CCCS panicking me!

girlie_2

I phoned CCCS bankruptcy helpline today for help with filling in the forms and he said that even though bankruptcy would be my best option there is a chance that my bankruptcy will be rejected and i will be forced to do an IVA instead because i have about £800 surplus a month with not paying all my debts

AAAArrrgghh this is the 2nd person from CCCS to say this now. I know that you guys reassured me last time because i have debts of more than £40,000 and assets of less than £4000 (once my house is sold through voluntary repsossession) but would just like some more reassurance that i'm doing the right thing especially now that i have almost finished my forms and i have booked a date in court for a week on wed??!!?!?!?!

Girlie x

lovebugfamilly

it is possible i think because of the £800 surplus , id ring national debtline for a second oppinion as you dont want to pay court fees for it to be rejected

fermi

The district judges have some guidance on making decisions an alternatives. debt doctor stated them to you in a previous post I think.

I far as I remember you are outside the conditions where that guidance states that they should look seriously at alternatives.

What you should make clear at any hearing is that it is CCCS's opinion that bankruptcy is your best option. If your decision is backed up by them, then I can't see there would be much chance of a problem.

Broken_hearted

Its most likely your BR will go through but you will have to make payments until your BR ends.

rog2

I don't imagine that your bankruptcy would be rejected - however, you are likely to recieve a fairly heavy IPA/IPO which you will have to pay for 36 months, even though your bankruptcy period will only last a maximum of 12 months.
I would be inclined to run your situation past one of the other debt counselling charities, for a second opinion.

Conor_3

I agree with rog2. If you're looking at not paying much out monthly by banking, I think you're going to be sorely disappointed and find that you're going to be paying the same as an IVA but also have all the aggro of bankruptcy. And if you think it's not going to cause you any aggro, just look at all the people having trouble managing to just open an account to get their wages paid in.

blind-as-a-bat_2

If i remember the OP,s situation correctly she has only got such big surplus as she is moving back in with here parents.

The comment was also made this could only be a tempory measure so if this turns out to be the case the OP,s surplus will most likely go down dramaticaly once she finds/decides to rent a place of her own so entering int a 5 year IVA would not be a viable alternative if the creditors where not willing to re-negotiate a lower paymant at such time which thee is a good chance they wont, forceing the IVA to fail and the loss of any money contributed to it.

However an IPA would be re-assesed on the OP,s changed surplus and either reduced or suspended if the surplus dropped low enough.

So even though your both correct Rog2 and Coner, if ive got the right poster that it appears n IVA would be a less problamatic alternative now but it wont be in the long term unlike BR which would be the end result anyway once the IVA failed.

Thats if the OP,s future plans pan out that is

rog2

Conor wrote: »

If you're looking at not paying much out monthly by banking, I think you're going to be sorely disappointed and find that you're going to be paying the same as an IVA but also have all the aggro of bankruptcy. And if you think it's not going to cause you any aggro, just look at all the people having trouble managing to just open an account to get their wages paid in.

Actually that is not quite what I am saying, Connor. I made the point about a 'heavy IPA/IPO' payment, based on the surplus of £800 a month, but, as baab correctly points out this 'surplus' is likely to be a very temporary situation. If an IVA is based on that 'surplus' things will be fine until the OP's circumstances change - e.g. through renting - but an IVA is not s flexible as an IPA.
It may well be, also, that the OP will have to pay 'rent' to her parents out of this £800.
I think, judging by the many threads on the subject, that there is also quite a lot of 'aggro' associated with IVAs - particularily those sold by the glitzy 'Get rid of all your debts' companies.
This is why I advised a second opinion.

girlie_2

yes blind as a bat - you've got my situation right - i am the one who is moving back in with her parents. My £800 surplus is after i've paid rent to my parents so i do have a lot of surplus but i'm obviously ot paying out as much with living with my parents as i would do if i rented a place out by myself.

I am more scared about an IVA then going bankrupt because everyone comments on how strict they are and yes i am hoping that my situation is going to change as i hope to get married and move in with my partner in the next 1 - 2 years.

I'll try and get some more advice - aaaarrggghh i get so easily confused

fermi

Sorry girlie. I had to go off and do a few things.

I do agree with Bat's and rog2's assessment of the situation. An IVA would be far far too restrictive under your current circumstances and would tie you down for 5 years when really you want to get on with your life with a fresh start.

As far as I remember, you've already consulted with several of the advice agencies haven't you? And I think they all came to the conclusion that BR was the best way forward?

debt doctor certainly said in another thread of yours:

debt_doctor wrote: »

As regards your BR being refused, guidlines to District Judges state that if the person has less than £ 40000 of debt and more than £ 5000 of assetts then the DJ can consider an IVA instead of BR. You do not come under that guideline. Your BR will be approved.

blind-as-a-bat_2

You have just answered the question yourself girlie. An IVA is only suitable to someone who is as certain as anyone can be that the five year period it will span will be stable enough to support it.

You already know that you cant agree to that statemant and you have just given all the reasons why so entering an IVA would be at best a hell of a gamble, at worst the biggest mistake you could make

You know what BR will cost you by now i assume both financially and in tems of difficulties it will cause in the future and as it has been pointed out any re-paymants you have to make will be easily variable so will suit yor situation.

I agree it looks now as if it is a bit OTT to go BR now but if you look at your long term goals and the leval of debt you wil have, from memory, once the house is sorted and the secured debts are added as unsecured it,s the only option really