Completely Skint!Pro Rata Payments or Bankruptcy?

sdbanotts

Thought it might be useful to show my incomings and outgoing.

Your Income Amount

Your take home pay
Your partner's take home pay
Rent/board received £975
Pension received
Any other income received £135
Income Support
Jobseekers Allowance £256

Your Income Amount

Incapacity Benefit
Disability Living Allowance
Working Tax Credit
Child Benefit
Child Tax Credit
Child Support

Total income £1,366

Housing Amount Comment

Rent £1,019
Mortgage
Secured loans/2nd mortgage
Mortgage endowment premium
Service charge/ground rent
Water
Council tax
Gas £10
Electricity £10
Other household fuel

Household services

Building and contents insurance
Telephone, mobile & internet £50
TV licence
Satellite
Repairs and maintenance
Household appliance rental
Child maintenance
Childcare
Fines, CCJs, Decrees
Life insurance/pensions
Medical/accident insurance
Hire purchase

Transport

Vehicle spares and servicing
Road tax
Motor insurance
Vehicle breakdown cover
Fuel & parking
Public Transport £20

Food & housekeeping

Food, toiletries, cleaning £100
School meals/meals at work
Pets, pet food/insurance
Tobacco £50

Misc. goods & services

School trips/activities
Medicines/prescriptions
Dentist/opticians
Hairdressing
Union/professional fees
Laundry/dry cleaning
Education fees

Personal & leisure

Clothing & footwear £12
Newspapers/magazines
Sports, hobbies, entertainment £5
Children's pocket money
Church/charity donations

Sundries/emergencies/other costs

Sundries/emergencies £5
Loan from family/friend
Other

Total expenses £1,281

Additional information Comment

No of adults 1
Dependants 0

Totals Amount

Total income £1,366
Total expenses £1,281

Surplus (Deficit) £85

So am I am eating, albeit it very basically, and paying bills, just living like a real down and out musician, which is my choice, as I believe in my music and want to make a real go of it.

Age is against me,I'm 36, so going to work till my debts are paid off is not an option.

Cheers
s



[EMAIL="abuse@moneysavingexpert.com?subject=Reporting post http://forums.moneysavingexpert.com/showpost.html?p=10224249"][/EMAIL]

Bismarck

Hi,

Been out all day...will post in the morning, when I've got more time....take care

38 year old wannabee musician...

sdbanotts

Thanks Bismark,

I'm seriosuly thinking of going for bankruptcy, as I don't ever see a time when I will clear the full £59,000 debt (including interest).

However, I have always believed that what you borrow you should pay back.I have always treid to live by this.Just to weigh up all my options I've been busy reading as many threads as possible to try and sort something out.

I spoke to HSBC, who have agreed to freeze interest and accept pro rata payments on my loan/credit card/overdraft for 6 months.

Sent letter to Egg and M&S asking to do the same.

If they agree, is it better to keep making the pro rata payments (should they agree), leading to my credit rating affected, and also still leaving me with the same big debts by making such small payments, or-

Get on with going BANKRUPT right away, as deep down, I know I will never return to TV (it's horrible-insincere-fake-nonsense- Believe me I've worked on some of the biggest 'reality' shows Britain has made-And at a very high level)

I want to do everything I can to give my music a good go, and if it all goes pair shaped I will happily go back to work in whatever capacity, or with whoever will employ me. As long as it's not TV.

Bismark asked me why I hadn't worked since Aug 2006. The truth was I couldn't face the thought of continuing in the profession any longer, and got out ,very depressed.,I've left it so long, my name is now out of the TV loop,as most of my old colleagues think I'm going to be a rich rock star!, and I haven't had the nerve to tell them how skint I've become.

Does anyone think bankruptcy is right given my situation/income/outgoings?

What would you do if you could put yourself in my position?

Thanks for your continued advice.it means a lot

mum2one

Nothing personal to yourself, I appriciate that you come on here for advice, not to be slagged off, but in the nicest of ways, your posts come across as ive been there done that brought the tshirt, work wise, when you worked you earnt 1k a week, some people have to work a month for that.

Debt itself is a nasty business, weve all been there robbing peter to pay paul, but with the last loan you took out, you were unemployed, and that could be classed as fraudaulant. You have to step very craefully.

Im not having a go at you, please understand that, Im just trying to play devils advocate, i know some of your debts were from student loans, and you obviously worked hard to get ur post grad, I hold the upmost respect for anyone who goes to university, it was never an option to me to go to uni, although Im now studying with open uni as a mature student.

Obviuosly television is a fickle business, and I appriciate that you are trying to get you life sorted with this music course through the job centre, but in reality, yes go for it, but set yourself a time frame, if I dont do it by xx date, than thats it i'll change my plans, again Im assuming (sorry), that you dont support a partner or children, so you can have that crack of the whip. but you do need to look into other options aswell.

Obviously your debt is high, and you do need professional help, and you are seeking it, which is positive.

sdbanotts

My Dad moaned all his life about working hard,in a job he hated and blaming it all on everyone else.He was always skint, never did anything to change his career.He didn't have the balls.

