| T O P I C R E V I E W |
| Nene |
Posted - 01 February 2009 : 16:13:37
Hello everyone,
I've been browsing this site for a while now and have learnt a lot so thank you. Please bear with me this may take a while now!
We have decided to go BR in June after I have our second child. We've decided with advice that our best move is to move house, change cars and get all the new baby stuff before we go BR so that we're in a more comfortable position to do so.
In the week I met with an expert from a company recommended to me from the helpline on this site. He recommended that in order to pay the fees for his service we take out more credit, also that we should extend our spending so as to not get an IPA but this could obviously leave us up the creek if our situation then changed. I'm also not convinced about how much of the extra spending would be approved. I was under the impression that there are limits on acceptable rental rates etc. Whilst our income will be more than I had initially worked things out on I'm still concerned about increasing everything so dramatically.
I'm also concerned about him having to go back and check that I could go BR jointly with my husband. I only have about £8k debt in my own name but jointly we have about £30k. We're in rented accomadation and when I queried about the landlord being informed he told me categorically that the landlord wouldn't be told, and yet surely they are to check for rent arrears?
I had everything clear in my own mind until I met with this "expert" and since then I'm more confused than ever. I'm planning on speaking to a couple more people on Monday but wanted to get the opinions of the good folks on here. I'm worried about taking out more credit so close to June, I'm worried that as a franchise holder he's perhaps got no more knowledge than me really and might bodge it when it comes to crunch time! I'm concerned that he's so busy trying to sell the service to me he's getting carried away and trying to sweep us up into his enthusiasm and therefore cloud our judgement. It's not what I expected and I do feel sorry for anyone meeting him without a sales background like mine as I can see what he's doing.
Sorry it's so long and probably quite confused. Anyone have any ideas or do I just listen to my instincts?
Helen |
| 15 L A T E S T R E P L I E S (Newest First) |
| movin on |
Posted - 03 February 2009 : 14:02:52
Hi Nene
I agree with John (unfortunately) about the childcare as they will see it as a 'waste of money' - I have 2 kids and know exactly where you are coming from - that break means a huge difference to you both.
xx
Onwards and Upwards is the way im going :-0)
From "Moneyworries" to "Movin On" in 3 months is fantastic :-))
xx |
| Nene |
Posted - 03 February 2009 : 13:54:59
Hello,
Thanks for replies (again! gosh you lot are good! :p)
I'll bear in mind the child costs thing, it would certainly do us both the world of good but if it can't be then it can't be. Shame though, I guess we wait and see how it turns out. :)
Thanks again.
|
| hadenuff |
Posted - 03 February 2009 : 13:33:24
I can see what you're saying there John about not working. It can make a difference to the 'normal' rules.
A friend of ours who was originally self employed but was not working at the time of his bankruptcy was aked by his OR to buy his tools back from him because although normally you are allowed to keep your 'tools of your trade' (within reason), because he wasn't working and was in receipt of benefits it was deemed by his OR that he didn't need his tools.
Whether they were right or wrong in telling him this I don't know and this was a while ago as he has since been discharged.
Just another (probably useless) bit of info :-) |
| John |
Posted - 03 February 2009 : 13:17:03
Hi
may I just add that if you should decide, in the fullness of time, that bankruptcy is your best option, The OR is unlikley to make an allowance as you described regarding childcare if you are not working.
However, nor will you be in a position to contribute to an IPA.
I understand from your post that your husband may also declare bankruptcy and is in work so it is possible that an IPA may be proposed following the submission of his I&E.
|
| movin on |
Posted - 03 February 2009 : 10:33:42
Hi Nene
I just wanted to say that i am pleased you spoke with Paul today and are feeling better. It really makes such a difference speaking with someone.
Good luck
Jenny
xx
Onwards and Upwards is the way im going :-0)
From "Moneyworries" to "Movin On" in 3 months is fantastic :-))
xx |
| Reviva UK |
Posted - 02 February 2009 : 23:40:43
Hi
Good to talk today.
Hopefully you are now a little more comfortable in that there is lots of time to prepare but priorities first.
New baby & New larger home.
take care
Paul Johns
Assisted Bankruptcy Specialists
Reviva UK
Real People ..... Real Debt Solutions
www.revivauk.com |
| Nene |
Posted - 02 February 2009 : 21:14:51
Hello again,
RHB - thanks for the suggestion but I don't work and we don't qualify for much in the way of tax credits etc.
I've spoken to Paul at Reviva today and he's given me yet more to think about, so thank you.
