SOA - BR my best option?

Ihatemydebts

Yes, currently two - one is a non running piece of cr*p that is up for sale as spares/repairs.

Ihatemydebts

Lol, apparently it's worth £430! I just went off what I paid for it a while ago.

mwarby

Ihatemydebts wrote: »

DMP isn't practical really, I was due to return to uni this October but have decided to take a year out for various reasons, it'll be at least 2/3 years until I'm able to get even a £20K plus salary so there's no way of paying debts off in the foreseeable future.

TV licence is currently £24.25 as I've only recently needed one and the full cost is split over 6 months. I could ring the OR when it reduces though?

Tied into a contract with sky unfortunately. Would that just be cancelled and added onto my debts?

I'll reduce the entertainment and emergency fund, thanks. I hadn't put anything down for presents, any suggestions as to what amount? Also, am I like,y to be allowed anything for 'holidays'?

I wasn't suggesting DMP, my question mark was more and this is a solution ?

I'd think you'd be allowed to keep sky, but maybe not sky and entertainment fund. I'd think if you wanted to cancel there would be a way out (and or a substantial discount)

I'm not sure if presents are allowed. I suspect not at the level you may like. Come christmas and birthdays economies made in other areas can help(nobody going to check all groceries budget is spent on food)

Worth asking the OR for the budget you want, they'll always tell you if too much. I just thought i should point out some of the things an OR may pickup on

Muttipops

Ihatemydebts, the online bankruptcy application form is different than the SOA form you have filled in above, so if you decide with the help of stepchange that this is the way you are going, you may need to come back here for advice about what to put in certain catagories, because not all are the same on both forms.
The form is easy to fill in and straightforward and you can go back to it and fill it in gradually.
Good luck.

TheGardener

Ihatemydebts wrote: »

The debt remedy tool suggests BR, I don't have any significant surplus so I doubt an IVA would be considered.

I did the online debt remedy thing and it pretty much said BR was the only way to go - and when I'd finished hyperventilating - I started filling in the BR forms. After years of struggling and no sign of anything but penury into retirement, it was the only responsible course of action. This forum saved my sanity and I can not tell you how much I relied on this forum and the support of the posters on here. My only regret is that I didn't do it years earlier.

fatbelly

Ihatemydebts wrote: »

Re the car, the children's school is over an hour's round trip if walking, would they really make me sell my car? I suppose we could use public transport but wow - what a killer Not that I'm moaning, it's my own fault I'm in this situation!

Valued at under £1000 you have a chance of retaining it as exempt property

He/she will need to demonstrate that there is no public transport alternative or that the distance to travel would make walking (or cycling) an impractical alternative. It is not sufficient for a bankrupt who lives in a rural area to claim a motor vehicle simply by virtue of distance from the school. The bankrupt must provide a statement that there is no transport alternative (e.g. a local authority school bus service) or, if there is more than one child, show that diverse locations makes it impossible to transport all the children to school by public transport. The practical problems such as organising children to walk to school, to travel with more than one child on public transport, or any general concerns expressed about safety are simply a matter of convenience and in such cases the vehicle is not necessary to meet a basic domestic need. However, if the children attend school in opposite directions and could not physically be delivered at school on time without the aid of a motor vehicle, it might be considered necessary to the household.”

In the worst case, you or a third party could arrange to buy it back from the OR

mwarby

I'd think the problem isn't so much the value of the car, its the ongoing costs if OR won't allow for running costs having the car won't help

mwarby

The £30 a month for maintenance sounds to low to me, £120 of fuel will be quite some mileage on a £1200 car. £360 a year MOT and a very basic service will leave only ~£200 for repairs and that can go very quick

tigerfeet2006

Ihatemydebts wrote: »

Household Information[/b]
Number of adults in household........... 1
Number of children in household......... 3
Number of cars owned.................... 2

Monthly Income Details
Monthly income after tax................ 0
Partners monthly income after tax....... 0
Benefits................................ 1406.96
Other income............................ 169
Total monthly income.................... 1575.96

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 459.29
Management charge (leasehold property).. 0
Council tax............................. 0 Do you not pay any?
Electricity............................. 50
Gas..................................... 50
Oil..................................... 0
Water rates............................. 0 Do you not pay any?
Telephone (land line)................... 17.4
Mobile phone............................ 20
TV Licence.............................. 24.25
Satellite/Cable TV...................... 26.6 This should be fine as it's the basic package and you have kids.
Internet Services....................... 10
Groceries etc. ......................... 450
Clothing................................ 84
Petrol/diesel........................... 120
Road tax................................ 24.93
Car Insurance........................... 69.03
Car maintenance (including MOT)......... 30
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 30
Medical (prescriptions, dentist etc).... 0 Do you pay for prescriptions, dentist, glasses?
Pet insurance/vet bills................. 0 any pets?
Buildings insurance..................... 0
Contents insurance...................... 0 you need to get this with accidental damage. Especially with kids and being BR.
Life assurance ......................... 8.79
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 25
Entertainment........................... 25 Put this under child related expenses.
Holiday................................. 0
Emergency fund.......................... 50 £40 (£10 per person in household)
Total monthly expenses.................. 1574.29


Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 1200
Other assets............................ 0
Total Assets............................ 1200

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly...APR
Hmrc...........................8650.81...0.........0 Why do you owe HMRC? What is this for?
Sainsburys.....................18557.3...0.........0
Very...........................4950.5....0.........0
Loan in Mum's name.............2532.46...0.........0
Mum............................2800......0.........0
eBay...........................450.......0.........0
Ideal World....................412.04....0.........0
Tsb............................1500......0.........0
Next...........................581.03....0.........0
Endsleigh......................161.91....0.........0
V12............................362.36....0.........0
College Course.................300.8.....0.........0
Barclays.......................668.54....0.........0
Barclays.......................535.1.....0.........0
Isme...........................1744.61...0.........0
Total unsecured debts..........44207.46..0.........-


Monthly Budget Summary
Total monthly income.................... 1,575.96
Expenses (including HP & secured debts). 1,574.29
Available for debt repayments........... 1.67
Monthly UNsecured debt repayments....... 0
Amount left after debt repayments....... 1.67

Personal Balance Sheet Summary
Total assets (things you own)........... 1,200
Total HP & Secured debt................. -0
Total Unsecured debt.................... -44,207.46
Net Assets.............................. -43,007.46



Now I know that the debt to my mum and the loan in her name won't be covered.

Also, I do sometimes get an additional £150 pm maintenance payment, it's not every month and he owes me hundreds that I'll never see. How will that be dealt with?

Have you been in touch with the CSA ( I know it's not called that anymore but can't remember it's actual name)

I think it also asks on the form if anyone owes you money.

So embarrassing that I'm in this state, always worked and managed my debts but due to awful events over the past couple of years I now find myself in this horrible position. I'm so angry with myself.

Some things for you to think about.

NotEvanAPot

tigerfeet2006 - your comment on holiday of payments to loans in mothers name, let's not encourage fraud here. I know you've been around here a lot longer than I have, but I was under the impression that there is a line that is never crossed when dispensing advice and wisdom on MSE?