Urgently need advice. Considering suicide :(

Thriftkitten

Good morning and hope you are feeling even a pinch more positive,
I found myself buried down with debt with no way out, all of my money was being swallowed paying the minimum repayments per month and most of that was interest and missed payment fees from juggling which ones lucky turn it was to receive the minimum payment...
I can't comment on the mental health side of things only that you should follow advise and seek support to help guide you along the way, that could be from Samaritans, a close friend etc...
Re the debt, I would suggest making a call and booking an appointment at Citizens Advice, you used to be able to do this online and they contact you back to make you a longer appointment and assign a case worker to help you sort this is your local area... make sure you take as much paperwork as you can...
As far as worrying about bankruptcy, is there a reason you can't do a Debt relief order? CAB will guide you through and handle everything, all you do is pay the nominal fee which i think is about £90. I had about 12k of debt due to an over payment of Housing benefit that I didnt even know had been paid to the housing department based on them claiming I still had the foster child that has returned to his mother over a year previous, amongst other debt...
Immediately the CAB will contact the company in question and instruct them that you have a case and that they must stop any interest and harassment and this in turn should stop any bailiffs letters... Dont worry no one will come into your home and take clothes off your back, that's not how it works...
My situation was so stressful that Debt relief Order was a blessing as I had been struggling for years and years and getting nowhere.... my credit was shot from juggling the payments and so what was the difference with clearing the debt and all the worry and still having said shot credit for another 6 years... I wasn't going to be able to clear it in 60 years on my own let alone 6 years.... Once I paid my fee to the CAB it was done...no one contacted me and I was able to check that I was discharged from my debt relief order after 12 months via my credit report....
Bankruptcy and debt relief order are much the same however bankruptcy deals with bigger debt and i am assuming would cost them much more so just don't worry as it's not in their best interests to seek that for such a nominal amount considering the fees to them... go check out CAB online and see if you can get the ball rolling on a face to face appointment with an adviser.

Just to add, although it may not feel like it, you are the best possible candidate as you have no way to pay due to health, no material assets.... We all have protection in this country as far as this goes, the government allow you so much a week for food, warmth etc and so after an income and expenditure form is done by the CAB or whoever you choose if you don't have any left over they cannot leave you without these things that by law you are entitled to...

Twubble

Hi. As many of us on here know, debt does lead us into dispair and depression. This can go on for ages until we finally make ourselves do something about it. Honestly, it is far easier to sort out than you imagine, and a lot less scary. You don't even owe that much, but you do have to get it sorted. A DRO (Debt Relief Order) should be the best option, as others have said. I am in one, which started on March 21 2018, so I have less than three months to go. I put off applying for ages, but then bit the bullet and applied. If you go on Stepchange, it will give you all the information there and you can get the ball rolling. Also, Citizens Advice is good, if you are better face to face. I was dreading talking to people on the phone, but it honestly was a piece of cake. There was no judging me, no negativity. I came off the phone and felt better than I had in ages. At this time of year a DRO will take longer, so get on with it asap. Once you have applied, though, you will be able to send the people chasing you a letter to say the application is in, and they should realise they're not going to get anywhere, so will back off. The DRO costs £90 and is simple to set up. Have a look on Stepchange or one of the other recommended sites, and have a good read. People on here can help you with an SOA to sort out what you have coming in and going out. They're a helpful lot.

Keep talking to people about your suicidal thoughts. I have been there, many, many years ago, and I've had an amazing life (ups and downs, but it's been mainly good) since then. I have a son, I have a lovely, simple, but very happy life now, with no debt stress. Taking your life over something that is easily sorted isn't worth it. Give yourself a clean slate and start again. Dead's dead. It's endex. There's no chance of a brighter future. You really do not need to go there. Best of luck. Make 2019 your year!

skintandfat

I was BR in 2011

I had the same heavy handed stuff from RCI finance

They threatened to default me while I was on the phone explaining my money problems
My answer- yep please do it, I insist you do it now.
The woman at the end of the line was perplexed until I explained if they default me now as I request the clock starts ticking and it drops off the credit file quicker

I decided to go BR after they issued me with court papers. When I looked in to it it was quicker to go bankrupt rather than wait until the court date.

When they found out about my BR they dropped the lot and got nothing.

What I am saying is

• Take control (don't let them tell you what to do)
• Take debt advice (National Debtline / debt advisor etc)
• Change your number and don't give them it
• Use the old number for them and only them
• Record your calls (if you have an android phone the app is £3 or less)
• Tell them you are recording the call and they will become really nice and caring
• If you have no assets they can't get any money
• (if advised) Ask them to make you BR as it will save you several hundred pounds
• Don't let any debt collectors in or open the doors to them-give them your old number and tell them to call you (point out the calls are recorded)

Thriftkitten

ThisSucks wrote: »

I've just been reading up on this and it's not clear why the property company would choose this course of action. They're aware I've been hospitalised and have no income. I have no assets at all, not even a used car. From what I've read you get discharged from bankruptcy after 12 months, during which time the property company would probably not have received any money from me at all. And it would cost them something like £2000 to get the bankruptcy order.
So how does this serve them?