I've made a decision to change the direction of my life, and I stand by it.

I have also paid over £20,000 worth of my debts off since 1995,have never missed a loan payment until now.

I am not looking to go bankrupt, nor looking for an easy way out. Just wanted some advice, and I do appreciate your honesty and directness.

Some of my mates say exactly the same thing.

I'll let you know how I get on, and pray that not everyone on this board is as bitter and narrow minded as you. Christ this Country would have no musicians or artists et al, if it was up to you, would they.

sdbanotts

mum2one,

sorry if that's how it's come across.
I was just trying to highlight the fact that,despite earning a decent wage, I took the decision to follow my 'dream' and play music.

It was meant to suggest that I'm not motivated by money, and was willing to give it all up if it meant that I could be happy doing what I'm truly passionate about.

Sorry if anyone has been offended by that.

sdbanotts

Regarding the loan, I never took it out thinking I was never going to pay it back. I qualified for the loan becuase they had seen that I had earnt enough in my job in the period of April 2006-Aug 2006, to qualify for it, and I had expected to work in some form from Aug 2007 to start paying it.

When a job never materialised, I managed to make payments to it by selling my car, a guitar etc via ebay, so I haven't defaulted on it.

Bismarck

hi again...there's lots of other angles that I could post from here but I'm adopting a new one:

How are you earning money from your music - what are you doing/planning to do soon? In the time you've had devoted to your music, what have you done?

Do you have a back catalogue of albums recorded and ready to go? Are you able to teach an instrument? Do you have a good set of gigs lined up? Where is the money going to come from and how quickly?

Have you made any income yet from your music....your SOA suggests otherwise but you should be getting something from it or would that interfere with your JSA?

For what it's worth, I wouldn't give 2 hoots about what my colleagues thought if they were originally under the impression that I was going to be a rich rock star...

"My Dad moaned all his life about working hard,in a job he hated and blaming it all on everyone else.He was always skint, never did anything to change his career.He didn't have the balls.

I've made a decision to change the direction of my life, and I stand by it."

OK - I understand this sentiment and life's too short etc BUT you need to simply look at the question : "is it working?"

Sorry - missed this part from before but the post is still relevant :
" am currently due to start the new deal for musicians scheme at the job centre" what does this entail?

sdbanotts

Haven't earnt any money as such yet.I've spent my time teaching myself how to produce using software etc, and taking a free sound engineering course on line.This has given me the necessary skills to produce my demos to a very high standard.

I have also produced demos for several friends, in order to build up a portfolio of my work, should my music not work, I will endeavour to work as a producer.

I have written everything in my music.I have programmed drums, played the guitars,bass,mixed and mastered.My other guitarist has also played on the demos.

We have had a few rehearsals with various drummers and bass players.None of those auditioned have so far been right.

My music is on Reverb Nation,and my space

The dole alllow people who are serious about a career in the industry to undertake a course called 'New Deal For musicians'.It involves studying for 30hrs per week, and meeting with a music indusrty insider to provide support regarding the business.

I have a few contacts at record labels (through my dealings with them during my TV career) who like my music, and await my band's formation before making any serious offers regarding a publishing deal etc.

Over 50 odd songs recorded.Can teach bass and guitar if necessary.
Gigs-Not as yet.
Money-There isn't any!!

Would interfere with my JSA, and mean I would have to leave my home, and move back to my home town, thus making it difficult to rehearse with my guitarist.He's currently studying medicine, so has little free time.It would also make it difficult to recruit the right people for the band.My hometown is a backwater, and creative musicians in that area are few and far between.

I would be more than happy to get a full time job and do my music, but because of my living expense costs,as bad as this may sound, I'm better off claiming benefits financially and having time to write.I haven't been offered a TV job since 2006, as my area of expertise is in a specialist field (Celebrity I'm ashaed to say), and there ain't much in the way of Celeb based programmes happening.And I despise the work, as it wasn't me as a person, and I began to hate who I was turning into as a result.

Fortunately my former colleagues and friends seem to like my stuff, and keep askig when I'm going to be playing live.

"
I set myself a deadline of 2 years.It is coming up soon, so all I am doing at the moment is askig for advice, and will weight everything up in Aug.

mum2one

sdbanotts wrote: »

mum2one,

sorry if that's how it's come across.
I was just trying to highlight the fact that,despite earning a decent wage, I took the decision to follow my 'dream' and play music.

It was meant to suggest that I'm not motivated by money, and was willing to give it all up if it meant that I could be happy doing what I'm truly passionate about.

Sorry if anyone has been offended by that.

I wasnt offended by your post, I was trying to play devils advocate, but also say I hold my hatoff to you for making teh effort to stand up and say Hi I want to pay off my loan. I hope the music side works out, with what youve said about tv, I guess you need thick skin and haveing absolute no idea about the music business, I hope it works out.

If anything I envy you haveing the chance to follow your dream, when I went to take a chance of life, back in 2001, had a new start planned 2002, move 200 miles, start a fresh etc, but for me my daughter came along, and my plans are now flaoting in mid air.

Good luck with it all x