I am in desperate need of some advise

[jussyj]

I need help....My ex-husband has left me with 16 worth of debt. He couldn't get credit, so I signed for a 8k loan and also 8k on a credit card. When my husband left me 7 years ago, he also left me with the debt. I have defaulted on it, but got an agreement to make payment per month at a reduced rate. 7 years on and the debt isn't going down, its gone up-to 13k!!!!! I havent been able to get credit for the last 7 yaers, but have offered them 4k in full and final settlemnt, but they have said that this is not enough and I was to find another 4 k then they would close it, or I will have to go to court. I don't have anything the bailiffs could take, as I rent a friends bedroom, where me and my son both sleep. I am in desperate need of some advise. The money has come from my parents, they have offered to loan me 4k to pay it off, but I will stay have to pay them back. Is my offer of 4k reasonablie on an 8k loan that has now gone upto 13k with interest. They are very aggressive on the phone, and don't listen to me when i explain my situatuion to them, I earn 68.00 per week. They phone me about 7 times a day......PLEASE HELP ME.......

[MelanieGiles]

Hi there and welcome to the forum

If I were you I would borrow only £485 from your parents and declare yourself bankrupt. These debts will just hang around forever, and they appear to be stopping you from getting on with yoru life. Bankruptcy is a very simple process these days, and you are likely to get discharged from it within the first year.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

[jussyj]

Hi Melanie,

Thank-you so much for your sppedy responce. I feel terrified about the bankrupcy thing. Ive heard that it stops you getting mortgages, credit etc.... I am 31, and I don't want to have this for the rest of my life. Your right, this debt will never go away, especially at the rate that im paying it back. Its incurring nearly £90.00 interest per day!!!!! I just wish that this company (ALLIED CREDIT) were more reasonable. They are telling me to ask every tom dick and harry for the money. Ive only got 4k, I can't get anymore. But seriously though, the idea of going bankrupt is really scary, and this would be the very last option for me. Please can you advise another way to help me out of this mess......

[MelanieGiles]

Read Skippy and Scaredkez's blogs on this site. They have been through bankruptcy and I am sure that you will see that it is not as bad as you might think. Yes it will stop you getting credit, but you probably already have a poor credit rating in any case. And look what credit has done to you, I would have thought it is best avoided.

Skippy - where are you with some words of wisdom for Jussy?

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

[CoverItAll]

Hi jussyj

That's really good advice from Melanie, and there is life after Bankruptcy. I was made bankrupt in October 1995, and then it was for three years ! Discharged in October 1998, I arranged a mortgage with HSBC in March 2002.

If you go the bankruptcy route, you will exchange a debt of £13,000 with a heartless finance company for a debt of £485 with caring parents.

If you don't, nothing changes.

Talk to Melanie, listen to her advice, act on it, and HAVE A VERY HAPPY CHRISTMAS.

John Tegg
www.protectiva.co.uk
0845 673 9999
We will make all your IVA payments for you if Accident or Sickness stops you paying them yourself.

[jussyj]

Your support is fantastic, at least im not alone in this situation. Thanks so much for all your advise, I will have a chat to parents. One thing, Where will I stand with ALLIED, as ive already told them that I Have 4k, should I know say I can't get this money and wait and see what they say........please advice......i just want these people off my back and out of my life forever. I don't think it's going to go down to well with them...........lets wait and see!!!!

[MelanieGiles]

Tell them if they won't accept it you are going to go bankrupt and then they will not get a penny.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

[jussyj]

so basically i tell them that im going bankrupt, and they will say....... Im so sorry if this sounds so vague. This company terrify me. Everytime I speak to them Im treated like a stupid little girl. This debt wasn't even mine, but they just dont listen. If I tell them im going bankrupt, im scare that they will take me to court. Can you go to prison for not paying debts? They said that I could spend upto 28 days in police custody. I have a 4 year old son, and its only me who looks after him,I can't afford to go to prison, I wouldn't cope in prison.........im really scared now. Im dreading telling them this..HELP........

[cr15py]

I very much doubt you can go to prison for not paying debts. I may be mistaken, but that's how I understand it. More likely, they are using false threatening tactics on you to try and make you bow to their pressure.

I'm not an expert, so I can't offer an opinion on what you should do, but I hope you can find a way out of this, and may I wish you all the success in finding such a way out.

[mikebdomain]

Next time you speak to them ask for their Consumer credit licence number and report them!

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[debbiw]

Jussyi, I think you need to stop taking calls from these people until you know what route to take. I think the way they are harassing you is making you freak out which is not good for you or your son. You need to speak to an expert in order for you to decide what to do. Do it today, and put your mind at rest. These people are just bullies who are trying to frighten you.

[jussyj]

Believe me, I haven't slept for nearly 3 weeks!!! I just can't seem to see any light at the end of the tunnel. In fact I can't even find the flippin tunnel!!!!
Seriously though, you guys are being great. The only support network I have. I lost all my friends when I split up with my ex, my parents arn't really talking to me, because they think I was stupid to take a loan out for my ex-husband. Even though they have said they will lend me the 4k, its so hard. This company have told me allsorts. They have said that I can go to prison for 28 days, that my FRIENDS house will be re-possed (I rent a room in my friends house) and they have also said that they know where I work. Im scared stiff of talking to them. God knows what they will threaten me with when I tell them im going bankrupt. I so scared......

[cr15py]

Jussy, get some advice from one of the experts on here, give them a call and see what they say. You are not alone in this, and they are using unfair and threatening behaviour towards you, which is not on.

Presumably you know it's them when they call, so I would advise you to ignore their call until you have spoken to someone.

[aguise]

Hi Jussy
I think Melanie's advice is good also, you can offer £4000 that is it, if they wont accept that then bankrupcy may be the best way forward, and will see an end to the debt. Then you can look to getting a home for you and your son. As said speak to an expert and get advice.
There is always a tunnel and there is light at the end. Sounds corny but true.
You will get there, and if you feel down or need to ask anything there is always someone here to answer or just chat to if need.
All the best

Ang


Please visit my blog at http://aguise.blogs.iva.co.uk/

[andymac]

I declared myself bankrupt 3 months ago.

At first, I panicked, was embarrassed, felt like a loser etc. etc. but, from the advice on this site I made my decision.

It is the best thing I did given the situation I was in. The calls from the creditors stop, the stress hanging over you goes away, and, infact, I have found the Official receiver to be understanding and reasonable.

Dont worry, it will get solved, and it is also very quick.

Good luck !