It's a scare tactic for those who don't understand how it works...it's designed for them to frighten you into a payment, the next time you speak to them tell them you have an appointment with either Citizens Advise or whoever you choose to handle this for you... once you have an appointment you will be assigned a case number that you can give to these companies who will then back down and give some breathing space so don't worry, just try to make a start to get a case number if you feel up to it.

ThisSucks

I just spoke to Step Change. They said they can't help me set up a Debt Management Plan or anything because the threat of bankruptcy is involved.

However, I also discovered something else. The letter I have received is NOT a Statutory Demand. It is a letter from a process server saying that he has tried to deliver a Statutory Demand and failed and that he's coming back on such and such a date

Just_Di

ThisSucks wrote: »

The letter I have received is NOT a Statutory Demand. It is a letter from a process server saying that he has tried to deliver a Statutory Demand and failed and that he's coming back on such and such a date

I've replied on your other thread here > https://forums.moneysavingexpert.com/showthread.php?p=75249870#post75249870

Just_Di wrote: »

A Statutory Demand has the potential to be set aside if the debt is disputed, so maybe see if that issue is worth exploring.

Was the tenancy agreement in joint names? If so then your ex-partner could be jointly liable for those rent arrears (depending on the circumstances).

How did the tenancy end, such as valid Notice to Quit from your Landlord or possession proceedings including rent arrears (possibly a money judgment) etc?

Was the £7k the actual amount of rent arrears while you occupied the property, or did this figure include unpaid rent due to the end of the fixed term even though you may have vacated before then? If the property was re-let the Landlord can't charge twice for the same rent etc.

Have interest and admin charges been added to the rent arrears, and if so is the amount added in line with any clauses in the tenancy agreement?

I see you've referred to a Deposit which I assume was placed in a Government backed scheme such as the TDS (was it or your Landlord could have a problem?). You've implied that the Deposit issues may not have been resolved.

Most tenancy agreements state that the Tenant cannot use the Deposit to cover rent due, but at the end of the tenancy you may have been able to release the Deposit for that specific purpose (seek advice on this point).

Where is the Deposit now? Is it held by the agent or was it returned to you at the end of the tenancy minus any mutually agreed deductions?

How much is the Deposit (if it still exists) and would that be sufficient to reduce the arrears to below £5k?

You cannot be made bankrupt for a debt under £5k. You say this Statutory Demand is for £7k. If there was a sensible way to reduce the debt to £4,999.99 (such as the Deposit paid over) then you cannot be made bankrupt

The CAB explains this here > https://www.citizensadvice.org.uk/debt-and-money/debt-solutions/bankruptcy-2/creditors-making-you-bankrupt/apply-to-have-a-statutory-demand-cancelled/

If this is your only debt then it would be a pity to let it cause you so much anguish when/if there's a way to fight back with help and support from an advice agency.

If you discover you do have grounds to have the SD set aside (e.g. the debt is disputed) then this can be done by Consent with the property company or whomever is named on the SD.

Di

KeepOnKnitting

I have just seen this and wanted to check in with you. Have you managed to get help?

Bankruptcy is really no big deal, just so you are aware. It's a fresh start designed for when there is only one way, and that way is up.

I have been bankrupt, and I work in mental health services, so feel free to PM me if you need to bend an ear.

System

ThisSucks wrote: »

I'm on virtually no income at all....as I am still not well enough to go back to my old job. I can only just barely afford to eat and keep utilities on. I don't own a car, property or any assets.

What would anyone advise doing next? The amount owed is around £7,000.

If I am made bankrupt, will they take the clothes off my back?

If it makes you feel better this could actually be a cloud that comes with a seriously shiny silver lining for you.

If you're currently struggling with debts it could be a blessing in disguise, from a financial point of view it would give you a clean sheet which likely would take a whole lot of stress off you. You will no longer owe any of your current or previous debts including this year's council tax outstanding and any outstanding amounts on utility bills. And if they're going to declare you bankrupt it means you save on the fees involved in doing this.

You effectively have no assets so from a personal point of view little is likely to change. They don't take the shirt off your back.

What you will find going forward immediately is that you'll only be likely to get a basic bank account, you'll find it impossible to get any finance for a while which is a good thing and you're likely to have to get used to using a pay as you go phone.

Clouds88

I am 8 months into my bankruptcy and it was one of the best things I ever did. Do I feel bad? Sometimes, but I paid so much in interest it probably covered a lot of the actual debt anyway.

I have a pay as you go phone, no one would give me credit for a long time and I won’t be able to buy a house for 5+ years but not owing a penny is SO nice. I have started saving money from things budgeted for like car running costs and clothing costs so when things happen I’ve got some money to pay for them. Life is much more positive and it has taught me to be good with money.

Good luck

maxmycardagain

Now received a "Statutory Demand" from the property company at the old place telling me they are applying to make me bankrupt.

ho ho ho, as if that will get them any money (though it will save you £680 fees....)

frankly that makes lemmings look sane

its all bluff