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| mrw99 |
Posted - 05 October 2011 : 13:31:42
Hi,
I had a DMP, which changed to an IVA, and that failed in March this year. Now I am faced with sorting out the situation, and BR seems my only option.
I'm filling in the SoA form ready to petition in the next few weeks. My creditors have been getting increasingly more active in their demands, including one who fast tracked a CCJ + AoE against me. Faced with a court ruled extortionate sum for only 1 of my 10 creditors, I really think that BR is my best and only realistic option. I thought the courts were there to be fair to both sides. It looks like they are in cahoots with the creditor and are forcing my partner, whose debts these are not, to pay a portion of the £130 per month. I could appeal it, but then BR will be a better solution I think.
Our landlord is aware that I may be going bankrupt. He is fine that with. So long as he gets his rent, we can stay there as long as we like.
I have some questions about the forms.
1. It asks about endowment and life policies. I had an endowment about 10 years ago, but cashed it in after only 1 year. I changed from interest only + endowmnet to a repayment mortgage. I didn't feel the need to continue the policy. I also had a joint life insurance policy that wasn't an investment vehicle. Stop paying, you cover ends, no money returned. Do I need to include these? Don't see the point, and I'm not sure I even have the paperwork still.
2. They ask about use of other vehicles. The only car in our household is my partners car. She bought it long before we met. It is in her name. I use it occasionally. I have a 125cc scooter to commute to work. Why would they need to know its approximate value? Could we be forced to sell it? I do contribute to running costs, but that's it.
3. I had a vehicle on HP, but sold it to webuyyoucar.com last December. They sent CHAPS payments to the finance company, and to me. The finance was cleared. Due to changes in circumstances I was unable to pay the monthly installments and feared losing the car, and being dealt another blow when the finance company charge me for their losses. I sold the vehicle with good intention, but now I'm worried that this might reflect badly and be treated as dishonest.
4. When I sold the financed car. I bought for £450 a 'banger' to do my work commute. After struggling to pay for 2 cars in the household, I sold it for £450, and with the money bought a scooter + helmet to commute to work on instead. It's much cheaper than a car or public transport, and certainly much quicker than public transport. The nearest bus stop is still 1 mile from where I work, and the roads are dangerous to walk on (poorly lit country roads). Could I potentially lose the scooter? Would it be considered underselling of the 'banger', thereby causing a transaction reversal?
5. Our petrol costs per month are not related to work commutes, but instead to maintaining contact with our respective children. We both have children living 45 miles away. Each weekend it costs us nearly £40 in petrol and 180 miles, not to mention the time it takes. Add that to normal household petrol costs and our work commutes (both local fortunately), and we're talking about getting on for £250 a month. I can see this may be a sticking point in the OR interview. Surely though, the OR is not going to make me reduce access to both our children. If I am forced to pay out a lot each month, that will be the outcome.
6. There are 2 adults, and 2 children in our household. I'm diabetic, and my partner's children have food intolerance's. We have to be careful about what we eat, and have to buy expensive non-dairy alternatives, and use very little processed pre-packed food. The guidelines suggest a maximum of around £480 for us. No way is £100 a week enough to cope with this, especially factoring in cleaning and toiletry goods. We also have 3 additional children alternate weekends. While they do not live with us, this is still an additional cost to bear. I'd be looking to call it nearer £600. Maybe that's too much. I really don't know. Eating crap is far cheaper than not.
Lots of questions there, I know. Hopefully someone can offer some advice.
Many thanks
MrW99 |
| 2 L A T E S T R E P L I E S (Newest First) |
| mrw99 |
Posted - 05 October 2011 : 22:18:54
I've been working out an alternative to riding my scooter to work. Taking the bus would cost £40 a month, but take approximately 2 hours each way. This wouldn't be practical as my partner works night shifts and doesn't get home until around 8:20am, just in time for the school run, and in time for me to get kitted up and on the bike.
The scooter costs £30 a month for insurance, but I could cut this down by removing the breakdown and personal accident insurance parts (these are 1 month contract items which can be cancelled at any time). That takes it down to about £20. After this, it costs about £8 per week for fuel.
Of course there's road tax, servicing and MOTs to add, but in all the scooter costs around the same as taking the bus, but takes 10 minutes to commute each way, rather than 2 hours.
The scooter itself cost me £250 to purchase, and already it is showing results of cheaper running costs.
I contributed nothing to the purchase of the household car. I didn't even know my current partner when she bought it, by about 18 months. I do benefit from its use e.g. collecting my children, shopping, days out, commuting when the weather is bad/dangerous etc.
Our children are too young to travel on their own by train. They other parents are unwilling to contribute. My partners children are also delivered/collected to their father each alternate weekend. He has no vehicle, and has insufficient income to pay. If we stop taking them, we're the ones preventing access (at least in the children's eyes). They don't understand, and would make them resentful of us. The pressure is immense.
I would refuse to accept an order to pay something that would mean I and my partner could not afford to see our children.
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| debtinfo |
Posted - 05 October 2011 : 18:37:58
1. the OR is unlikely to be interested but to be 100% open, i would just say what you have put, 10 years ago, cashed in, no paperwork.
2. As long as she bought it entirely herself then it is not at risk, if you use it you may be able to claim some expenses on your outgoings, also they will want to know the details in case someone reports that you are driving this car. if they do the will know straight away that you dont have an interest in it.
3. people buy and sell cars all the time, just give your reasoning to them if they ask and tell them what happened to the proceeds, i think you tend to overthink things a bit, the OR's job is first just to find out what has happened, selling a car is not bad, selling a car and then blowing the proceeds at the horses is.
4. You have not undersold the banger if you sold it for the same amount you bought it for, have you? As regards the scooter, it all depends on if the OR things that you require a vehicle, if you do you will be allowed to keep it so prepare your argument as to why it is needed and why other forms of transport would be unsuitable.
5. The OR takes into account all reasonable expenditure, so you need to show why it is reasonable, do they have the option of coming to you, is it in some sort of access agreement etc
6. The guidelines are for the OR not for you, i always advice that you should put down what you need and explain why you need it to the OR |
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