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Hi,I have received a B10 Notice of registration of a bankrupsy notice from the Land registry. I rang them and they advised that it was instigated by a solicitors firm on behalf of 1st credit finance who in turn bought a debt i had for approx £19000 with first direct bank. A hearing has been listed for 24 February 2010. Is there any way I can avoid this? I do not want to be made bankrupt but on the other hand do not have the money to pay off the debt. Do you think they will accept a repayment plan or an offer of full and final settlement for a lesser amount? I would prob have just enough equity in my house if the took it and sold it but I really don't want that to happen.Please help!!!

Hi and welcome to the forum.

You can try to come to some arrangement with them, but whether it would be accepted I don't know. As to a full and final, there is a possibility they would accept a lower amount as this often happens.

Is this your only unsecured debt? If you have others as well it is possible that an IVA could be a solution for you.

I recommend that you speak to a professional. Visit www.iva.com for a list of companies and reviews and give one or two a ring and you will receive free and impartial advice as to all the options open to you.

If this is your only debt, then you should try to come to some arrangement for repayment with the creditor. If this is not possible, then I would see if they would agree to put a charging order on your property which you could repay via monthly instalments, and discharge any balance when your house is eventually sold.

Professional advice is key at this stage, especially if you have other debts as well to service. How much do you feel you would be able to pay this creditor on an ongoing basis?

Hi Patrick, I would endorse all previous contributors.

Patrick I do have some questions which will clarify your situation:

1 Is it your only debt?
2 What level of equity do you have in the property? (property value and mortgage)
3 How old is the debt?

Petitioning for bankruptcy where there is only one debt (notwithstanding the fact it is a £19000 debt), seems a little heavy handed. A repayment proposal is certainly a realistic possibility. You can email me **email address removed** where I will gladly assess any solution we have at our disposal, the advice will obviously be free with no obligation.

Good luck

Liam