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  • FIRST POST
    • anniemac56
    • By anniemac56 20th Oct 19, 2:27 PM
    • 5Posts
    • 1Thanks
    anniemac56
    A Right Mess
    • #1
    • 20th Oct 19, 2:27 PM
    A Right Mess 20th Oct 19 at 2:27 PM
    Posting on behalf of a friend,

    My friend has suffered from BiPolar for over 20 years,,,
    During this time she has been Bankrupt twice, both times her credit record has cleared and then she has had almighty blips and got her hands on Credit Cards always meaning to not go into debt
    but she does,

    This time she has maxed out Capital One cards 1 @ 200 and 1 650
    a Marbles card @2000 this has now had one default notice and a 1st time 12 over limit fee and an Amazon Card @1500 payments are minimum payments each month just the Marbles Card begining to default.

    She also has a Currys You Plan Account with 1500 limit almost maxed out, some of these cards are due for payment early November and her financial situation is a mess,

    Her income is DWP Benefits as in ESA Support Group amd PIP with a good chance of her PIP bieng not given at next review in December19/January 20.

    She said she was on a BIpolar episode for weeks, asking for help and was ignored, she has now just gotten back her pychaiatrist at local hospital but hes ineffective, just nearly doubled her mood stabilisers and anti psychotic medication,
    I have intervened to try and help as she is my best friend but this mess needs sorting,
    Her rent utilities and basic bills are up to date just these cards and account that are just about to flip over in to the red / default stage and !!!!!! up her already poor credit record,

    Trying to avoid Bankruptcy even if it would be allowed for a 3rd time, not sure if a DRO would be allowed as she would have more than 50 per month free after basic bills are gpaid and as her income is purely Benefit Related Im not sure where to turn to,
    I thinking Debt Management Plan Route but even agreeing to that might not be the way due to how easy it is to lose her benefits due to reassessment etc.

    We have sat down this morning and cut up the credit cards and sorted out who is owed what, and was wondering if there was a way to ask credit peeps to not issue her any form of credit again due to her mental health history etc. though one look at her next updated credit report and the situation will become noticeable anyway.

    Any imput would be appreciated

    Than you for reading
Page 1
    • anniemac56
    • By anniemac56 21st Oct 19, 9:10 AM
    • 5 Posts
    • 1 Thanks
    anniemac56
    • #2
    • 21st Oct 19, 9:10 AM
    • #2
    • 21st Oct 19, 9:10 AM
    I am suspecting that folk think this is a false plea for help new account 1st post I just need some advice on this problem.
    I will get my friend to contact CAB 0r Stepchange tommorow,
    I myself went BR in 2008 and read this forum often I just thought Id ask for some helpful advice but looks like I may not have explained the situation properly.

