Should I just give up??

bananah

Hi,
I have over 50k worth of debt at present, having just had my company go into liquidation due to a bad debt and a very agressive factoring company, who are now taking me and my co-director to court.

we have started a new company, as many of our clients are still on board, but it will be a month or two until enough cash comes in to start getting personal monies back.

i have a house with some equity, and am due to get married this year, and have an 18 month old child.

I am now panicking about how to meet all my bills, pay back loans and run a business, never mind save for a wedding.

i cannot take out any loans/remortgages as i have effectively lost my job, and wont have a steady income for a month or two.

is bankruptcy an option for me? would it mean no one would then touch me with bank accounts, phones, mortgages etc etc?

i'm pretty much out of ideas, any help really welcomed..

many thanks

WorkingHardDFW

Hi

I can't claim to offer lots of advice but others will come along later who can do. So stick with it. You've taken the first step by coming on these boards. Believe me admitting that you've a problem is the first big hurdle to overcome.

You'll be asked for your SOA for which there is a sticky at the top of the board I think. People can then offer advice on what can be cut, reduced or improved from your outgoings.

You've got a partner and small child which are wonderful and you will get through this.

Our debt is massive but small steps, focus and changing the way we live slightly are already having a massive impact on our debt.

Good luck

Mozette

just bumping this up

bananah

hi,
Not really sure what to do next, but here is an SOA:

Income: 2500 pcm (take home)

Out goings:
Mortgage: 500
Nursery fees: 500
Bills etc: 169
Food: 100
Petrol:50
Debts:
Egg card: 102 (5940 @ 17%)
Egg loan: 308 (11020 @ 7%)
Morgan stranley card: 120 (6000 @ 23%)
Alliance & Leis loan: 483 (24,000 @ 12.9%)

Total from household outgoings: 1319
Total from debt: 1013

Total out: 2332

This obv does not allow for clothes, and any other extras.

I am applying for a secured loan to cover all of my debts, therefore hopefully bringing my outgoings on debt down from over £1000, to something more like £4-500. I know this is seen as not a great option, but at the moment, its the only option I can see.

Thanks for any advice.

floss2

bananah wrote: »

hi,
Not really sure what to do next, but here is an SOA:

Income: 2500 pcm (take home) is this an accurate figure? or a guestimate of what you will pay yourself?

Are these the exact figures?
Out goings:
Mortgage: 500
Nursery fees: 500 can your partner claim tax credits child care element to cover these?
Bills etc: 169
Food: 100 for just you or your family too?
Petrol:50
Debts:
Egg card: 102 (5940 @ 17%)
Egg loan: 308 (11020 @ 7%)
Morgan stranley card: 120 (6000 @ 23%)
Alliance & Leis loan: 483 (24,000 @ 12.9%)

Total from household outgoings: 1319
Total from debt: 1013

Total out: 2332

This obv does not allow for clothes, and any other extras.

I am applying for a secured loan to cover all of my debts, therefore hopefully bringing my outgoings on debt down from over £1000, to something more like £4-500. I know this is seen as not a great option, but at the moment, its the only option I can see.

Thanks for any advice.

Ok, Can you break this down a little more please? Accurate amounts for all your outgoings are more useful, as we can see exactly where money can be saved.

Also, do you have no other regular expenses? We really need to see car costs (road tx / MOT / insurance / HP etc), TV costs (licence / Sky / cable etc), phone costs (landline rental / mobile / broadband etc), home insurances (contents / buildings / pet). Plus start a spending diary to see where your money really goes.

BTW, I would think hard about securing your debt - if things go really wrong for your business, you may end up losing your home.

:hello:

Floss x

poorbabe

Hi Bananah and welcome to the board.

Whilst I don't have much advice to offer, I would ask you to hold off applying for the secure loan just yet. Give others, more experienced than myself, the chance to respond.

Have you tried contact CAB to see if they can help you? That is one option.

Sorry I can't be of more help but others will be along soon who can.