Hello, I'm writing this on behalf of my Mother who is 55 and just got made redundant today from the mens retail store that she has worked at for just under a year.
Mum lost her house in the 90's during the recession and has spent 10 years paying back creditors (Eversheds) who chased and intimidated her for the shortfall when they sold the house for a fraction of it's worth.
Today, mum still has debt in the region of £17,000 and now has no income with which to continue paying the credit card companies.
She is not a house owner (she lives with her elderly father in rented council accommodaion). She does not have a pension plan, nor any other assets of value or savings.
Am I right to think that at this stage, with no assets to lose she whould be better simply to declare bancruptcy and put these debts, stress and worries behind her?
As I said, she now has no job, and I know for a fact that any job she could get right now would be very low paid, and 80% of her income would go right away on simply keeping up with repayments.
The thought of never being free of debt is a crippling one for her on a day to day basis, and I have watched her struggle with the never ending cycle since the early 90's.
Any advice on whether to chose an IVA or Bankruptcy would be appreciated. I wish that she had taken a step in this directon 10 years ago, so that at least she would have had a good night's sleep since then!
Many thanks for your help in advance.
