Going round in circles!!!

Summer74_2

I have just bitten the bullet and told my father that I am considering declaring myself bankrupt. My father has helped me quiet a lot and as he had financial difficulties years ago (he is now debt free) he doesn't have any savings etc and is disabled and retired so it would allow him so freedom to enjoy his money.

He took it better than I thought he would except he is concerned about the stigma attached to bankruptcy and the future impact it could have. I used to want to set up my own leisure business and this will no longer be an option but he is still keen for me to do it. I have had a change of heart about it but I may decide in later life that it is what i want to do.

He wants me to seek advice outside of the CAB (don't they deal with this all the time so best placed?) and he is willing to pay for me to see a solicitor or accountant to seek advice. Is there any benefit to this or is he just through good money after bad?

Waspeze

Always worth getting a second or third opinion... if you haven't already you could phone CCCS or National Debtline? (they're both free)

shadowdragon

Summer74 wrote: »

I have just bitten the bullet and told my father that I am considering declaring myself bankrupt. My father has helped me quiet a lot and as he had financial difficulties years ago (he is now debt free) he doesn't have any savings etc and is disabled and retired so it would allow him so freedom to enjoy his money.




He took it better than I thought he would except he is concerned about the stigma attached to bankruptcy and the future impact it could have. I used to want to set up my own leisure business and this will no longer be an option but he is still keen for me to do it. I have had a change of heart about it but I may decide in later life that it is what i want to do.

He wants me to seek advice outside of the CAB (don't they deal with this all the time so best placed?) and he is willing to pay for me to see a solicitor or accountant to seek advice. Is there any benefit to this or is he just through good money after bad?

I would seek advice from the debt charities as theres no financial interest in what they advise you the CCCS is very good, and done over the phone, theres a sticky post at top with numbers, i didnt goto CAB cos im not well enough to wait ect, but the CCCS is ideal. The solicitor/accountant wont offer any other advice that you will get from the CCCS plus the BR itself is initiated by you or one of your creditors and you have to goto court ect so in my opionon its a waste of money.

Summer74_2

Another question. Sorry I will probably have lots more.

Regarding your assets. I rent (so no property to sell), the car is a company car (I'm guessing they can't do anything about this?) but what about my belongings. I have cheap sofas, table and chairs from IKEA so nothing valuable but what about things like an emerald ring I got bought for my 18th. Again it probably isn't worth very much but does somebody come into your home and complete an itinerary?

Nothing good in life is easy but knowing what is the right decision on this is very difficult!!

Waspeze

No one comes to your home... they are really only interested in things with a large resaleable value .. antiques, works of art, large new plasma teles etc

I wouldn't put down any of the things you've mentioned.

With regards the car, there's a section where it asks if you have use of someone elses car.. i'd guess you put the company car there.

Peter_Pan

Summer74 wrote: »

Nothing good in life is easy but knowing what is the right decision on this is very difficult!!

I think making the decision to actually go bankrupt is the hardest part of the whole process. Once you have made the informed decision it doesn't matter what happens its not as hard as that first decision.
Its a life changing decision and needs to be viewed with that seriousness. We viewed it as that and as scary as having to attend court seemed or an OR interview and losing the car and other unknown events that may crop up once we had made that decision they seemed insignificant compared to that initial decision.
OH knew it was the right decision and knew he would have to face anything that happened as a result of that decision - not easy.

Summer74_2

Current debt management organised by CAB;

Monthly income - £1799.84

Rent 475.00
Ctax 77.00
Gas 50.00
Water 17.78
Electricity 35.00
Coal 3.00
Petrol 350.00
Housekeeping 215.00
Clothes 35.00
TV Lic 11.65
Contents ins 11.00
Health care 39.50 (includes contacts, prescriptions for psoriasis and inhalers)
Telephone 30.00


Student Loan 58.00 (only 90 left to pay)
Loan 2 99.00
Loan 3 95.00
Card 1 96.00
Card 2 76.00
Ovdt1 20.00
Ovdt 2 6.00


If I moved a smaller property would be £600 - £650 due to the area I work. My fuel bill will be reduced significantly probably to about £100. The CAB adviser has said she will put together a new forecast with me but can anybody shed any light on what they think my monthly payment will be from my disposable income?

Have completed form on CCCS and advised me that my best solution was an IVA however they would want me to budget on even less. I just want my life back.

Summer74_2

In addition to the last question. I know I am very fortunate to be as difficult a situation as some. Thank God I don't have children to consider. I have been reading about finding money for bankruptcy and not paying creditors in order to do this. I will need to do this initially to find deposit for house and potentially up front rent payments then for the bankruptcy. I am guessing there is a limit to how long you can ignore them before they will take you to court? If I need to save 6 months rent that could take some time but I don't want to take advantage or put myself in a worse situation.

Also, I knew it was too good to be true. My father has shown his true colours and told me he thinks I am being foolish and that I will regret the bakruptcy route.

Thanks everybody your great advice so far.