Can i keep my car

Speaky7

Hi Gardner i filled it out
The other income part is my child's middle rate disability living allowance middle rate care what
I use for him.

Number of adults in household........... 2
Number of children in household......... 2
Number of cars owned.................... 1

Monthly Income Details
Monthly income after tax................ 800
Partners monthly income after tax....... 1420
Benefits................................ 150
Other income............................ 290
Total monthly income.................... 2660

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 250
Rent.................................... 700
Management charge (leasehold property).. 0
Council tax............................. 106
Electricity............................. 60
Gas..................................... 60
Oil..................................... 0
Water rates............................. 40
Telephone (land line)................... 0
Mobile phone............................ 80
TV Licence.............................. 12
Satellite/Cable TV...................... 10
Internet Services....................... 40
Groceries etc. ......................... 650
Clothing................................ 40
Petrol/diesel........................... 170
Road tax................................ 10
Car Insurance........................... 75
Car maintenance (including MOT)......... 50
Car parking............................. 20
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 10
Pet insurance/vet bills................. 35
Buildings insurance..................... 0
Contents insurance...................... 10
Life assurance ......................... 20
Other insurance......................... 0
Presents (birthday, christmas etc)...... 50
Haircuts................................ 25
Entertainment........................... 50
Holiday................................. 70
Emergency fund.......................... 30
Total monthly expenses.................. 2673


Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 12000
Other assets............................ 0
Total Assets............................ 12000


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 0........(0)........0
Hire Purchase (HP) debt ...... 13500....(250)......0
Total secured & HP debts...... 13500.....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Mbna...........................2000......45........0
Natwest Loan...................9000......297.......0
Sainburys bank loan............14000.....302.......0
Creation store credit..........3000......100.......0
Total unsecured debts..........28000.....744.......-


Monthly Budget Summary
Total monthly income.................... 2,660
Expenses (including HP & secured debts). 2,673
Available for debt repayments........... -13
Monthly UNsecured debt repayments....... 744
Amount short for making debt repayments. -757

Personal Balance Sheet Summary
Total assets (things you own)........... 12,000
Total HP & Secured debt................. -13,500
Total Unsecured debt.................... -28,000
Net Assets.............................. -29,500

foxy-stoat

What did you spend the £23,000 on with the 2 loans?

Any idea what the settlement figure of the HP loan is and what is the car worth, WBAC or private sale?

IVA an option?

Speaky7

Hi i we already decided we are going bankcrupt!!!
on top of them debts will be morgage shortfall so be 40k or so because i think they sell houses for cheap on repossession.
The budget includes meals or work nappies etc
Obviously i could get this down on a budget.
I just thought the whole idea is not to skimp on things and try not to get a ipa

foxy-stoat

Banks will sell the property for market rate - they cannot give it away.

If you voluntary hand the keys back to the bank you may be able to walk away owing nothing - whats wrong with an IVA and staying put?

TheGardener

The house will sell for whatever they can get for it - it might go cheap - it might not.

The idea of the SOA is not to 'massage' or fib - its to make sure you take full account of your actual expenditure - which the vast majority of people do not. The whole point is that you can have a fresh start and move forward with a budget that you can manage and stay out of debt in the future. If there is sufficient surplus for an IPA, then that's fair enough and you pay one. Its not about dodging whats due.
Benefits are generally disregarded for the purpose of BR.

Prescriptions: 2 adults - a couple of dental checkups each per year plus say 1 filling for one of you + couple of flu jabs a year + a couple of prescriptions a year, I'd put in £15 for that.
Glasses - any of the adults have glasses, optician charges?
Groceries - @seashell - constructive posts or jog on please. @Speaky7 No problem with that amount - in fact I'd add another £25 to that (I'm working on the theory that both children are under 16?). Remember its not just food - its packed lunches, pet food, cleaning stuff, laundry, dry cleaning, domestic textiles, nappies etc.
Do you both pay into workplace pensions? if not, then now might be a good time to start.

Speaky7

Hi thank you gardner
No non of us wear glasses
Yes we are in pension schemes.
I think with them figures in soa and not being able to keep the car finance i would risk a ipa.
I could potentially leave work and get universal credit, i would prefer to do this if it would stop us getting a ipa.

Sea_Shell

I'd not meant to cause offence.

I misunderstood WHY the SOA was being posted.

By "massaging" I just meant that I frequently read that when people are putting together their SOA they are told "oh I think you'll get away with a bit more in this or that category" so trying to squeeze as much in as possible.

I'm not going to argue the rights or wrongs of doing that, if it's within the rules.

TheGardener

Speaky7 wrote: »

...
I could potentially leave work and get universal credit, i would prefer to do this if it would stop us getting a ipa.

That is a sledgehammer to crack a nut. It cuts both ways. An IPA is a minor inconvenience for 3 years compared to paying your debts in full. Based on your income and expenditure - you may not get an IPA and if you do it wouldn't be that big.

Most posters on this board give support and advice that is balanced and reasonable and I would no more advocate avoidance of a reasonable IPA than dodging paying your fair share of tax. The important thing is that you are able to start a new financial life with confidence and hope.

sourcrates

When someone has decided that the only route to financial freedom is by going bankrupt, we try to offer support and good advice on this forum, the why`s and wherefore`s are not important, anyone can find themselves in a position where this is the only real option.


With bankrupcy, your budget is controlled by the OR, but its important you claim for everything you are entitled too, i`m sure you posted with the best of intentions, but please understand some people can be going through life changing events, and because of this, we tend to moderate this foum more strictly than others.


Thanks.

onwards&upwards

Speaky7 wrote: »

Hi thank you gardner
No non of us wear glasses
Yes we are in pension schemes.
I think with them figures in soa and not being able to keep the car finance i would risk a ipa.
I could potentially leave work and get universal credit, i would prefer to do this if it would stop us getting a ipa.

Would you not risk a sanction on your UC claim if you leave your job? A period of unemployment will also make it harder to find work again when you want to I expect.