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    • 927
    • By 927 6th Jul 18, 9:01 PM
    • 45Posts
    • 5Thanks
    927
    DMP or Bankruptcy??? I'm in a mess. Please help
    • #1
    • 6th Jul 18, 9:01 PM
    DMP or Bankruptcy??? I'm in a mess. Please help 6th Jul 18 at 9:01 PM
    I owe £27000 to Barclaycard, Halifax, Virgin and MBNA all credit cards and have no way of paying any of it. I have contacted stepchange, national debtline and citizens advice. SC advised bankruptcy. Citizens advice advised token payments. All the creditors want a dmp.

    My income is benefits and child support £1884 a month and my outgoings are £1862 a month. I do have a car which is worth approx £1200. I use this to take my child to nursery (and will also have to use it to take him to school) as we live in a rural area. My parents have offered to pay any excess if the OR took it as an asset. I rent privately.

    I just want this debt gone but don't see my situation improving dramatically. Really worried and anxious. When I contacted creditors today they all said they manage debts inhouse (not dca's) as I'd asked about full and final settlements as a relative said he could give me £12k but only for a f&f. All except virgin said they didn't accept them.

    Can someone please advise me, pros and cons?
Page 2
    • sourcrates
    • By sourcrates 9th Jul 18, 5:53 PM
    • 15,765 Posts
    • 14,822 Thanks
    sourcrates
    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.
    Originally posted by 927

    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 Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    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 are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    For Free Legal advice see : http://legalbeagles.info/
    • 927
    • By 927 9th Jul 18, 6:06 PM
    • 45 Posts
    • 5 Thanks
    927
    Ok-would I be allowed insurance and fuel costs though? I donít want to pull my son out of nursery so even if my parents own the car Iíd still have to be insured on it.
    • Clouds88
    • By Clouds88 9th Jul 18, 6:08 PM
    • 58 Posts
    • 25 Thanks
    Clouds88
    Yes you can, unless they think you don!!!8217;t need a car but then you!!!8217;ll be allowed an allowance for taxis, bus ect. Hopefully the car won!!!8217;t be an issue.
    • 927
    • By 927 9th Jul 18, 6:53 PM
    • 45 Posts
    • 5 Thanks
    927
    Iíve been advised nursery isnít an essential so itís likely the car will go. Iíd argue Iíll need it to look for work as I live in the countryside and buses/taxis would cost a lot. To get to the supermarket is £13 each way in a taxi. Likewise thereís one bus a day. So if I have no car coats Iíd have enough surplus for an ipa meaning Iíd not be able to run the car anyway. Do you think the taxi/bus allowance would cover taxi costs of that amount?
    • fatbelly
    • By fatbelly 9th Jul 18, 7:25 PM
    • 13,006 Posts
    • 10,078 Thanks
    fatbelly
    You're starting to overthink things now. There's not a lot you can do to change things. Bung in your application and let the OR make the decisions.
    • sourcrates
    • By sourcrates 9th Jul 18, 8:00 PM
    • 15,765 Posts
    • 14,822 Thanks
    sourcrates
    You're starting to overthink things now. There's not a lot you can do to change things. Bung in your application and let the OR make the decisions.
    Originally posted by fatbelly
    Id go with this, stressing about every possible scenario helps no one.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    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 are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    For Free Legal advice see : http://legalbeagles.info/
    • 927
    • By 927 9th Jul 18, 9:28 PM
    • 45 Posts
    • 5 Thanks
    927
    Hah! Yes, I am. I run through every scenario in my head and am full of ifs and buts. Thank you everyone for comments and help, itís much appreciated.
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