Is Bankruptcy as Daunting and Scary as it seem

luvchocolate

Always be upfront and honest...it's really not worth the trouble it would cause you. 
A family loan would not be paid back it would be written of...however if you have any "spare ".........

Mart7379

it actually can't be written off as the payment is for the finance agreement...................... This debt problem solution is causing more stress that debt itself. I know i have to be honest and accurate, with my spends, but could I maybe show the money I'm sending to the car owner as Child support? 

in the meantime i have compiled a SoA which now includes my wifes income and expenditure.

[font=courier new][b]Statement of Affairs and Personal Balance Sheet[/b][b]

Household Information[/b]

Number of adults in household........... 2

Number of children in household......... 3

Number of cars owned.................... [b]

Monthly Income Details[/b]

Monthly income after tax................ 1668.33

Partners monthly income after tax....... 1256

Benefits................................ 471.75

Other income............................ 0[b]

Total monthly income.................... 3396.08[/b][b]

Monthly Expense Details[/b]

Mortgage................................ 0

Secured/HP loan repayments.............. 0

Rent.................................... 425.88

Management charge (leasehold property).. 0

Council tax............................. 108

Electricity............................. 65

Gas..................................... 65

Oil..................................... 0

Water rates............................. 60

Telephone (land line)................... 0

Mobile phone............................ 100

TV Licence.............................. 13.12

Satellite/Cable TV...................... 50

Internet Services....................... 0

Groceries etc. ......................... 550

Clothing................................ 150

Petrol/diesel........................... 140

Road tax................................ 1.75

Car Insurance........................... 80.33

Car maintenance (including MOT)......... 30

Car parking............................. 10

Other travel............................ 0

Childcare/nursery....................... 900

Other child related expenses............ 50

Medical (prescriptions, dentist etc).... 130

Pet insurance/vet bills................. 0

Buildings insurance..................... 0

Contents insurance...................... 12

Life assurance ......................... 25

Other insurance......................... 0

Presents (birthday, christmas etc)...... 100

Haircuts................................ 100

Entertainment........................... 75

Holiday................................. 105

Emergency fund.......................... 50[b]

Total monthly expenses.................. 3396.08[/b]

[b]

Assets[/b]

Cash.................................... 0

House value (Gross)..................... 0

Shares and bonds........................ 0

Car(s).................................. 0

Other assets............................ 0[b]

Total Assets............................ 0[/b]

[b]

No Secured nor Hire Purchase Debts[/b]

[b]Unsecured Debts[/b]

Description....................Debt......Monthly...APR[b]

Total unsecured debts..........0.........0.........-  [/b]

[b]

Monthly Budget Summary[/b]

Total monthly income.................... 3,396.08

Expenses (including HP & secured debts). 3,396.08

Available for debt repayments........... 0

Monthly UNsecured debt repayments....... 0[b]

Amount left after debt repayments....... 0[/b]

[b]Personal Balance Sheet Summary[/b]

Total assets (things you own)........... 0

Total HP & Secured debt................. -0

Total Unsecured debt.................... -0[b]

Net Assets.............................. 0[/b]

[i]Created using the SOA calculator at www.stoozing.com. 

Reproduced on Moneysavingexpert with permission, using other browser.[/i][/font]

luvchocolate

Whose name is the agreement in?
Surely they will be responsible for paying this?
Have a look on the sub board..IVA and DRO some threads on there may help 

Mart7379

The agreement is in a family members name so yes officially they are responsible for making payments towards this, However I and my wife are main users and pay for all running costs of the vehicle including the finance payments, and evidence of payments to my family member in my bank statements. Finance payments do not show on my bank statements, just payment to my family member weekly. So, would they question what it is for? Why I'm sending £44 a week to a family member

Mart7379

As it doesn't show as Finance payments on my bank account, surely it can be seen as just simply making a financial assistance payment between myself and family member. 

luvchocolate

You are not allowed to make these payments to family. 
I have stressed it's important to be honest to the OR. 
I'm out now...good luck 

sourcrates

Mart7379 said:

As it doesn't show as Finance payments on my bank account, surely it can be seen as just simply making a financial assistance payment between myself and family member. 

As your not going bankrupt, DRO rules are less invasive, you should simply ad £1 here, £2 there, to all your budget items, sometimes its best to keep quiet and use common sense where these things are concerned.

The budget you prepare for the IS and your DRO advisor is the official readout required for DRO acceptance.

The budget you actually use in normal day to day life can be as varied as you want to make it, you are not checked up on at all.

Most, if not all those who enter insolvency never stick rigidly to the original printed budget sheet, as I said, use your common sense here.

Mart7379

Thanks, I am not going for Bankruptcy, DRO yes, and may actually wait until the laws are relaxed in May, before I venture into it. So in terms of the payment to a family member, I would not need to explain the reason behind this. And can disguise it into my expenditure. Sorry for repeating myself. We need the vehicle for commuting to and from work, and also getting kids to and from school

MissFlossy222

As long as you don't own the car, you'll be fine.

Mart7379

Nope definitely do not own the car.