am i crazy?

[lost]

hi well this is my story.

I have been in an iva for 31 months of a 60 month total but my wife has now lost her job and i am seriously contemplating BR i have a home and have 11 years remaining on the mortgage.I have 4 kids and My wife is suffering from depression and life at the moment sucks like hell and i ask myself is it worth it to carry on fighting with the iva things are not going to get any better and i am only half way through the iva.When you go BR do you lose your furniture and belongings?i also have a w reg car that uses more oil than petrol will this go also?is there anywhere i can look to see what expences your are allowed in a BR i have read you could still pay for 3 years even when you go BR?

thanks for taking time to read the post i was hoping for some advice or to be called crazy or i dont know[xx(]

thanks

[kallis3]

Lost, take a look at this site

http://www.insolvency.gov.uk/

It will tell you all you need to know about bankruptcy.

You won't lose your furniture unless you happen to have any antiques! Your car should be safe as it is not going to be worh a great deal.

You may be expected to pay for three years - if you have disposable income of over £100 then you are expected to pay 70% of that across. If you get any pay rises then you may have to pay some of that across.

If you have any equity in your home, then you could lose it.

Speak to your IP for a payment break to see if your wife is able to get another job. It seems a shame to let your IVA fail when it is so far down the line.

[MelanieGiles]

That's great advice from Jan - and do remember that whilst bankruptcy proceedings can often look the worst possible choice, in reality it will bring the perhaps a fresh start and help your wife to come to terms with her illness. Just to concur with Jan that your household effects and car will not be affected by bankruptcy.

[lost]

thanks very much for the reply`s

[kallis3]

I hope you get things sorted Lost. Let us know how you get on, and don't forget we are here anytime you need anything answering.

[lost]

thanks jan i cant seem to find anywhere you can get an idea of an expenditure list for a BR i have 4 kids was wondering how much you are allowed for living expences etc etc i have no idea what you are allowed to put down any ideas will the OR look down on me due to quitting the iva after half way?

sorry so many questions

[kallis3]

I am not sure about the expenses. Skippy is probably the best one to advise about that as she was bankrupt last year after failing an IVA.

If you cannot maintain your payments so that the IVA fails, the OR will not look down on you as you will have tried your best. Again, they are not there to judge, they just have a job to do.

[MelanieGiles]

I can send you a copy of the CCCS guidelines if you e-mail me at my website. This could be helpful when looking at your budget - but at the end of the day you should put down what you actually spend in the first instance.

[lost]

thankyou melanie i will send my email address

[jane.l]

bankruptcy sounds scary but sometimes it can be a blessing, a chance for a new start.

We have 3 children and my advice would be to just put down what you actually spend in order to live a reasonable existence. Every OR is different, some allow holidays, (ours didn't), but some are quite generous.

They may tell you that some of your expenditure is excessively high and cut it, but its better to put too high a figure than be scrimping by on a very tight budget, if they decide you can easly afford an IPA [;)]

I know it is over a year now since my bankruptcy and the figures are probably a lot different but we were allowed: (for 2 adults and 3 teenagers and 2 cats)

Food/houskeeping £545 per month
BT (incudes fastest broadband package) £55 - was never questioned
gas/electric £150
council tax £118
Rent £575
Water meter £75 (this was what we actually used) [:0]
dentist/optitian £20
car maintenance £60
Car tax £11
Car insurance £28
petrol £120
Tv licence £11
Pet insurance £20
Clothes £80 - I put £100 but the OR cut it to £80
Haircuts £20
Mobile phone £25 - hubby needs it for work - was not questioned

No IPA


hope this gives you some idea[;)]

[Skippy]

To be honest I just put down what I actually spent. Some of my expenditure was a bit higher than the guidelines at the time, but I would have been able to back up the claims if I was asked.

If you have a look at my blog you'll be able to see what I was allowed, but bear in mind that I went BR on my own, I don't have a family (although the housekeeping is for 2 of us) and it was in 2007 (it's nearly 2 years now Jan - time has flown past!) so things have changed.

[lost]

thanks very much i dont know what i would have done with out all your help and this forum is a godsend

[kallis3]

I'm glad we have been of assistance. Don't forget that you can ask us anything. Someone will usually be able to answer it for you.

Let us know how you get on.

[MelanieGiles]

I cannot believe that your bankrutpcy was nearly 2 years ago Skippy. It seems like just yesterday!

How is your Mum by the way?

[Skippy]

I know - it's 2 years on 29th March!

She wasn't too good yesterday, the pain had kept her awake, and just to make her feel even worse she had a water leak in the kitchen and was paddling yesterday morning. Luckily Dave was working there so he sorted it out for her, but she just deserves a break at the moment.

Thanks for asking x