i really do not no which 1 to go for help please

[jane.c]

hi i was with a debt management company for which ive payed £149 a mth for five years to clear about 25grand wortg of debt,they have now rang me and offered a iva which im seroiusly considering,but im also wondering about bankruptcy,i have about 22 grand of debt left which at my currant arrangement will take me 16yrs to clear and ill be a oap by then!!im really not sure if i can manage the 200mth there saying as my husband and myself are on benifits which amount to 800mth,ive had a breakdown and my hubby broke his back in a car accident hence how we got in the mess in the first place.we also have a young daughter to consider.the chap whom i spoke to at the debt management co said that if i decide to go bankrupt that everything in my house sellable will be sold and id lose my car my car is abanger worth abouth 300 but i do need it for hosp appointments and school runs .is this true??also how much will i have to pay to go bankrupt??i really do not no which 1 to go for help please

[mikebdomain]

Hi Jane and welcome to the forum, you have been miss-advised If your car is only worth £300 then you will be able to keep it.

Bankruptcy costs
Court fee of £150. In some circumstances the court may waive this fee, for example if you are on income support - the court will advise.

Deposit of £335 towards the costs of administering your bankruptcy, payable in all cases – there are some charitable Trusts which will pay the deposit on your behalf in cases of severe financial hardship, and you should contact your local Citizens' Advice Bureau for details of such charitable Trusts in your area.
Fee to swear the statement of affairs. In a county court no charge is made, but £7 is charged in the High Court or before a solicitor

Information taken directly from http://www.insolvency.gov.uk/freedomofinformation
/technical/generalbankruptcyqueries.htm

Please take the time to read through some of the posts by members that have gone bankrupt and you will start to get a clearer picture

FREE ADVICE IS THE BEST ADVICE

LEYBRIDGE LIMITED
Mortgage Broker
Specialising in adverse credit.

see feedback and testimonials at:
http://www.leybridge.com/testimonial.php
Check out my blog at:
http://mikebdomain.blogs.iva.co.uk/
Please read our Initial Disclosure Document(IDD):
http://www.leybridge.com/Leybridge-IDD.pdf

[Spreadlove]

hello Jane.C . I am no expert on these matters,however this is the best forum to recieve help, advice and support. Please be assured you are not alone and there are plenty of people who are willing to give you expert advice. I would speak to the company about your options before deciding on going for Bankruptcy. An iva may work for you. Speak to this chap and ask him to tell you about iva's and how they work. SpreadLove sending Love

[lily]

Hi Jane

You will not lose your household possessions or your car in Bankruptcy. I am amazed and angered that a DMP company can say this sort of thing, which I suspect is a bullying tactic to keep you in the DMP which they are making money from. I am equally amazed that you are in a DMP and bankruptcy has not been suggested as an option before. Unless of course you own your own home.

This company should be named and shamed. Can you post mnore details of home ownership, how long you have been in a DMP etc. I am sure someone here can help you.

lily

[iva.com]

Hi Jane,

I'm sorry to hear that you have been misinformed by your DM firm.

You will not have to give up a car of low value nor the contents of your home (unless they are of a very high value) if you do go bankrupt.

The following link directs you to the forms that you need to complete to declare yourself bankrupt. However, as Mike advises, please read around the subject to ensure that you have a clear understanding of it.

https://www.insolvencydirect.gov.uk/isolv

Please let us know what you decide upon.

Kind regards,
Terry Balfour
IVA.com

IVA.com - The IVA Comparison Site
100s of reviews, All IPs and IVA firms rated.

Use our IVA firm comparison tool to find best IVA firm for you:
http://www.iva.com/iva_comparison_1.asp

[Skippy]

Hi Jane, I think it's disgraceful that the DMP company has worried you unnecessarily.

The only way that household items will be taken and sold is if they are worth vast amounts of money - a brand new 60" plasma TV or a Van Gogh hanging on the wall for example.

Regarding your car I feel you would have a good chance of keeping it as it is required for hospital visits and is of low value. Even if the OR was very petty and decided you didn't need it you are given the chance for a family member or friend to make an offer to buy it back.

Before you make any decisions however, I think you need to take independent advice about your situation. Give the CAB a call and they will talk you through your options. Good luck, and please keep posting to let us know how things are going for you.

Yesterday is history, tomorrow is a mystery, today is the present - a gift to make the most of.