    Believe it or not this is a genuine ask and despite her stupidity she is a good friend who has and is badly let down by local mental health services as soon as your better you are deemed fit to get on with life and are discharged back to the care of your local GP who is brilliant but underfunded and understaffed and not wholly understanding of her Mental Health and Bi Polar situation, as Ive helped
    I have come to understand that each individual with mental health issues is complex unique and a one step attitude,of see, medicate and prescribe and just take the tablets and see you in 6 months does not help it is much more complex than a 10 minute appointment with a psychiatrist every 6 months.
    We have tried the crisis team when I found her near suicidal the other week, an Occupational Therapist was on duty online that day >>>> Im not knocking our brilliant underfunded NHS but when you genuinely need help and reach out for help it takes forever it seems that invisible illnesses like Mental Health do not have a priorty that is my thoughts anyway I diverge.
    The one thing I can sort out is this r episode of overspending on credit cards she had at last Bi Polar episode,
    I am going to do a budget and we have cut up the credit cards and will ring Capital One Marbles and Currys and explain they for the most seem to be run by Creation Finance I just hope they listen
    to the circumstances, and maybe they will freeze interest accept a Debt Management Plan etc if not then all I can maybe suggest is Bankruptcy for a 3rd time then maybe they can help.
    Thank you for reading my long novel
    A budget is telling your money where to go instead of wondering where it went
    [BYou might get 85 years on this planet ++ dont spend 65 of them paying off a lifestyle you cant afford][/B]
    • Minkym00
    • By Minkym00 21st Oct 19, 12:38 PM
    • 222 Posts
    • 89 Thanks
    Minkym00
    • #3
    • 21st Oct 19, 12:38 PM
    • #3
    • 21st Oct 19, 12:38 PM
    I’m not entirely sure what advice / information you’re hoping for. I think we can all agree that mental health support needs vast improvement but there’s nothing on this forum we can do for your friend other than offer her support.
    If your question is “can she go bankrupt?”, then, as she’s technically insolvent the answer is yes. You are not prevented from going bankrupt just because you have been bankrupted before.
    If your questions is “can she self-exclude from obtaining credit”, then I doubt it. Even if she wrote to every single credit provider in the UK she’d never keep up with all of them as more pop up all the time. On the face of it, bankruptcy looks like the safest option as she’ll be naturally excluded from obtaining credit for 6 years. I would normally say that she could be looking at a bankruptcy restrictions order, which would further impact her credit worthiness, but her mental health issues are mitigation for that so it may not be pursued.
    A clean slate may be what she needs to help her get her life back on track.
    • sourcrates
    • By sourcrates 21st Oct 19, 4:59 PM
    • 18,637 Posts
    • 17,553 Thanks
    sourcrates
    • #4
    • 21st Oct 19, 4:59 PM
    • #4
    • 21st Oct 19, 4:59 PM
    She would only just meet the bankrupcy threshold @ 5500 of debt, the minimum being 5000, to be honest a debt relief order may be more appropriate, can the budget not be tweaked to show a 50 or less deficit ? has she budgeted correctly for everything ?
    I'm a Board Guide on the Debt-Free Wannabe, Credit File and Ratings, Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to:
    forumteam@moneysavingexpert.com.
    Any views expressed are mine and not the official line of MoneySavingExpert.com.
    For free debt advice, contact either : Stepchange, National Debtline, CitizensAdviceBureaux.
    • mwarby
    • By mwarby 21st Oct 19, 6:10 PM
    • 1,025 Posts
    • 393 Thanks
    mwarby
    • #5
    • 21st Oct 19, 6:10 PM
    • #5
    • 21st Oct 19, 6:10 PM
    A quick Google suggests CIFAS have a free protective registration for those deemed to vulnerable, might be worth seeing if your friend can get that, it might help to prevent a reoccurrance

    https://www.cifas.org.uk/services/protecting-the-vulnerable not a perfect fit,but maybe they can do something ?
    • anniemac56
    • By anniemac56 21st Oct 19, 6:17 PM
    • 5 Posts
    • 1 Thanks
    anniemac56
    • #6
    • 21st Oct 19, 6:17 PM
    • #6
    • 21st Oct 19, 6:17 PM
    I have been through her budget and it leaves 75 to 80 per week available after food everuything covered,
    I have suggested she get some private CBT therapy help this would take her under the 50 barrier but her income is all from DWP Benefits ESA Support Group and PIP would the 50 limit be ignored as technically she needs this money to pay for online shopping and to pay for a cleaner and taxis to doctors etc, plus the fact that she may not get PIP again when reassessed by DWP/ATOS in December without the cleaner she would live in a pig sty due to her mental health,

    Would writing to the companies owed with proof of her Mental Health stop them adding interest and accept a lower payment Im trying to avoid court cases and debt collectors at her door not avoid paying the debt,
    A budget is telling your money where to go instead of wondering where it went
    [BYou might get 85 years on this planet ++ dont spend 65 of them paying off a lifestyle you cant afford][/B]
    • peter12345678910
    • By peter12345678910 21st Oct 19, 6:23 PM
    • 363 Posts
    • 86 Thanks
    peter12345678910
    • #7
    • 21st Oct 19, 6:23 PM
    • #7
    • 21st Oct 19, 6:23 PM
    Mental illness is everywhere in this fast world, I feel my mental skills declining. Does your friend want to be helped.... if she is buying a lot of stuff, maybe she can start selling a lot of stuff on ebay.
    When you look into an abyss, the abyss also looks into you.