I'm beginning to forget what it feels like to be stress free! |
| RHB |
Posted - 02 February 2009 : 14:54:10
You might get extra tax credit ti help with childcare costs if bith you & your partner are working. |
| Reviva UK |
Posted - 01 February 2009 : 22:25:48
Hi
I think you will be pleasantly surprised by the OR when it comes to babies and new one off costs. They understand that these little folks cost money ( I have 4 girls so I now from experience! )
Clearly it is not a brilliant idea to ruch out and spend money on credit cards for the new arrival.
It is also acceptable to wait and see how the land lies AFTER the arrival before making the judgement to go Br. Too many people rush and who knows what is around the courner.
In terms of rent then it would be the going rate for your area for an appropriate size house.
So if you have 2 little ones and need a 3 bed house then if £1000 is about the average then that would be acceptable. Sometimes new landlords may charge a little more than the going rate because of your credit position, pets, children etc etc. The thing is that you need to be settled WELL BEFORE the due date to give you a chance of getting sorted.
You do not need too much stress and definately do not want it to effect the little one or the family.
Paul Johns
Assisted Bankruptcy Specialists
Reviva UK
Real People ..... Real Debt Solutions
www.revivauk.com |
| Nene |
Posted - 01 February 2009 : 22:14:41
That's exactly it, the getting our ducks in a row, but it's quite difficult knowing that if we got a particularly unsympathetic OR it might not go down very well that we'd been spending, albeit not on anything especially luxurious! I don't think a double buggy is quite the same as a holiday in the Bahamas but you never know if someone is having a bad day.
I think by June we should have moved, had the baby so know about new costs and changes to child benefit/tax credits/maternity allowance, plus had time to save the money for the court fee. It might end up being sooner but it depends how soon baby puts in her appearance. I think, having looked at the figures again every which way, that I'm going to put my little boy into a nursery a couple of days a week.
Can I just ask what the general limit is on rent a month for a family of 4 in an expensive area? We're looking at £1000 a month is that too much? |
| Reviva UK |
Posted - 01 February 2009 : 22:06:52
Well done Nene
the important thing to remember is that you have a lot more time than you think and it is important to use ALL the time you need to make sure that your family and yourself are making the right decision and get all of your ducks in a row BEFORE you take the leap
Paul Johns
Assisted Bankruptcy Specialists
Reviva UK
Real People ..... Real Debt Solutions
www.revivauk.com |
| admin |
Posted - 01 February 2009 : 21:08:26
Hi Nene,
an email is winging its way to you.
admin |
| Nene |
Posted - 01 February 2009 : 19:54:18
Thanks everyone. It's cleared a lot of issues up for us and we're now going to change tactics and go with the service linked above I think and no doubt lots more advice from here.
Admin - could you contact me because I've spoken to people from more than one company through your helpline and I'd like to make sure it's the right people you've removed as the other company seemed really helpful. Thank you.
Thank you to everyone for making this a bit more straightforward. It's rather stressful at the moment as you can imagine!
|
| Melanie.n |
Posted - 01 February 2009 : 18:14:31
Childcare is included in expenditure, allowances will also increase for food, clothing etc with the additional 'person' in the household.
I would strongly advise against incurring further credit between now and June as you are aware of your financial situation and should not be taking on additional credit knowing full well you are unable to make the repayments.
There is no figure in the legislation as to how much you need to 'owe' to be able to file your petition in bankruptcy - the figure you state you were informed is completely incorrect. I have dealt with people who have gone through the bankruptcy process with very low debt levels which is all relative if you owe £5k and cannot repay the money and have no income it may as well be £50k
Melanie Nicholas
28 years insolvency experience - 23 of which in the Insolvency Service
Insolvency Manager
Jones Giles
01446 711780 |
| Reviva UK |
Posted - 01 February 2009 : 18:07:11
Hi Nene
Sounds like you haven't got off to the best start with advice.
You rightly shouldn't extend your credit position knowing that you are to declare Br. There is however no rush to petition and the most important thing is to ensure that you and your family are prepared for the situation through speaking with the landlord or finding alternative accomodation that will suit the larger family ( Congratulations!)
It sounds like the person that you spoke to is relatively inexperienced and doesn't understand that any joint debt is also your responsibility, so as I read it you would actually petition for Br for debts of £38k. ( joint and individual)
As you and the other posters have suggested you may want to do some due diligence and get alternative advice from several companies ( free / charity and fee paying ) and see how you feel.
It may be that you are fine filling in the forms and then you can use this site to ask questions as you go, alternatively you can get limited help from the CAB with forms.
Keep asking lots of questions and you will start to feel more comfortable with the quality of advice.
Paul Johns
Assisted Bankruptcy Specialists
Reviva UK
Real People ..... Real Debt Solutions
www.revivauk.com |
