Bankruptcy forms

Just_loitering

hello,

I’m in the process of filling out the online forms for bankruptcy.
I live with my wife and 4 children

My wife was medically retired 2 years ago which has lead us to this decision

I work full time and she receives disability benefits and universal credit

I have 2 loans and credit cards totalling £45,000

The forms tell me to put in only things I contribute towards But still wants to know what my wife brings in benefits wise.

Does the benefits get taken into account for the for the bankruptcy, if so surely I should be putting in all the households payments coming in and out and not just the things I pay.

Hopefully that makes sense what I’m trying to say

Thank you

Grumpelstiltskin

Are you sure bankruptcy is the best way forward for you?

Who have you taken advice from?

Just_loitering

I did speak to step change, they recommended an Iva, however they wanted to take the same amount of money every month as I pay now but for a longer period

Which seems very silly especially when struggling as it is hence I’m looking into bankruptcy

Grumpelstiltskin

I suggest contacting your local CAB and find out their advice, bankruptcy is very serious it can affect you for the rest of your life eg. Insurance companies can ask if you have ever been bankrupt, please don't jump into it until you are 200% sure it is the best way to go.

If you can't afford your debts just stop paying them, nothing serious happens quickly. Also if you go across to the Debtfree Wannabe Board they will ask you for your SOA and give you their advice on the way forward.

ManyWays

Do you have any assets? A property or any part of one? or a car worth over £4k? Or do you have a car on car finance?

If the answer is No, then bankruptcy may be a better way forward than an IVA as it is over sooner (3 years payments not 5 or 6) and it is more flexible, if your situation gets worse the payments are reduced, to nothing if necessary and bankruptcy does not fail (unlike IVAs)

How much did Stepchange say you would pay to an IVA?

Did you feel uncomfortable with the budget figures you gave to Stepchange? If tit adds up to what you are paying at the moment but you are struggling, what extra are you paying that is not in the budget?

Is your situation likely to get much better or worse in the next few years, or much the same?

Just_loitering

we live in rented house

My wife’s car is motability

An my can is probably worth about £3000 to £4000, I do commute 21 miles each way to work so running costs are slightly higher than most people, although it’s a diesel,

I don’t mind losing my car if it puts us in a better position though,

also I have been off work for 3 weeks due to an operation, so getting a very low wage this month due to statutory sick pay

I rang and spoke to my bank about it to see if there’s any help etc and their answer was for them to just close all the accounts with them and pass the accounts to their collections team,

That consists of my bank account, 1 loan and a credit card

I appreciate the help everyone, it’s a tough situation be be in

luvchocolate

I went br in 2012 due to now ex partner.

I have never regretted it.

I was in private rent and had a car around the value allowed at that time which I needed for work as a relief store manager.

The only slight irritation was my contents insurance was terminated when I informed them and have to to read the assumptions online for mention of bankruptcy…but no problem with car insurance.

I changed energy supplier and had to pay a £300 fee which was returned after 3 direct debit payments were made.

Good luck

ManyWays

It is a very tough situation, unwell with large debts.

Could you post a Statement of Affairs here please? this is our preferred format.https://www.stoozing.com/soa.php

Then you could get more specific comments on your situation.