In DMP and selling my company

serious_debt

Hi all, back on here again.
I have been in a DMP for six years or there a-bouts. Total debt just shy of £300,000 all unsecured. Payments under £100 per month.
Recovering alcoholic with Bipolar and other issues.
I live and work in my business. but need to sell as I can't cope. This could be sold for £300,000. But then I have no home and no income, I can't work due to illness, just manage the small bits i do Bed and Breakfast. I am heading towards 60. No pension, no hope.
Do I need to declare that I could sell my business. If I did what should I do?
Love to hear your thoughts.

sourcrates

£300,000 in debt and you pay under £100 per month ???

Your post is a bit scattered to be honest, can you elaborate a bit please ?

serious_debt

Thank you for the reply.
Sorry if I did not make myself clear
I used to be quite successful but drink and mental health took over.
I was put on a DMP and yes I pay under £100 per month.
My Business is a LTD company and I live and earn within it(I live in the Bed and Breakfast property)
I could sell for £300k, about the level of my debt.
If I did would I have to tell my creditors or can I try and do a deal.
You see if I sell I have no home or income as the Business is my income and home. I have to sell as my mental health is not good.
I am a recovering alcoholic (clean over 5 years)
I hope that is clearer!

enthusiasticsaver

I am not sure of the rules re selling assets while on DMP. Is your business the reason why you did not file for bankruptcy?

serious_debt

Yes, I was advised to enter a DMP, as bankruptcy would have taken my home and my income.

sourcrates

So if you sold up, you could clear your debt, but you would be homeless, more or less, well that dosent sound like an option to be to be honest.

Can you be a bit clearer on the money you owe, how much, and to who, and for what, how old are These debts ? Are they still enforceable ?
Secured, unsecured, just a bit of background to make it clearer.

enthusiasticsaver

Did you do the DMP through stepchange? Have you asked them if you are able to keep some of the sale proceeds back to purchase a new home. What were you planning to do re income after the business sold? Do you have any pensions?

enthusiasticsaver

As the debt is all unsecured I cannot see any reason why they should have a call on the proceeds of your business. Obviously though when you are next due a review of your dmp your circumstances will have changed.

serious_debt

Thank you all so far, a bit more info for you.
Total debt just under £300k 17 creditors ranging from about £3k to £60K all credit cards or bank overdrafts.
All about 6 years old and have been paid a portion of the £100 a month I can afford, for the last 6 years.

Please ask if more clarification is needed. I have mental health issues if I appear a bit scatty!

serious_debt

enthusiasticsaver wrote: »

Did you do the DMP through stepchange? Have you asked them if you are able to keep some of the sale proceeds back to purchase a new home. What were you planning to do re income after the business sold? Do you have any pensions?

I am with another provider (worried about who might read this!)
I have a small gardening job that pays me a small cash wage. I was hoping I might do a deal and keep some capital to help me through till i get the state pension!

enthusiasticsaver

serious_debt wrote: »

I am with another provider (worried about who might read this!)
I have a small gardening job that pays me a small cash wage. I was hoping I might do a deal and keep some capital to help me through till i get the state pension!

The only way you can find out for sure is to speak to a debt charity like step change. Your debt is unsecured though so they have no recourse to the proceeds of your B and B without getting a court order, something they are unlikely to do. Speak to step change.

On another note I hope your dmp is not with a company that charges you fees or very little of that £100 will be going towards the debt. It is possible you might be able to offer full and final offers to your creditors after selling up and retaining a small buffer of capital. This might clear your debt quicker. In view of your mental health issues I would definitely speak to step change who are really helpful.