Is it true 1 in 6 people get an IPA with bankruptcy?

BrokeAndWorriedUK

I've read 1 in 6, 1 in 8 and another article that said anyone with a job will get one.

I am considering bankruptcy but if I wind up with an IPA it will ruin me financially more than simply paying my debts ever could.

No judgement only advice please, my MH can't take it.

stu12345_2

some say if your debts are small but if you add the £680 fee plus IPA amounts over 3 years you could end up repaying more than if you had picked a dmp instead.
 some folk drop to part time jobs just before bankruptcy if wages were high and debts high to avoid an ipa

BrokeAndWorriedUK

stu12345_2 said:

some say if your debts are small but if you add the £680 fee plus IPA amounts over 3 yes you could end up repaying more than if you had picked a damp instead.
 some folk drop to part time jobs just before bankruptcy if wages are high and debts high to avoid an ipa

What does 'picked a damp' mean?

Is there anything to back this up I have been Googling for five hours and I can't find anything.

stu12345_2

dmp debt management plan not damp lol

predictive text lol

if you can pay your debts back interest free on an informal repayment plan with creditors which harms your credit file less than bankruptcy in say 3 to 4 years a dmp may be better than bankruptcy with an ipa

stu12345_2

go to main board debt free wannabe and post your details and full debts and await our replies

fatbelly

BrokeAndWorriedUK said:

I've read 1 in 6, 1 in 8 and another article that said anyone with a job will get one.

I am considering bankruptcy but if I wind up with an IPA it will ruin me financially more than simply paying my debts ever could.

No judgement only advice please, my MH can't take it.

I don't think I've seen hard figures but 16% would strike me as realistic. I've helped a lot of people over the years to go bankrupt. I used to enjoy the trip to court in less-stressed pre-digital days. I don't think any of my clients got an IPA.

BrokeAndWorriedUK

fatbelly said:

BrokeAndWorriedUK said:

I've read 1 in 6, 1 in 8 and another article that said anyone with a job will get one.

I am considering bankruptcy but if I wind up with an IPA it will ruin me financially more than simply paying my debts ever could.

No judgement only advice please, my MH can't take it.

I don't think I've seen hard figures but 16% would strike me as realistic. I've helped a lot of people over the years to go bankrupt. I used to enjoy the trip to court in less-stressed pre-digital days. I don't think any of my clients got an IPA.

Is there some kind of upper income limit? I earn £1773 after tax and NI.

fatbelly

Anyone over £20 per month surplus income.

So be generous with expenditure figures.

They do not take anything from benefit income

BrokeAndWorriedUK

fatbelly said:

Anyone over £20 per month surplus income.

So be generous with expenditure figures.

They do not take anything from benefit income

Don't they put caps on things?

I keep reading how they say a 'reasonable' grocery cost per month is £200 for a single person. Mine is way above that as I don't live anywhere near an Aldi or Lidl etc. I read on this very forum one lady who had her food budget forcefully reduced as they said it was too high, and now she's skipping at least one meal per day so her kids can eat!

ManyWays

"I keep reading how they say a 'reasonable' grocery cost per month is £200 for a single person" where do you read that? 

fatbelly

The insolvency service are supposed to work from SFS figures. Although they are not allowed to be published, I have access to them and they are generous. More generous than you suggest

I don't think I would have any problem with getting someone on your income to show less than £20 surplus.

If we get it below £75, and you live in England, and debts under £50k, and you've not had a DRO before, maybe consider that. No Ipa in  a DRO.

Do you own a car? If not, what do you spend on transport?