My creditors meeting is on Monday 7th September

[Julie]

Yes Danny, the house was in negative equity so I could buy out the BI.

If your wife/partner has debts, wouldn't it make more sense for you both to go BR....wipe the slate clean as it were?

[danny4]

Most of the debts are in my name. The only joint ones are overdraft to Barclays and unsecured loan to northern Rock. What I think you are saying Melanie is that we can pay mortgage to northern rock but if we paid unsecured part to northern rock then we would be treating them differently. I think we were still hoping I could just go Bankrupt and not my wife as well.

[MelanieGiles]

If your wife does not declare herself bankrupt, she will need to continue to service the NR unsecured loan along with her other debts. Could she afford to do this, and how long would it take to repay under a DMP?

[Michael Peoples]

Hi Danny. The problem is your wife is not in a position to maintain the unsecured element on her income alone. This would mean she would have to reach an arrangement to make reduced payments and NR would move to secure. Based on our conversation and the figures Payplan had on your IVA a DMP would take your wife approx 20 years.

[danny4]

Michael, Thanks we have both agreed to do BR. First appt available is 22nd october at 10.00am. Should we be doing anything with our creditors like writing to them and letting them know or token payment. Should we just wait for the meeting as it is 5 and a half weeks off.

[Michael Peoples]

Give the creditors nothing as you need the money to pay for the bankruptcies. They may hassle you but ultimately cannot do too much. I believe none have obtained a CCJ against you so they do not have time to secure their debts.

The OR's office will normally advise no more payments to creditors once the appointment has been made so if creditors do contact you tell tell them you cannot make any preferential payments. Give them the date of the bankruptcy hearings and tell them they will be informed in due course. It will be fine and any queries post them or contact me directly if you wish. Best of luck to you both.

[Julie]

Glad you've come to a decison Danny, at least the end will be in sight for you both.

When you start filling in the forms on line, post any questions on here, I'm sure we'll be able to help.

The more organised you can be with your paperwork on the court date the easier it will be for the clerk. Don't be surprised if you don't get to see the judge or if its a 2 minute hearing.

Good luck xx

[Shining]

A positive decision and I wish you well for the 22nd October. A number of posters have experienced bankruptcy and I am sure will help you every step of the way.

[MelanieGiles]

What a shame that someone who genuinely wished to pay something back to creditors has now been forced to bankruptcy. The process is relatively smooth once you have made your decision, and I wish you both the very best of luck with everything. Do use the forum for support as much as you need to over the next few weeks.

[danny4]

Thanks everyone for your support. Just not looking forward to the next few weeks of phone calls and letters.

[danny4]

When bank acoounts are frozen how do we then pay direct debits and such. I've heard nationwide aren't brilliant for bankrupts. Does anybody know of a good one to go to that is easy to set up.

[Julie]

Try the co-op Danny....they are sympathetic to people in BR.

[mikepapa]

Danny,, gutted that your IVA was unsuccessful, hope your BR goes without a hitch,, read some of the blogs of people that have gone with the BR option,, it doesnt seem as daunting as it sounds,,& at least you have the knowledge that you tried your best.

Take care & keep posting if you need support.

[Skippy]

Good luck with your BR Danny. As Melanie has said it's a fairly smooth process and isn't as bad as people think.

I would recommend the Co-op Cashminder basic bank account. I've got it and it's a very good basic account.

Good luck and please keep posting as we're all here to help and support you x

[danny4]

My dad has said that he will buy our beneficial interest as we are in negative equity. Can somebody tell me what he has to do exactly.