Please please help we're scared to stop paying

[ginger3232]

Hi Woried Mum - Approaching your creditors direct to arrange a payment plan - may be a option if you have only one or two creditors - but may get really messy if more -
You may find each creditor prioriting their own debt first. There is also NO guarantee they will freeze interest and charges.
The charges you quote sound high (12-17% - normal) so may be worth shopping around elsewhere

[MelanieGiles]

I would seriously consider bankruptcy as not just a quick fix but a life changing experience. Getting rid of those debts for good, and starting afresh would be the best option for you - your £80 per month would be like flushing pound notes down the loo if you don't mind the expression.

You may have to make a small contribution into the bankruptcy on a monthly basis, but prioritise your daughter's needs and give her the very best education you can afford. There is only one chance with our kids development, and it is simply not worth struggling for in the long run.

[kallis3]

I agree with Mel - it isn't a quick fix at all and you have tried your best.

Nobody at your daughters school will know about it as it's not advertised in the papers anymore.

You would have peace of mind and be able to get on with your life.

[Broke of London]

Where have I been all week! I was thinking about you the other day and hoping you were getting sorted but have completely missed these developments. You must do what you feel comfortable with - but have a read of Skippy's and Julie's blogs about BR. Julie blogs under the name of Swansgirl. It really isn't the drama it's cracked up to be and there really isn't any stigma...it would be a sacrifice you are making for yur daughter and that takes courage. On the other hand, Payplan and CCCS offer free DMPs but they may not be as effective in getting interest stopped as a commercial firm...but shop around. So much to think about! I'm so pleased for you that your daughter can go to her school! XX

[kallis3]

I must admit that for a DMP I would always use a commercial firm - the one we used was great and all interest and charges stopped from day one, it was only the length of time it would have taken to complete that made us look at other avenues.

As BOL says - there isn't anywhere near the stigma around BR that there used to be. I would have considered it myself but had too much equity in my home and would have lost it.

[andrea1968]

worried mum-please consider the BR option-we would have gone for it if hubbys job would have allowed. We had also put a hell of a lot of money into the house and didnt want to let that go.
DMP-no matter how much or little you pay each month is often a road to nowhere. None of our main creditors froze interest on our DMP-we spent 7 months on it and even our management company couldnt tell us when it might end !!!!!
The figures you have down for your expenditure are ridiculous-how they expect you to live on them I have no idea.
Are the company representing you now offering you the DMP?
Get rid and go your own way-if you go for the DMP reasonable fees should be around 15%-thats what we were paying up until late last year.
Wipe the slate clean and start afresh-with the pittance you have been allowed to survive(not live)on on your iva your BR may not request the IPA/IPO for three years,you may be debt-free after 12 months.
Then you can concentrate on the most important thing of all-your family.

[Rosepetal]

Hi, we knew someone who went BR,debt is a great stress but they got through it & they were happy again.

if we hadn't got our IVA accepted we were emotionally ready to go BR, we'd have had no alternative.

debt,the heaviness of it can be so draining,it's not until the burden lifts you realise just how much it effects you.
good luck,hug x

[worried mum]

Thank-You all for your input...now I don`t know what to do again!!
1st off, whichever road we choose, can we just tell HB that we don`t want them anymore? I thought we were stuck with them!
I must admit that it was selfish reasons why we didn`t want to go for the BR. My hubby was so proud when he got his "new" car (06)& he can`t bear to lose it..we`ve got another 10months of payments yet so i doubt he`d be able to keep it..he`s done so much for me,especially during my illness that i haven`t the heart to make him give it up,& for myself,having some1 go through my home saying they`re taking this that & the other..I think it`d break me..Kallis3..are you able to tell me the name of who you went with,plz ?
Thanks all !!

[andrea1968]

You dont have to stay with anyone-it is your choice.
Dont feel grateful that HB still want to help-they want your business even more.
Do what you feel right for yourselves-if your car is needed for work then you may get to keep it.
Speak to a couple of firms that post on here-you will get professional (impartial) advice on your options.
Good luck worried mum in whatever you decide.

[Broke of London]

Hi again! I'm not sure that anyone comes to take your stuff but one of our BR experts can help with that. None of these are silly concerns - so don't be afraid to ask about your car etc when you get some more advice. Our BR sister site is also worth a visit xx

[kallis3]

I'm with Payplan for the IVA There are other reputable companies you can choose though.

I would certainly consider BR given your circumstances.

[Skippy]

No one will come into your home and go through your stuff so please don't worry about that.

I went BR and for me it's the best thing I could have done - it gave me a fresh start and meant that I could move on with life rather than having my debts hanging over me.

Regarding your home, you wouldn't necessarily lose it in BR. Do you have equity in your home?

[MrsKnight]

Hi worried Mum, Im sorry Im just catching up on your thread.

Im glad HB got back to you quickly & Im sorry to hear the IVA is not working for you. I think they are right in regards that going back to DMP may seem never ending in trying to pay off your debts through this way. I would seriously look at BR as the others have suggested, it was something my husband & were considering about 18 months into our IVA. If our circumstances had not changed at the time we would of ended up following this route. At least when they look at it, you have tried your best & its not worked out for reasons beyond your control, which BR would be sympathetic too.