bankrputcy v IVA.. i own nothing...

blancomcr

HI fellow debt people,Im a 30 yo man,single,i own nothing except a blender and a tv. I am in debt for 25k plus. Up to 3 years ago i was debt free with an excelent credit rating and a credit card of 35k.(i payed for private cancer treatment on my 30k limit credit card,at the time is was the least important thing.) Now i am in a huge debt AND the company i work for went bankrupt last month. So in conclusion,im on the dole,i own nothing,im in debt for 25-30k..what do you think is the best choice an IVA which prob wont work because i have no income or bankruptcy (i dont have the funds). i was on an arangement to pay with my debtors but now on good old benfits (1st time by the way) i can barely afford to eat.HELLLLLPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPP PLEEEEEEEAAASEEEE

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Join Date: Aug 2007
Location: England
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Then I assume that your on job seekers allowance of £ 59.15 per week, full council tax benefit and maximum housing benefit. I think you would get a better response posting this on the bankruptcy sub board.
It seems that you could be a good candidate for bankruptcy but we need to know much more about your situation to be able to assist you, and you need to take some formal proffessional advice form one of the debt charities.

The bankruptcy would cost you £ 335 ( exempt from £ 150 court fee). If you buy your gas / elec from certain companies they have charity trusts that sometimes help with the £ 335 bit, and also there are occupational charities that do the same.

Also of course in your situation you should only be paying your non priority creditors a maximum of £1.00 per month.

Best wishes

DD

fermi

Yep. Have to echo DD's advice really.

Your situation does sound sound as if bankruptcy may be a suitable option for you. However, as said you should seek some professional advice. The judge/court always asks whether you have taken this sort of advice at the bankruptcy hearing. The free and impartial organisations that do this are in my signature.

In the meantime I would read up on bankruptcy and the longer term effects on you. There is good info at:

Guide to Bankruptcy: http://www.insolvency.gov.uk/guidanceleaflets/guidetobankruptcy/guidetobankruptcy.htm
How to petition for your own bankruptcy: http://www.insolvency.gov.uk/guidanceleaflets/bankaccount/bankaccount.htm
What will happen to my bank account: http://www.insolvency.gov.uk/guidanceleaflets/dealingwithdebt/howtopetition.htm

Plus lots of other factsheets at: http://www.insolvency.gov.uk/guidanceleaflets/Guides.htm

The advice agencies also have factsheets/sections on their websites:

http://www.nationaldebtline.co.uk/england_wales/factsheet.php?page=01_bankruptcy#
http://www.payplan.com/bankruptcy.php

Plus a list of other useful links at: http://bankruptcysupportersclub.co.uk/links.aspx

The utility companies (as mentioned by DD) that run charitable trusts who potentially can help with the BR fees if you are suffering "financial hardship" are listed here: http://www.edfenergytrust.org.uk/documents/UtilityTrustsandSchemesforVulnerableCustomersDec06.pdf
But (a) normally you will only be considered by the ones who supply you and (b) they are getting many requests at the moment and so are cutting down on the number they grant.

Also what are your long term prospects on the job market? I know things have all gone very wrong just now, but are your chances of getting back into work soon with a reasonable income any good?

Keep asking us questions about anything you are not sure of.