    Friedrich Nietzsche
    • Willing2Learn
    • By Willing2Learn 21st Oct 19, 6:32 PM
    • 4,647 Posts
    • 4,195 Thanks
    Willing2Learn
    • #8
    • 21st Oct 19, 6:32 PM
    • #8
    • 21st Oct 19, 6:32 PM
    Hi anniemac56,


    Your friend is lucky to have someone such as yourself willing to provide support.

    Firstly, when her PIP assessment/review has to be done. I always advise people to use the PIP Factsheet from the Rethink Mental Illness charity. The factsheet gives guidance and prompts as to how best to fill out the PIP Assessment form. It can also be used to prepare notes to take with her when her face-to-face medical assessment is due. I find the notes are helpful prompts for when you get panicked or anxious at the face-to-face thingy.
    https://www.rethink.org/advice-and-information/rights-restrictions/money-benefits-and-employment/personal-independence-payment-pip/


    Second, get your friend to get her psychiatrist or mental health Care Co-Ordinator to complete Debt and Mental Health Evidence Form (DMHEF).
    http://www.moneyadvicetrust.org/creditors/Pages/debt-and-mental-health-evidence-form.aspx
    Once the DMHEF is completed, then it can be passed on to each creditor, so that they have evidence that your friend should be considered 'vulnerable', and so she will treated in accordance with their policies and procedure re vulnerability.

    Third, in the meantime I would write to each of her creditors, advising them to suspend collection activities for a couple of months, due to her vulnerability and the need for her to receive appropriate mental health support and debt management guidance.
    Last edited by Willing2Learn; 21-10-2019 at 6:37 PM.
    I work within the voluntary sector, supporting vulnerable people to rebuild their lives.

    I love my job

    • anniemac56
    • By anniemac56 21st Oct 19, 6:32 PM
    • 5 Posts
    • 1 Thanks
    anniemac56
    • #9
    • 21st Oct 19, 6:32 PM
    • #9
    • 21st Oct 19, 6:32 PM
    yes we have ben thinking along those lines too, Im sure she could get some good prices as they have never been worn and still have tickets on, might try taking some back to shop as some are quite recent, thank you for that idea,
    A budget is telling your money where to go instead of wondering where it went
    [BYou might get 85 years on this planet ++ dont spend 65 of them paying off a lifestyle you cant afford][/B]
    • debt doctor
    • By debt doctor 21st Oct 19, 8:18 PM
    • 4,539 Posts
    • 6,229 Thanks
    debt doctor
    She would only just meet the bankrupcy threshold @ 5500 of debt, the minimum being 5000, to be honest a debt relief order may be more appropriate, can the budget not be tweaked to show a 50 or less deficit ? has she budgeted correctly for everything ?
    Originally posted by sourcrates
    There is no minimum amount of debt to become bankrupt (self petition). 5k (and formerly 750) are / were the minimum debt amount that someone could potentially force bankruptcy upon a debtor.

    I am a DRO intermediary, have been since they came in to force in 2009 - If your friends only income is ESA plus PIP then she definitely will qualify for a DRO on income grounds. PIP goes in as income and the exact same amount taken out as 'care needs'.

    DD
    Debt Doctor, Debt caseworker, Citizens' Advice Bureau .
    Impartial debt advice services: Citizens Advice Bureau Find your local CAB *** National Debtline - Tel: 0808 808 4000*** BSC No. 100 ***
    • anniemac56
    • By anniemac56 22nd Oct 19, 10:25 PM
    • 5 Posts
    • 1 Thanks
    anniemac56
    Thank you for above information have downloaded and printed out the info, and will ask her Psychiatrist if he is willing to fill in the forms to say how Bi Polar affects her...really appreciate the above information I thought I had most of the information to hand but realise I know just a small part of the debt sorting out world,

    I am really thinking of finding employment/training/advocacy work in this area there does not seem to be enough help out there for folk in debt crisis, everything is so streched and underfunded, the thought of someone at home distressed by debt makes me feel bad and want to do something about it, have I at last found my dream job...
    A budget is telling your money where to go instead of wondering where it went
    [BYou might get 85 years on this planet ++ dont spend 65 of them paying off a lifestyle you cant afford][/B]
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