Contemplating Bankrupcy can you help advise

Cheex32

Hi Im a 32 year old single mum to my 9 year old son and I work part time as an admin assistant for my local authority.

I split up with my sons dad back in 1999 when my son was only 1 years old when we were together we got various items on credit which were in my name, I know how stupid of me, but I suppose at the time you dont anticipate your circumstances completely changing.

Anyways, my partner at the time assured me he had paid off everything that we owed, because I was at home caring for our son and was unemployed and he was working, but after we split up it later turned out he didnt pay them at all and eventually they all caught up with me demanding payment and threatening me with various legal actions and baylifs, to say I was pretty overwhelmed is an understatement, it was a horrible time and such a struggle.

I did ask my ex partner what happened but he simply shrugged his shoulders and said to me its all in your name its nothing to do with me.

As I couldnt cope I found a charity run debt management company called CCCS which basically took a load of the stress off my shoulders and I pay around £62 per month.

After my DMP review this evening the CCCS advisor told me the DMP is not allowed to exceed 10 years and told me mine will exceed that limit so she suggested I should contemplate filing for bankrupcy and as I am on a low income and I receive Housing and Council Tax benefit I can file for bankrupcy at a reduced rate of £345.

What I really need to know is what filing for bankrupcy would entail, what it would mean for me and my son, how it would effect our lives and what kind of things would I loose, Im frightened by the idea of filing for bankrupcy not to mention completely embarrassed by the whole situation.

Im worried that people could come into my home and take my belongings and worried that I would have to make a court appearance.

I apologise for my niavety on this situation but bankrupcy is something I never considered before and I would like to know what I would be getting myself into before I go for it.

Thank you, any advice would be really appreciated.

Trollfever

More information:


http://www.adviceguide.org.uk/d_bankruptcy.pdf

http://www.insolvency.gov.uk/bankruptcy/whatisbankruptcy.htm

MikeA1000

There is a Individual Voluntary Arrangement scheme. I haven't looked into it in any great depth, but my understanding is that under the scheme (if you are applicable) you pay what you can afford for 5 years and the rest is written off.

I only know this because I am in the divorce mill and we owe something like ... £80000 (not including the mortgage). Just under half is owed to the Tax Man.

I was advised to wait until after the financial bit of the divorce to know what I personally owed - but as it stood they said I shouldn't have a problem getting an IVA.

Of course, I spoke to them on a phone at the side of an airfield so can't remeber who it was.

Google IVA - or Individual Voluntary Arrangement.

Hope I have helped you.

Regards
Mike

So_Sad_Angel

Hi Cheez32.

Welcome to the board Honey.

You sound like you have had a rough time of late & although I am just coming to terms with BR myself I can reassure you of the following-

No-one will take your personal stuff (furniture, pc, tv etc) unless its really vauable ( I assume here that you don`t have a couple of Rolex in your jewellry collection or a Monet in the hall).

If you have a car you own then provided you can prove essential to lifestyle or work then can keep upto £2k.

You will have to make a court appearance but BR is essentially a legal process & the court has to ensure that the right decision is made for you.

Sounds like you have had advice & although not an easy decision...how long do you want to continue with this cloud hanging over you? Please think about both yours & your sons quality of life here with this hanging over you. 8 years so far has been a long time.

Others will be along to offer more advice than I can but do your research, read others` experiences ...it will really, really help. Please ask as many questions as you need...someone will be able to point you in the right direction.

Take care & keep posting,

Angelxx

PS chk you contract terms of employment re BR & local authority. Just in case BR effects your employment.