All Forums  New Questions  Forum Questions  I want to go Bankrupt, but advised i cant

Note: You must be registered in order to post a reply.
To register, click here. Registration is FREE!

Screensize: 640 x 480 800 x 600 1024 x 768 1280 x 1024 UserName: Password: Format Mode: Basic  Help  Prompt  Format: Font Andale Mono Arial Arial Black Book Antiqua Century Gothic Comic Sans MS Courier New Georgia Impact Lucida Console Script MT Bold Stencil Tahoma Times New Roman Trebuchet MS Verdana   Size 1 2 3 4 5 6   Color Black Red Yellow Pink Green Orange Purple Blue Beige Brown Teal Navy Maroon LimeGreen Message: * HTML is OFF * Forum Code is ON Smilies [quote][i]Originally posted by red pony[/i] [br]I have a huge amount of debt and having been on a DMP for 3 years, I can see that the only way to end this, is to now go bankrupt. The problem i have according to a financial institute is My Car. I have £1250 coming in each month and i spend out £1250 each month. I am a single mum with 3 kids. I am on income support as my business failed last year. Which has left me owing VAT to HMRC, which i hope will be sorted out soon. So at the end of last yr hmrc took my tax credits away, so i had to come off my DMP. They have now written to me to say it was a mistake and have re-instated my tax credits, they havnt refunded the months i did not receive any payments for though !!. So i phoned the DMP people to go back on my plan, but as i have very little disposable income they would not offer me a new DMP. They said that i should declare bankruptcy (especially as one of my creditors is saying they are going for a charging order for £27,770). I have about 14 creditors and owe around £90k The problem with bankruptcy is firstly I cant afford the £450 the court said i would need to pay, and secondly the DMP people said that the judge would not agree the bankruptcy as my car costs £254 per month, which leaves me on the bread line and they say likely to get back into debt again. So my car is on HP, i have paid £9500 and i owe £5350. So i know i could hand it back, but i have been advised to cancel the payments to the car company and save the monthly payments to buy a banger !!!. until they recover the car. Which sounds ok, but i perish the thought of whats going to happen, and i do travel about 40 ish miles each day to visit my ill mother and run my kids around, so i would hate to buy a cheaper unreliable car that will break down. My house is in my name, i owe £176000 + redemption of £8000 so £184,000 in total and the market value is about £190,000. So after selling costs very little if no equity in the property. So what do i do........ any advice would be grateful. 1) Keep going as i am, and offer £5 to each creditor every month ? 2) Let them put charging orders on the house - because there's no money in the house ? 3) Hand the car back ? 4) Stop the car payments and hope to save a couple of months money before they take it & buy a cheap car, - THEN file for bankruptcy. [/quote]   Check here to include your profile signature. Check here to subscribe to this topic.