Going Bankrupt - 26 & Scared

onwards&upwards

Jonathan_Kelvin wrote: »

Yes, you have spent money that you have not yet earned, you have borrowed from your future self. Life was easy when as well as your whole wage you were also spending other people’s money, and now that you not only have to drop back to spending only what you earn, but also have to repay, then it is going to be hard.

The board is for helping, not for judgement or telling people off.

Jonathan_Kelvin

Hannah232 wrote: »

I am not requesting that I have a car ASAP but if I can explain to the OR that I am wiling to train for a few months but I do need a car for work surely they would allow me to keep money aside to save for car if it is vital for work?

Probably not.

Hannah232

Please don't argue over my problems.

Jonathan just a heads up telling someone that they are going to have a very bleak future on New Years day is probably not the right words to use but each to their own. I came on this board for advice and honest answers, I guess I just wasn't expecting so much honesty
I am not a bad person and most of my debt was to try and help somebody else and it kind of came back to bite me in the bum.
I have learnt a lot in the last few years and I do want to cut down where I can so thank you for everyone who has sent me advice and kind words.

I know I need to earn more money, I am working hard in my job to achieve this.
I know I am in debt and signed into contracts, I am also working on a plan to get out of these eventually.
The issue remains is the car, which I do need but am willing to sacrifice getting a train for a short period but my employee will most likely expect me to get a car at some point as I do go out on my own to appointments and sometimes last minute where a train is not always reliable.

I understand the issues around BR, I have read about it and how it can effect me with mortgages etc. and finance and credit, however at this rate I will be living with my parents for years anyway.

I guess I was just trying to figure out what would happen if I did file in regards to my car. I am not asking for a cheat or a easy way out, I already know how hard this is.

[Deleted User]

Will bankruptcy affect your future career? It's not just whilst you're bankrupt that some careers are affected, there are some, especially where you are responsible for finances and budgets, where bankruptcy will follow you around forever.

Sea_Shell

Have you actually ASKED your parents for a reduction of keep, or a payment holiday?

fatbelly

Hi Hannah

I spotted your thread when it first started - and folks were saying 'post a soa'. Then it seemed suddenly to have 100 posts with things spinning in different directions and the soa buried in the middle of it.

I'm not used to threads on this board being so active - in fact I can't remember another one like it.

If you feel this is going round in circles now, you could walk away from it and come back with a new thread (and maybe an updated soa) in a month or two.

onwards&upwards

Lover_of_Lycra wrote: »

Will bankruptcy affect your future career? It's not just whilst you're bankrupt that some careers are affected, there are some, especially where you are responsible for finances and budgets, where bankruptcy will follow you around forever.

To add to this, it can be quite surprising how many jobs/careers can be affected by bankruptcy, and it’s not always the ones you might expect.

katsu

Hi Hannah. Well done for being so honest and engaging. I'm really sorry you are in this situation and commend you for working on it.

I wonder if people here could comment on the options to perhaps use a DMP route where you stop paying the full amount to the gym and phone company. You'd be putting them into a bankruptcy plan anyway if you went BR.

Maybe get a cheap sim deal instead, even sell your handset if that helps?

Do you have anything else you can sell? Last year I made over £200 selling stuff on Facebook - just old things for around £5-20 a time. Clothes, bags, shoes, bike... maybe you can make a month of car payment that way?

What is your financial position if you can get to 12 months and hand the car back?

I'm wondering if you could cut all your bills, get some extra hours of work somewhere - cutting grass, babysitting, cleaning, working in a sport stadium, bar... anything that wouldn't feel as bad as your last go at a second job by maybe being less hours? What if you could just work 4-8 hours a week? What could you earn?

I hope some of these ideas help you and I do think talking to your parents is a good idea as maybe they and you can agree for example you paying less rent for a few months if you do more work around the house? I appreciate it isn't their fault that you are in this situation but you do need to get out of it somehow and maybe they should be able to understand and offer their perspective on your decision?

I hope you'll keep posting and hope some of this might be helpful to you.

Hannah232

@Fatbelly, yes I wasn't quite expecting so much response, but I am thankful for everyones responses and each person has grown my knowledge a little bit more on the subject which I needed.

@onwards&upwards, I don't work in finance, I work in the Fostering and Adoption team but not actually for the younger cohort it is more for young people and finding them places to live. So I do not deal directly with agreeing any budgets. I don't think it would effect my job, I need to double check my contract.

Hannah232

@Katsu, that is a really lovely post, thank you for the kind words.

I am going to spend some time talking to everyone again just to double check there is nothing I can do.

My second job was bar work but the hours were quite late and I always pushed myself working too many hours so that after the tax it was worth working but then suffered, I always find doing too less doesn't make much difference after tax but I guess it is still better than nothing...

Thank you.