advice anyone?

shezzy

Hi

We have unsecured debts adding upto £48000 and after working out our budget we are £200 a month out a month paying normal priority bills before we even start on all the credit cards and loans. As we have no money to offer them we are considering bankruptcy, we are worried we would be made to sell our house, which would make £15000 left for debts. Would they make us do this do you know? We tried cccs but they said because we had no money left over to offer them an amount we should just pay them £1 ??

Any advice would be gratefully accepted.

shezzy

Migz

When I first got into troube I was told to offer everyone I owed a £1 a week, it was a long time ago, but I think the reasoning is if you offer something it is better than nothing! Not only that but then if they take you to court I have heard of Judges throwing it out and the ceditor not getting a penny, as an offer to pay no matter how small has been made, whether there is any truth in it or not I don't know!! And didn't care to find out the hard way!!
Chances are if you go Bankrupt your house is an asset therefore the OR will probably want you to sell it and use the money to pay your creditors and fee's. I am unsure of the whole process as I didn't face this problem, but someone who has been there will be able to tell you more.
Call the cccs again and national debtline, get a much help and advice as possible, or go to citizen advice and sit down with someone and go though it all, it sometimes helps to be sat in a room with someone than over the phone. Good Luck with getting things sorted.

Migz

lucielle

Hi

we are in a similar situation, but rent our house and have absolutely nothing. Been to CAB and now considering our options. Hope you get sorted.

malestrom07

After all your priority bills are paid and food and travel expenses are accounted for, if you only have a £1 per creditor then it's realistic to offer what you can. Taking you to court does not guarantee the creditor gets any more, it's a classic blood out of a stone situation. Is your situation likely to improve at all in the future?

backontheup

It would be worth you considering BR. £15K is not an awful lot of equity to see you homeless for. If just one of your went BR then your partner could buy out your share of the equity. Are the debts all mostly in his name? Or yours?

tigerfeet2006

Have a chat to National Debtline as well and see what they have to say to you. Explain you want to know all your options and see what they suggest.

meech78

As above, try talking your options through with CCCS or national debtline and see what you can come up with, they can advise you on the £1 per creditor too! hth

squirrel_pigeon

It's a bit of a myth that you are made to sell your house in BR. Obviously, if you have £1000s in equity it would be done, but for £15k the OR may allow you to remortgage to release a proportion of the equity or even put a Charge on the property so if you sell in the future they will get paid.

http://insolvency.gov.uk is the best place to check out. Also, CCCS have a Bankruptcy Support Service which a counsellor can refer you to if your situation suggests that it is the best option.