DMP or Bankruptcy??? I'm in a mess. Please help

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  • 927
    927 Posts: 46 Forumite
    Hi, I have done an soa and I’ve also completed the bankruptcy forms online which have different categories. What I’ve posted is the list from there. I’ve put everything in including dentistry because that’s what I paid last year for him. I’d assumed the OR would flag it if not allowed?
  • 927
    927 Posts: 46 Forumite
    I’ve also used the Stepchange budget guidelines from 2012 as a sort of marker.
  • fatbelly
    fatbelly Posts: 20,380
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    Everyone has to use the standard financial statement guidelines now - they are pretty generous but hard to follow in practice.

    They are also kept secret but I roughly know the figures for 1 adult 1 young child 1 car. I'm sure those figures you posted will be OK
  • Clouds88
    Clouds88 Posts: 386
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    60 swimming a month probably won’t go down well? Maybe you miss typed and meant to be 20?

    Also if you are on benefits aren’t dentist prescriptions ect free? Just trying to flag up stuff now so if you go in with figures for the OR and he calls you up on it you would have an IPA try to think of other things you might need. I don’t smoke or drink alcohol but do they actually give you an allowance for that? Why not change that it to presents seeing as you have a little one.
  • 927
    927 Posts: 46 Forumite
    No - that is what his swimming costs and that’s the only thing he does (he’s nearly 4) that I pay for. We don’t do days out to places unless they’re free. I’ve put £15 in a month for presents (under gifts). Yes, I get prescriptions for free as I get income support. Not that we have a lot of them. I do smoke - and rarely drink but maybe once every couple of months I’ll buy a beer or wine so I’ve put £5. If it’s taken out then it’s not something I’ll be distraught about. Most important is food, utilities and car really.

    Does the OR have bank statements and bills in front of them when you have your interview? To try and budget better I take cash out and use rather than use my debit card (leave that at home in a drawer) so will that be queried?
  • Clouds88
    Clouds88 Posts: 386
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    No they don’t go through your bank statements, some ask for example six months worth of statements sent to them, others won’t.

    They will just go through an income and expenditure with you on the phone and query anything that they either won’t accept/think is too high/too low.

    The best thing to do is just be honest and bite the bullet and go for it, once you’ve done it you’ll feel so much better.
  • 927
    927 Posts: 46 Forumite
    It’s hard to know how much some things cost or rather how much I spend on specific things. I’ve got records of food for example but gifts I haven’t. Likewise toiletries so I’ve had to do a bit of guesswork sometimes. I’m wary of over estimating AND underestimating. I guess that’s the problem with credit - it allows you to spend what isn’t there already. Feel like such an idiot when I look at the debt.
  • sourcrates
    sourcrates Posts: 28,711
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    927 wrote: »
    It’s hard to know how much some things cost or rather how much I spend on specific things. I’ve got records of food for example but gifts I haven’t. Likewise toiletries so I’ve had to do a bit of guesswork sometimes. I’m wary of over estimating AND underestimating. I guess that’s the problem with credit - it allows you to spend what isn’t there already. Feel like such an idiot when I look at the debt.


    This is why you need to talk to a specialist debt advisor, either at stepchange or National Debt-line, they will run through your budget, tell you the maximum allowances for each category in Bankruptcy so you won`t have to guess.


    You would not recognize a budget sheet prepared for an insolvent, as everything is grouped together into about 2 to 3 categories for simplicity.
    I’m a Forum Ambassador and I support the Forum Team on the Debt free wannabe, Credit file and ratings, and Bankruptcy and living with it boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.For free non-judgemental debt advice, contact either Stepchange, National Debtline, or CitizensAdviceBureaux.Link to SOA Calculator- https://www.stoozing.com/soa.php The "provit letter" is here-https://forums.moneysavingexpert.com/discussion/2607247/letter-when-you-know-nothing-about-about-the-debt-aka-prove-it-letter
  • 927
    927 Posts: 46 Forumite
    I have run through it with Stepchange and they didn!!!8217;t give me any info on maximum allowances. Maybe I should call them again to discuss.

    Can anyone advise re car? If I sell for market value to use funds to pay for bankruptcy application will this be frowned upon? My parents have said they!!!8217;ll pay market price so I can still use a vehicle.
  • sourcrates
    sourcrates Posts: 28,711
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    927 wrote: »
    I have run through it with Stepchange and they didn!!!8217;t give me any info on maximum allowances. Maybe I should call them again to discuss.

    Can anyone advise re car? If I sell for market value to use funds to pay for bankruptcy application will this be frowned upon? My parents have said they!!!8217;ll pay market price so I can still use a vehicle.


    People sometimes borrow money on there credit card for the Bankruptcy fee, then include it in there bankruptcy, so they wont look twice at what you suggest !!
    I’m a Forum Ambassador and I support the Forum Team on the Debt free wannabe, Credit file and ratings, and Bankruptcy and living with it boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.For free non-judgemental debt advice, contact either Stepchange, National Debtline, or CitizensAdviceBureaux.Link to SOA Calculator- https://www.stoozing.com/soa.php The "provit letter" is here-https://forums.moneysavingexpert.com/discussion/2607247/letter-when-you-know-nothing-about-about-the-debt-aka-prove-it-letter
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