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MoneyFool
Starting Member
United Kingdom
13 Posts |
 Posted - 04 September 2012 : 19:27:30
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Hi everyone,
Just a bit of advice and questions answered as I think I have decided to become bankrupt.
I am 32, live on my own in a rented house, and have a car. My debts must total around 50k (without doing a detailed check) and I don't really have anything to show for it!
I made a terribly immature decision to sack off my debts around 4 years ago, I split up with my fiancée and I had a bit of a personal crisis and just stopped paying my mortgage and debts, house got repo'd, I went on a trail of irresponsible decisions and moved around a bit, and although I knew the debts were there I was getting away with ignoring them.
Now I think I've smelt the coffee and see that if I want any kind of normal future I will have to do something.
My job is commission based (direct sales) but I do receive a basic salary of 16k, but I do live alone and pay all my rent and bills myself, so I don't have lots left over on a flat month, and treat myself on the good ones. We have recently had a commission structure change (for the worse!) so I think the good months will be few and far between now.
Questions-
Based on what I've said, does it seem like a good idea?
Can I keep my car? (55 reg Mazda 6, worth about 2k). I drive to people's houses in my job so it's kind of essential!
Recently decided to go on my credit file and apparently I have 2 CCJs issued in 2008- I didn't even know! Guess the papers went to the house I abandoned. Hopefully these debts can also be included in bankruptcy? Strange that the courts haven't pursued me.
The house I live in belongs to my grandad- he is in a home (has dementia) do my dad is basically in charge of his affairs- I pay my dad rent, my dad uses my rent to pay for his care bills - is any of that relevant or will it just be treated like a normal tenancy situation within the context of bankruptcy?
Thanks for reading and hope to get some useful answers!
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Niobe
Administrator
United Kingdom
4590 Posts |
Posted - 04 September 2012 : 19:58:32
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Hi and welcome to the forum.
The OR will decide whether or not your car is worth too much.
I think the CCj's will be be included.
I also think that you will be ok with the house but not 100% on that.
Have a chat with an expert - there are details of some on the left hand side of the page. |
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 05 September 2012 : 09:33:39
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Hi MoneyFool,
It sounds like bankruptcy could be an option for you, but you need to speak to an expert for advice on all your options.
Your car may be exempt as it's important that you have a decent car for home visits, if the OR thinks that the value is too high then they may ask for some money from you.
Your ccjs will be included in the bankruptcy.
Yes, you can explain your rental situation on your forms.
I advise you speak to an expert on here or visit the CAB to chat through your options.
Viki Warbrooke
Vincent Bond & Co
If you would like free advice on all options available and help with your bankruptcy petition please contact me at http://www.vincentbond.com/about_us_Viki_Warbrooke.asp |
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Richard P
Senior Member
United Kingdom
1701 Posts |
Posted - 05 September 2012 : 10:55:55
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HI Money fool
well done for deciding to take action
from what you have typed yes BR looks best option
rental , CCjs no prob
car depends on your area that you live in. most areas say that a car of 2K used for work purpose is appropriate. however have heard that one area to the east of the country are pushing that cars valued in excess of 1K should not be allowed !
Good Luck Richard,
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MoneyFool
Starting Member
United Kingdom
13 Posts |
Posted - 05 September 2012 : 12:28:11
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Thanks guys. I guess I'll look into getting some advice. I am obviously dreading the while process but I know I can't just leave it, even though nothing has really happened about my debts.
Another issue with the car is that about a year ago I took out a 'logbook' loan and owe about £800 on it, so I suppose I will have to pay that off because if I go BR that company will probably take the car, I wouldn't be able to get another one and I'd probably lose my job. |
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Richard P
Senior Member
United Kingdom
1701 Posts |
Posted - 05 September 2012 : 12:47:00
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take advice on log book loan as they have secured the debt against the car. yes it is vulnerable if you donot maintain payments.
dont look too far give vicki a call.
Good Luck Richard,
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MoneyFool
Starting Member
United Kingdom
13 Posts |
Posted - 05 September 2012 : 17:54:45
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Thanks again everybody. I think if I can cobble together £1500 I can pay my logbook loan off and also afford my BR fees, and get the ball rolling! I feel better already just finding a forum like this and realising I am not the devil!
Viki I would very much like to chat so I will look at your website and get in touch. |
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 05 September 2012 : 22:53:18
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I'm available anytime to chat MoneyFool
Viki Warbrooke
Vincent Bond & Co
If you would like free advice on all options available and help with your bankruptcy petition please contact me at http://www.vincentbond.com/about_us_Viki_Warbrooke.asp |
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debtinfo
forum expert
2826 Posts |
Posted - 06 September 2012 : 06:47:19
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| would it not be better to sell the car, pay off the log book loan and use the rest to buy a cheaper car |
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MoneyFool
Starting Member
United Kingdom
13 Posts |
Posted - 06 September 2012 : 15:14:37
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| That is certainly something I have considered Debtinfo, if I got 2k for my car I would then be able to pay off Mobile Money (logbook company) and have £1200 for another car. My only worry is that my job involves driving to a client in an old banger, and whilst my 7 year old Mazda isn't exactly flash, it does look fairly decent and it is very reliable. I would hope the OR would let me keep the Mazda if it was still mine when I present my BR. |
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debtinfo
forum expert
2826 Posts |
Posted - 06 September 2012 : 17:40:17
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| do be aware though that whilst the OR can make exceptions (depending on the individual circumstances) the recommended amount that they allow for a car is £1,000 |
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xmas baby
Average Member
537 Posts |
Posted - 07 September 2012 : 10:23:31
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Hope everything gets sorted for you Moneyfool. I'm sure you'll be fine and from the sound of it, you are not going into BR blindly, so good luck and keep us posted. I agree with you about this site and the hugely valuable advice that is given by members. When I finally decided bankruptcy was my only option this site proved a godsend and gave me the confidence to push ahead with my BK and come out the other end in relatively one piece.lol
Thanks guys (and gals). You're all hero's
xmas baby |
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MoneyFool
Starting Member
United Kingdom
13 Posts |
Posted - 07 September 2012 : 13:02:13
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| Thanks. I took the first step yesterday and spoke to Viki, very helpful chat on the phone about my situation and agreed BR is the right solution. Need a good month at work to get my fees together, sort out the car, and make an appointment. I'll keep posting about my journey and probably will have a few more questions along the way! |
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Niobe
Administrator
United Kingdom
4590 Posts |
Posted - 07 September 2012 : 13:17:02
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| Please do - we're always here to help and advise and Viki is one of the best!! |
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terry d
Starting Member
United Kingdom
18 Posts |
Posted - 07 September 2012 : 17:26:23
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hi money fool im recently bankrupt myself and if you have any questions regarding the court meeting etc i may be able to answer them,i went through viki as well,she did all the paperwork for me and answered my various questions by phone and email almost daily my debts were £40,000 and im so relived now in 11 months ill be debt freei cant praise viki/vincent bond enough for all her work,keep us posted
BANKRUPT 1ST AUGUST 2012 |
Edited by - terry d on 07 September 2012 17:27:04 |
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pcoventry
Junior Member
United Kingdom
235 Posts |
Posted - 09 September 2012 : 13:45:25
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Panason1c
Are you implying that you actually made the condition of your car worse in order to lowe the value and attempt to keep it?
If that's ver found out and you did do that you would be in a lot of trouble. Deceiving the OR is fraud. I was threatened with being dragged back to court for fraud because i said that my car was mine and then it was my dads. It was my dads but my name was on it so i thought it was mine. |
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The end and where to begin...
