybe (just maybe) you are not aware that there are many solutions available, before you might need to contemplate bankruptcy.
I would concur with my co-posters in that you should take professional advice on your situation.
Do as 'scaredwitless' suggests - contact one of the debt charities - their advice is free, professional and confidential.
If they reccomend that bankruptcy is your best option, then we will support you all the way, but I have a strong feeling that they can advise a less stressful solution in your case.
Good luck

NekoZombie

Please bear in mind that at current levels your disposable income will probably be higher than £400 when you are no longer servicing debt, and that the OR will take approximately 70% of your surplus as it is a large amount. These payments last for 3 years, so unfortunately, it will not be the quick end that you are looking for. As others have suggested, take professional advice before making any big decisions.