In a bit of a pickle

Debtmess2010

I feel embarrassed stupid and upset that I've got myself in such a silly mess..

I separated from partner in 2022 I used £15k of savings plus about £9k of credit to purchase a static home for myself and son to live in...We were renting prior to our separation and I only worked part time, my ex paid the bills, I couldn't get another property to let as my income was so low and needed a home quickly so i purchased the static home.
I've since got my self in to 45k worth of CC debt and a CU loan which I took out to clear CC debt but carried on spending as I still did when married( please no judgement, im ashamed as it is) 
I've managed to keep my head above water with my wages ( new job) UC, CHB and child maintenance but my son is now leaving home to travel then going on to university so I will only have my wages to live on from January 
I know I've been incredibly stupid but just need some advice from some non judgmental and debt wise folk on here
Thank you 

Debtmess2010

Household Information[/b]
Number of adults in household........... 1
Number of children in household.........
Number of cars owned.................... 1[b]

Monthly Income Details[/b]
Monthly income after tax................ 1500
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0[b]
Total monthly income.................... 1500[/b][b]

Monthly Expense Details[/b]
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 585
Management charge (leasehold property).. 0
Council tax............................. 50
Electricity............................. 35
Gas..................................... 35
Oil..................................... 25
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 20
TV Licence.............................. 0
Satellite/Cable TV...................... 0
Internet Services....................... 28
Groceries etc. ......................... 240
Clothing................................ 20
Petrol/diesel........................... 120
Road tax................................ 2
Car Insurance........................... 42
Car maintenance (including MOT)......... 15
Car parking............................. 5
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 47
Presents (birthday, christmas etc)...... 40
Haircuts................................ 15
Entertainment........................... 0
Holiday................................. 10
Emergency fund.......................... 20[b]
Total monthly expenses.................. 1354[/b]
[b]

Assets[/b]
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 1500
Other assets............................ 0[b]
Total Assets............................ 1500[/b]
[b]
No Secured nor Hire Purchase Debts[/b]

[b]Unsecured Debts[/b]
Description....................Debt......Monthly...APR
Castle finance.................15000.....465.......0
Mbna 1.........................7000......300.......0
Mbna 2.........................4000......150.......0
Next ..........................1400......85........0
Tesco..........................6759......120.......0
Virgin.........................6000......120.......0
Barclaycard ...................5000......120.......0[b]
Total unsecured debts..........45159.....1360......-  [/b]

[b]
Monthly Budget Summary[/b]
Total monthly income.................... 1,500
Expenses (including HP & secured debts). 1,354
Available for debt repayments........... 146
Monthly UNsecured debt repayments....... 1,360[b]
Amount short for making debt repayments. -1,214[/b]

[b]Personal Balance Sheet Summary[/b]
Total assets (things you own)........... 1,500
Total HP & Secured debt................. -0
Total Unsecured debt.................... -45,159[b]
Net Assets.............................. -43,659[/b]


I've managed repayments due to having per month:

Child maintenance £300
Child benefit £104
Universal credit £ 265

I don't get housing benefit as I'm on a park holiday site but I also have minimal council tax, no TV licence and no water rates 

sgthammer

Where's the money coming from for your son's gap yah? Does he know how much debt you're in?

Rhyddid2026

Hey @Debtmess2010 I will leave it to folks more qualified than me to give you advice and suggestions. I just wanted to welcome you and to say well done for facing up to things and wanting to take action. There are plenty of us here who have been in similar positions and we're supporting each other to find ways through it that work best for us. It can be done.

ManyWays

You can get UC to help with the charges in a mobile home:
 https://england.shelter.org.uk/housing_advice/benefits/help_from_benefits_if_you_live_in_a_mobile_home

It may not cover all of them, but have a look at it. 

This home has no value to sell?

sourcrates

I think there are two ways you can play this, there`s the informal route were you just stop paying and ask your creditors to write off your debts due to your dramatic change in circumstances, as you have nothing realistically with which to offer monthly payments.

Or take the nuclear option of bankruptcy, which I hesitate to recommend due to the fact you own the mobile home.

Its not certain how the OR would view this, see how others feel about it.

I think it would rule out a 3rd option, which would have been a debt relief order, as I`m guessing you are classed as a homeowner.

One thing I find incredible is how you managed to accrue 45k of debt on a £1500 a month income, I would say you may have cause to make affordability complaints with some if not all of these debts, that may be a starting point for you.

(edit) Just seen the benefit income listed at the bottom of the page, that alters things a little, you may have enough for a debt management plan after all.

Debtmess2010

@manyways yes I could try selling it but there's so many for sale , also where would I live if I could sell? It's probably worth around £10k now and they take their fees when selling..

@sgthammer he's going with his dad (paid by his dad and saved birthday Christmas money etc) for 6 months before starting uni, no he's not aware,  thanks for your the help though 👍 

Debtmess2010

Also because its a non residential site if I apply for housing benefit I will be breaking terms of my agreement with the site im living on and they will terminate my agreement so definitely can't apply for any assistance there,itsv the 1st thing I looked into this year when I realised the mess I was in 

Debtmess2010

@Rhyddid2026 thank you for your warm welcome, it's appreciated 😊 

Debtmess2010

@sourcrates yes I'm planning to make affordability claims against the CU loan which was £18k when I was up to my eyes in it , they done 0 checks ! Also mbna credit limits of 12k and 9.5k ( none of my cards are maxed out and my credit is still good as I've made payments up to date but this will stop come January) just to add my ground rental is £7k per year which is what I've been paying on a lump sum each year with the plan to pay back each month but hasn't worked out and the debt has j6st spiralled 

ManyWays

Debtmess2010 said:

Also because its a non residential site if I apply for housing benefit I will be breaking terms of my agreement with the site im living on and they will terminate my agreement so definitely can't apply for any assistance there,itsv the 1st thing I looked into this year when I realised the mess I was in 

Does this mean you are already breaking the terms of the site by living there permanently?