Have been Burying my Head in the Sand

flis21 · 5 March 2007 at 12:09PM

Hi All,

Well, we had an IVA in 2005, but when I became ill (with depression) and had to leave my job we could no longer keep up the payments and the IVA failed. This was in April / May 2006. Since then I have got another job (although not paying as much as my previous job) and we have sort of 'blotted out' the thought of our debts for nearly a year!! Anyway, things are catching up with us now, we have started getting letters threatening court action etc.

When we took the IVA out CCCS actually recommended that we went bankrupt, but I didn't like the thought of that at the time. Anyway, now I think that will be the best option for us, I don't really want to do another IVA and I am not sure they would agree to one anyway as I am now earning about £7000 less than I was when we did the first one.

Anyway, January we decided we better start saving the fees up to go bankrupt (as there are 2 of us, I understand we have to pay one lot of fees twice, so we need £950!!). We saved £150 in January, but then I fractured my ankle and am now on SSP. Not sure how long I am going to be off work, hoping to go back in April, but that might be optimistic.

Anyway, does anyone have any advice for my situation? Would they waive the court fee, as I am on SSP? If not could the creditors subject us to CCJ's, how long does this take and what would the position be if we told the court we were waiting to go bankrupt.

I am just really worried that we will get bailiffs, was watching that beat the bailiff thing this morning and it really freaked me out and made me want to face up to our situation a bit more.

flis21 · 5 March 2007 at 12:24PM

Sorry more questions!! I realise due to my husbands wages we will need to pay something towards our bankruptcy, which I understand lasts for 3 years. Now part of my husband's income is from commission. The amount varies every month, how will they work out how much we need to pay each month and will the amount vary and have to be worked out each month? (His commision can be anywhere from £50-£250). Thanks.

P.S. - Amm going to be brutal and work out our SOA and current debts etc. So after I have depressed myself, will come and post them all for any further advice.

backontheup · 5 March 2007 at 12:55PM

If you are going to declare yourself bankrupt, you need to stop making payments to your creditors straight away. Hopefully you can raise the fees more quickly as a result.

If you are on benefits, they will waive £150 of the court fees, but you will still have to find the £325 you need for the OR fees.

I wish you all the best

tight_jock · 5 March 2007 at 12:59PM

Hi

Get professional advice
Make your decision to go / not BR.

If you are going to do the deed, stop paying all unsecured creditors in order to save the fees. It is also acceptable to draw cash on a card to pay the
fees if you have any credit left. The fees must be paid in cash at the courtThis will not be frowned upon by the OR, only he will give that creditor a slight priority when it comes to paying anything out of assets.

Get your forms filled in and get a date whilst ignoring creditors. They will continue to threaten action but realistically it will cost them more to go to court in many cases. You will get phone calls . Make a note of time and day in case you need to com[plain about harassment. They must abide by the OFT and BBA/ MAT guidelines on debt collection. Tell any callers from DCA that it is your intention to go bankrupt.It may be useful to unplug the phone for a while if calls continue or change your number.

The timescale for CCJ is probably longer than it will take you to get your BR through so don`t worry. It is highly unlikely that a judge would impose a CCJ if you are filing for BR.

The court fee is means tested so if you are on ssp it is possible that that part of the fee may be waived.

Good luck:beer:
TJ

flis21 · 5 March 2007 at 1:38PM

I am not actually making any payments to creditors at the minute, was paying one of my catalogues, but have stopped that since I went on SSP, as I can't afford it.

My Husband gets a month off paying the rent (as he gets 13 pay days in a year) which is the end of next month, so that gives us £650, so only need to find the other £300.

Am still working on SOA, will post soon.

Have been Burying my Head in the Sand

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