Is this my best option

[morris83]

Hi all I have posted before about my financial situation and I have negotiated a payment plan of one pound for each creditor one for 12 months and the other for six months. I owe in total 18000. 16000 on a loan and 2000 on a credit card.

I have been offered work but as an apprentice for 24 months. This provides me a career path I have always wanted but my pay is only 500 a month. My partner covers most of the household bills (in rented). I have no spare income at all. I don't have any assets apart from a car which is in my name but my partner bought me and I pay her money a month to pay it back. So technically not mine.

I am therefore thinking if a DRO is a good option. My pay won't increase for over 12 months and I am thinking now would be a good time to draw a line and move on.
Any thoughts or advice would be greatly received thanks

[nightwatch]

Re: Is this my best option

I have no Idea on DRO's so if you hold on I am sure someone will be along soon to answer you, It is weekend so the person that knows a lot about this may not be available till later.

Best wishes NW

[morris83]

Re: Is this my best option

Yeah no problem thanks NW. Thought I would come here for independent advice rather then any debt charity funded by banks

[PlanB]

Re: Is this my best option

I have posted before about my financial situation and I have negotiated a payment plan of one pound for each creditor . . .

I have been offered work but as an apprentice for 24 months. This provides me a career path I have always wanted . . .

I am therefore thinking if a DRO is a good option. My pay won't increase for over 12 months and I am thinking now would be a good time to draw a line and move on.

morris

First of all well done you for getting an apprenticeship

Can you tell us whether there is any immediate hurry to change your agreed £1 token payments with creditors into a DRO (or similar) such as are any of your creditors threatening you with legal action etc.?

I've not yet had time to review your other threads but my instinct (as a non-professional) is to consider all your options before you decide what will work best for you, in particular whether a DRO will have any negative impact on your chosen career path.

Plan B x

Previously posted on 3rd October 2015

Paying a total of only £12 until this time next year sounds like a result to me.

I haven't read back through your thread (I'll do that) but I'm definitely seeing a light at the end of the tunnel not an express train coming towards you.

Hang on in there kid

[morris83]

Re: Is this my best option

Hi plan b.
Thanks for the message.
The apprenticeship is a father and son business which is bespoke and could be a good career. natwest agreed my 1 pound for 6 months but have sent a default and a termination letter. They have said they will start proceedings after the 6 months tesco have accepted for 12 months and have just put arrangement on my credit file.

Im in my contract with work for 12 months and a dro would have ended then. I'm just concerned I would never be able to pay it back. I did think about saving some money and making offers at the end of the agreements but no guarantee. What affect could it have on employment or employers not sure as not loads of info on the Internet. Any ideas thank you x

[morris83]

Re: Is this my best option

Okay so I thought I should update and therefore this may need to be moved elsewhere sorry! I have been looking to go ahead with a dro but due to arrears I'm over the 20000 limit and can't afford to pay back to get under the threshold . I have also just spoken to tesco who have withdrawn the 1 pound payment and will look to default and take action apparently. Natwest I have 5 months left at 1 pound a month before they take action. If anyone could assist with what's best or any advice I'm thinking bankruptcy as I have no assets no car etc. Just when I thought I was getting somewhere �😕�
Thanks all

[Never-In-Doubt]

Re: Is this my best option

If you've no assets why are you worried?

They can't do much in reality!

[morris83]

Re: Is this my best option

Thanks Niddy hope your well. I know my credit file is nakered but if I ignore and await the dca phone calls can they keep giving me a default every 6 years or will it become statued bar. Not sure what happens if I get assets like a car for example will they take that ?. Just thought it would be best to have a clean start. Not sure what to do for the best really

[cymruambyth]

Re: Is this my best option

Debt becomes statute barred 6 years after your last payment or signed written acknowledgement. There is a very long way to go before assets being taken - you need to lose a court case, fail to make any payments etc etc. AAD won't let this happen to you! Keep posting and following the advice given.

[morris83]

Re: Is this my best option

Thank you. I will do some reading up. Do most people go down the statute bar route instead of bankruptcy.? Just difficult in knowing what's best to do 😕

[PlanB]

Re: Is this my best option

Do most people go down the statute bar route instead of bankruptcy.? Just difficult in knowing what's best to do

Bankruptcy is seriously big deal and not something to be taken lightly. It's never something I would recommend without a thorough analysis of your financial situation.

I've peeked at your other threads/posts but I can't see where you may have actually listed what you owe (or not) to which creditors.

Why not start a UE Diary so we can take a good look at your situation before jumping to conclusions.

Read this > http://forums.all-about-debt.co.uk/s...ewfull=1#post3

and then also read this before you make up your mind what to do next

http://forums.all-about-debt.co.uk/s...PDATED-09-2015

Plan B x

[PlanB]

Re: Is this my best option

I owe in total 18000. 16000 on a loan and 2000 on a credit card.

Tell us a little bit more about this £16k debt since that's the biggy which is obviously worrying you (you've only got one other debt of £2k unless I've misunderstood the situation).

Was this a personal loan (regulated by the CCA 1974) and who was/is the creditor?

When did you take out this loan and what was the purpose of the loan?

These are not trick questions. These are questions to help you to deal with the situation in case the lender/creditor has made a mistake along the way.

Plan B x

[morris83]

Re: Is this my best option

Thanks plan b . The loan was taken out in 2013 from tesco to assist in paying debt from a divorce. I spoke to tesco yesterday who as it has been 1 pound for six months have said if I can't pay more then they will default etc. In total including arrears it is now 18700 ouch. The other one is a natwest credit card taken out in 2013 owing in total 2100 now again to assist with day to day living after divorce.
I know bankruptcy is a huge step so any advise on where to go is greatly appreciated. I will look to start an ue diary although I'm pretty sure they have all the correct paperwork as they are new debts !! Thank you

[PlanB]

Re: Is this my best option

I have also just spoken to tesco who have withdrawn the 1 pound payment and will look to default and take action

Why has Tesco suddenly withdrawn your £1 monthly payment when they only agreed it last month and it was to run for a year?


Posted 3rd October on your other thread

after some time Tesco have agreed to £1 payments for the next 12 months.

You've previously said that you own a car in your name although your partner paid for it and you're paying them back. I don't know anything about BR but your car may count as an asset so it could be vulnerable unless you need it for work.

Plan B x

[morris83]

Re: Is this my best option

Tesco agreed that a couple months before was just slow on updating it !. I dont own the car now as it has sold. My partner now has one car that we share. The only assests i have are tools that i need for work. I will write up a new UE diary shortly as i suppose i could try and send a CCA request just incase