Going bankrupt

Josie64

me and hubby have been in debt for a while now, we had informal arrangements with creditors which was set up via CAB but we are off work sick and not paid full payments to creditors since May this year, we have just changed CAB due to the fact our other debt caseworker left.

anyway since the first visit to the new CAB the other day , practically straight away they mentioned going bankrupt, which i don't want to do but hubby does, is that possible? at the moment we have two joint debts ( out off 11 total creditors) and a joint bank account (not a debt) out of which household bills are paid and by the way we are not planning on getting divorced.

I think we have got ourselves into debt and should pay creditors back but hubby is sick of the hassle and just wants to go bankrupt, I think he thinks it the easy way out of clearing the debts, but thats not the way I understand it which is why I don't want to go bankrupt,

Conor_3

Completely pointless just one going bankrupt if the biggest debts are joint as the other person just becomes completely liable.

Also it becomes complicated if you own your house and have equity in it.

ClaireLR

Hi Josie,

Bankruptcy isn't the easy way out by any means.

Have you contacted anyone else regarding your debts? I'm sure someone who can post links will be along soon to do so (I'm not a techie person), but can I suggest CCCS, who I found to be extremely helpful. It might be a good idea to write down your income and expenditure before contacting them, and they can advise you on your options. Another good one is Payplan, for a debt management plan (they don't charge for their services, unlike some others companies).

You might want to post a copy of your income and expenditure here too, that way people with a bit more knowledge than myself might be able to help you to.

Hope you sort things out.

revingtosh

Hi,

I declared myself bankrupt a few years ago and havent looked back since!

I went down for over £20000 (unsecured debts) 6 years ago after my business failed. The stress of being in debt was becoming too much with all the phone calls and nasty letters etc.

I just want to reassure you that that depending on how disciplined you become with money, it will offer you a total fresh start and you wont look back.

These days i have learned my lesson and am a lot more careful as i dont want to get into that situation again.

Please remember that it isnt really important where you have been, its where you are going that really counts!

Mike

Josie64

Hi ,
the joint debt is TSB bank account approx 2,800 ( previous debts & income expenditure has been posted in earlier posts)

we sold our house last year, we only got 80,000 so we were left with debts of 28.000 , the other of the "joint" debts is we owe 350 to estate agents as the sale of the house , there wasn't even enough to cover their fees!

we are with CAB at the moment , we have just moved to a new debt caseworker.

why should I go bankrupt just because hubby wants to, why should I be pressured into making a decision that I'm not happy with, all I wanted to know was it is possible? also we don't have the money for one of us to go bankrupt at the moment never mind two people (how much is it anyway?)

allofadither

Josie,

It is possible for only one of you to go BR. That's what me and OH did....I went BR OH didn't. He got left with one debt which we are paying back. No one can force you to go BR Josie.

You should work out the amount of debt each of you is responsible for individually and then decide the best course of action. If OH goes BR and you get left with the remaining joint debts + your own debts the important question is can you afford to repay them?

Hopefully you will get the right advice from the CAB, make sure your OH understands the implications of him going BR and not you. Good luck. x

Josie64

thanks for replies:
hubbys debts are about 13,000 and mine are 16,000 , but 17,000 of that is TSB - bank account/ loan + 2 credits cards

Lizzibuff

Am not judging at all Josie - just wondered what your reasons were for not wanting to go BR?

If its just fear then there are many people on this site that have made BR not seem anywhere near as bad as i'd heard.

Or is there any other reason? Again if its guilt because you feel that 'you've got yourself into that mess then you should get yourself out of it' kind of thing - it doesnt sound like thats the case and by selling the house you tried really hard to pay off your debts. Its hardly your fault if the house didn't sell as well as you'd hoped.

Please don't feel im judging you as im not - theres just no point in burdening yourself with a lot of debt just because you feel guilty.

plumduff-2

Josie its all very commendable having a "Ive had the money I should pay it back" mentality.. but, debt can ruin relationships...

You say you have 16k of debt and there are also 17k of joint debts.. then you owe 30k of debt.. on your own when hubby goes BR.. Are you tlling me that the stress of all this, will not if not already put a strain on your relationship..?

A valuable lesson needs to be learnt before going BR and your hubby has probably learnt it.. dont decide to close off the best option for a fresh start because of the idea of having to repay it..

Yes, you had the money... but if you are struggling, why continue to struggle... accept that you will only move on with life when the stress of all this debt crap has gone for good... And a repayment plan is such a long term option, that pece of mind will take years to come.. You have no assets and obviously not much dosh, bite the bullet and get rid of the creditors..

debt_doctor

Hi im a debt caseworker for the CAB. I pressume you have no assetts or your caseworker needs shooting !! - B ankrutcy is a great relief from overwhelming stress from creditors, it will cost you £ 335 deposit plus £ 150 court fee times two people ( court fee's can be waived due to low income ) - strange thing is you have a CAB CASEWORKER use him or her they have the info to help you !!!!