Need Help Getting Debt Free

Took outa DMP over eight months ago and am wondering if I would be better to try and go bankrupt because at the rate I am paying back my debts I will still be doing so when I am 67 years old. I am 47 at the moment and working full time but not earning a fortune. I do not own my own home but am renting. I read through the forum but do not quite know where to start. I feel relief that my debts are being paid albeit very slowly but feel that I just need to clean the slate so to speak.Does anyone have any ideas?

Comments

  • Malestrom
    Malestrom Posts: 983 Forumite
    Bankruptcy is always an option but i'm curious as to why it wasn't discussed with you when you contacted the people that setup your DMP. Would they be a fee-based commercial company by any chance? That would explain it if so.

    Read this for a lot more info about the bankruptcy process. I'd recommend you talk to an advisor at National Debtline, CCCS or CAB - links are all at the top of this page in the blue bar.
    He huihuinga taangata he pukenga whakaaro – A meeting of people; a wellspring of ideas (Maori proverb)
  • joof_2
    joof_2 Posts: 2 Newbie
    Yes it was discussed but I felt as I had used the cash I wanted to repay it all. It's only when I sit down now and think how long it will go on for that I am in despair. I just cannot see any light at the end of the tunnel. I don't know if I can go back to the DMP and change it. Yes I do pay a fee for them doing it.
  • jen_jen_2
    jen_jen_2 Posts: 1,032 Forumite
    if you want to pay the debt off more quickly, drop the dmp company and make payments directly to your creditors yourself, the fee the dmp are taking for themselves is just extending your debt.

    bankruptcy, read the info malestrom links to, as far as i can see from what you have put

    advantages for you, debt will be written off in a year, up to 3 years making affordable (perhaps less than dmp) payments, no loss of assests (home, pension,)

    disadvantages, do you want a mortgage in future as you may not get one, the fees (but if not paying dmp can save for a short time to be able to afford them)

    sure there are more advantages and disadvantages, its a personal choice to you, good luck
    Ready to Go Go!
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