View my blog at http://skippy13.blogs.iva.co.uk/

[Spreadlove]

hi jane c.
in hindsight it may be best if you spoke to other IP's from a recommended site. I used IVA.com and was quite pleased with the information I received. Don't be coerced into doing something that is not right for you.

[jane.c]

hi and thank you all for replies.i rent my home so do not have the added worry of mortgage,and ive been with the dm for 5yrs paid 149mth no defaults.ive just rang them up and told them i need more time to think about this as i really do not think me and my family can live on 600mth for the nxt 5yrs they said they appreciate that and they get someone to ring me back and have a chat.am i right in saying that for myself and my hubby to go bankrupt it will cost us 350 each?it a relief to no they cant take my banger or some of my furniture and i will tell the chap when he rings that the staff need to be trained properly and not to use scare tatics on already vulnerable people.im going to have a good read of the links you so kindly put in for me and will get back to you as soon as i hear from the dm thank you all

[lily]

Well done Jane

I know this is a difficult time for you, Jane. I do think you need to tell this company that they ought to be better informed, people are as you say very vunerable when they have debts and will agree to anything whether its the correct advice or not. I really dont think the OR would be interested in your car, all of your furniture and household goods are safe too, unless you have anything worth thousands of pounds. It sounds like you have had a really tough time of it and were doing your best to pay back your creditors in difficult circumstances.

I would advise that you stop paying this DMP right now and save for your bankruptcy, its a huge step but not as bad to go through as many people think. You are amongst friends here who will support you through the process, many here have been through or are going through it right now.

Good luck Jane and please let us know how you are getting on.

lily

[mish1953]

Jane
How on earth can you sustain an IVA when you are on benefit ? This is money paid by tax payers to you because of your situation - Im not having a pop at you but I dont see how creditors can justify using tax payers money to pay them !

Your houshold goods are not at risk, your car maybe at risk unless you can show good cause for keeping it. I would guess that you have good cause.

Basically if you are BR then everything you own is an asset, and all your assets are taken over by the OR - some they arent interested in - houshold goods etc others they are .. the car is always an issue if the OR doesnt exempt it and you have an accident which hurts someone then they ..technically.. could be liable as they 'own' your asset . In practice if its low value and you can show that its essential they exempt it.. I know of someone that lost their car , worth £200, the OR simply scrapped it .

You dont have a house to worry about - its rented - the OR cant really use your benefits to repay creditors - so you are unlikely to get an IPA - it sounds to me like going BR is the most sensible thing to do .

Slainte
Mish
BR since July

[jane.c]

hi lily thanks for your kind words much appreciated,and mish no offence taken,i no exactly what your saying,the dm co no im on benifits but seem to think the iva would be approved no probs,so there probally misinforming me on this one as well!!skip ive read your blog excellent i see you was on a iva for a few mth then couldnt keep up payments and your debitors made you bankrupt as they made you bankrupt did you still have to pay the court fees etc.another thing i read was that when you go bankrupt the or takes over your bank acc and you need to open a new one if that is the case do you do this before bankruptcy or after.

[lily]

Jane

Can you name this company?? I cannot believe they are trying to put you in an IVA.

Not sure about the bank account, I was told that only three bank accept BR's. Nationwide, coop and barclays. You could open one now and keep it in BR but not being BR I am not sure if you will need to keep it in nil balance until the BR order is made. I am sure one of the BR experts will be able to answer.

lily

[mikebdomain]

Mish,
OR scraped car worth £200, he must have been a particularly bad boy for the OR to take that sort of action…

FREE ADVICE IS THE BEST ADVICE

LEYBRIDGE LIMITED
Mortgage Broker
Specialising in adverse credit.

see feedback and testimonials at:
http://www.leybridge.com/testimonial.php
Check out my blog at:
http://mikebdomain.blogs.iva.co.uk/
Please read our Initial Disclosure Document(IDD):
http://www.leybridge.com/Leybridge-IDD.pdf

[Skippy]

I actually made myself bankrupt as I wanted to put an end to the stress rather than wait for my creditors to do it. It cost me £485 but as you are on benefits you should get £150 of this waived.

Yesterday is history, tomorrow is a mystery, today is the present - a gift to make the most of.

View my blog at http://skippy13.blogs.iva.co.uk/

[jane.c]

hi the debt management co is baines and ernst but the iva is being handled by there sister co blairendersby,a bloke just rang out the blue and said that my file had been passed across and would i be intrested in a iva and it went from there