URGENT HELP PLEASE - Bankruptcy and Amigo Conplaint

sparklababe

I made a complaint to Amigo loans for irresponsible lending. They did not offer a final response and the complaint has been passed to the Financial Ombudsman Service. I made the initial complaint to Amigo on the 24th August and then escalated to the FOS on the 19th October. 

The Amigo loan is over half of my total debt and I am in a position where I need to file for insolvency. The debt has been incurred due to me always prioritising the Amigo loan and not paying mortgage, council tax or utilities. The guarantor is my mother in law so I have a self inflicted pressure to pay Amigo first. I am aware that this was not the greatest idea and is entirely my own fault! 

I have taken advice from StepChange and they have suggested either an IVA or bankruptcy. Unfortunately either of these is likely to adversely affect my job.
If, and that’s a big if, Amigo or the FOS uphold the complaint and the loan is essentially wiped out, I do not need the insolvency. Sadly I will need the insolvency in the next week or so as I have debt collectors contacting me but I am not likely to receive a response from the FOS until January. Both Amigo and the FOS are aware of my situation. The Amigo loan was £10,000 and I have paid over £26,000 to them over the last 6 years. 

My question is, if I file for insolvency but then the complaint/redress is upheld, what would happen in terms of the bankruptcy? It feels unfair that this would be on my credit record as it would not have been necessary had Amigo responded to my complaint within the 8 week time limit. 
Thank you I’m advance for all your help and advice.

jonesMUFCforever

I would imagine any redress would be required by your official receiver to put towards your debts?

sparklababe

It jonesMUFCforever said:

I would imagine any redress would be required by your official receiver to put towards your debts?

Yes it would be but is there any way for the insolvency to be wiped from my credit report? Bearing in mind I wouldn’t have needed this route if the complaint is upheld and because Amigo did not respond in the allowed timeframe?

jonesMUFCforever

No once you are declared bankrupt then it will be on your credit file.

sparklababe

jonesMUFCforever said:

No once you are declared bankrupt then it will be on your credit file.

I thought that in the case of redress, the company has an obligation to correct the credit file. But I guess that doesn’t extend to insolvency. 

Any suggestions on how to proceed? 

jonesMUFCforever

What do you want to achieve? If you have borrowed more than you can repay there is no alternative that will not show on your credit files.

gizmo111

Why do you need to go bankrupt so urgently just because debt collectors are contacting you?  They can wait until you have a full response to your complaint.

Smashingitnow

A couple of you here should be ashamed of yourselves for bullying and sneering at someone so desperate. Camelot your response in no way is a response. Board admins can you permanently block this abusive man?

Original poster...do try and put off the bankruptcy. The FOS give guidelines for the time of response...how much longer should it be? Who is threatening bailiffs? Lock your doors and windows and do not let them in.
There are other options to bankruptcy too. Hopefully @sourcrates or another admin will give you better advice. I'm really really sorry you've had unhelpful comments. Some pathetic people feel big by putting others down it seems.

sourcrates

sparklababe said:

jonesMUFCforever said:

No once you are declared bankrupt then it will be on your credit file.

I thought that in the case of redress, the company has an obligation to correct the credit file. But I guess that doesn’t extend to insolvency. 

Any suggestions on how to proceed? 

Yes, whats the rush here ?

Who is chasing you, and for what ?

You need to slow down and tell us a little more about your situation, your debts, how much is owed and to who, before you go banding around the word bankrupcy.

Also i`m moving your thread to the DFW board, where more clarity can be sought.

fatbelly

sparklababe said:

I made a complaint to Amigo loans for irresponsible lending. They did not offer a final response and the complaint has been passed to the Financial Ombudsman Service. I made the initial complaint to Amigo on the 24th August and then escalated to the FOS on the 19th October. 

The Amigo loan is over half of my total debt and I am in a position where I need to file for insolvency. The debt has been incurred due to me always prioritising the Amigo loan and not paying mortgage, council tax or utilities. The guarantor is my mother in law so I have a self inflicted pressure to pay Amigo first. I am aware that this was not the greatest idea and is entirely my own fault! 

I have taken advice from StepChange and they have suggested either an IVA or bankruptcy. Unfortunately either of these is likely to adversely affect my job.
If, and that’s a big if, Amigo or the FOS uphold the complaint and the loan is essentially wiped out, I do not need the insolvency. Sadly I will need the insolvency in the next week or so as I have debt collectors contacting me but I am not likely to receive a response from the FOS until January. Both Amigo and the FOS are aware of my situation. The Amigo loan was £10,000 and I have paid over £26,000 to them over the last 6 years. 

My question is, if I file for insolvency but then the complaint/redress is upheld, what would happen in terms of the bankruptcy? It feels unfair that this would be on my credit record as it would not have been necessary had Amigo responded to my complaint within the 8 week time limit. 
Thank you I’m advance for all your help and advice.

OK

1. Tell the debt collectors to f off. You can be more polite if you wish.
2. If insolvency will affect your job then it was poor advice from stepchange to suggest it.
2a Also why are they suggesting bankruptcy if you own a property with a mortgage ?!
3. Wait for the Amigo complaint to be resolved before you do anything
4. After that process is complete, post a statement of affairs on this board and we'll take a look at it.

Karonher

How will this affect the mother in law?