Bankruptcy in new year

Xmaself

Hi
In 2006 I started off with a debt of £96000. I have been with Step change from 2006 and repaid £70000.

Being 52 I am now going to apply for bankruptcy as it will take another 10 years at least to clear my debts.

My salary is £23000 pa and work for a company.
Rent same house since 1992.
No savings, car or property.

Over the 13 years with step change my monthly payments to my creditors ranged from £250-£550.
Would the OR take out the same amount each month to my creditors.

Kind regards

RattyIrk

That will depend. Assuming the bankruptcy is approved the OR will send you a financial questionnaire. If that shows you have any monthly disposable income they will put in place an income payment agreement and anything spare will be taken. The agreement lasts three years from the date of the agreement. This is a moving beast so if your income goes up or down you need to inform the OR and they will adjust the payments accordingly.

If you search through forum loads of questions about this and some example answers to the financial questionnaire which may assist.

You need to consider carefully before going down bankruptcy route. Your remaining debt seems reasonably modest in the grand scheme and bankruptcy has knock on effects. It is a last resort for most people. If I could have avoided it myself I would have done.

TheGardener

If you do an SoA and let us have a look it might help? Use this template https://www.stoozing.com/soa.php

If you had an SoA, then the IPA would only be 3 years.
Please take advice from one of the free debt charities before you make a final decision.

maxmycardagain

3 year IPA thingy at £350/month then