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| The independent answer to your debt problems | login join |
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emm27
| 08-12-2011 03:41 AM |
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Joined: 08 Dec 2011 Posts: 1 | I have been on a DMP with Payplan since March, and have been an unemployed lone parent for about a year and a half on income support, and have a mortgage, and I am finding it very difficult as I have no income left after paying bills and DMP, and I am ending up with more debt since i started the plan because of this. I began with a loan for £8500, and credit card with £3000 on and now have in region of £18500 owed out over 17 years, interest was not frozen as i had explained it would be and it was added on straight away, main culprits being Halifax. I originally had £20000 as a deposit on my flat, but its gone down in value by about £10000 so i know selling my flat would not clear the whole debt, only probably half of it, and would be very difficult to sell at the moment anyway. So what ever I do I can kiss goodbye to that money! I cant win! I am now considering sequestration as it is affecting my health with stress/depression and I have no good standard of living. But I am scared to take this step as worried that I wont get employed again during the 6 years. I have always worked as store manager, fashion shops etc... so my questions about it are as follows, *If I am unemployed on income support with a child can they still make me pay money out during the sequestration? And is there a limit to what they can take? Altogether with child benefit, child tax dredit and income support we are living on £600 a month. *Am I allowed to gain work as a shop manager after sequestration is complete or in management as long as its not managing a company? How long is this for , 1 year or 6 years? *would my credit file still show sequestration after the 6 years, ie for mortgages etc.... or would this be completely wiped clean again? *Am I allowed to have a bank account, if my current account is overdrawn would that have to be counted as part of the debt and closed down? *Am I allowed to be self employed after the 1 yr or not until 6 yrs have passed? Would appreciate some answers to these queries, thanks. Sorry I know I have asked a lot!! |
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ukadvice
| 18-12-2011 09:11 PM |
 Joined: 18 Dec 2011 Posts: 1 | HI, It is ok emm27, this is a good way for asking questions, well i can suggest you to talk to any insolvency editor, this is a good way to solve all of your problem, and I knew some insolvency editor who don't ask for money for consulting. Hope, my suggestion will help you :). |
| DW George | 29-12-2011 03:26 PM |
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Joined: 01 May 2007 Posts: 1037 My Profile | To answer your questions first -All your benefits will not be touched in sequestration. -Your credit file will be wiped clean after 6 years but you must declare a bankruptcy for either 12 - 15 years on the mortgage application form. (These forms always ask if you have been made bankrupt in the last 12/15 years) -You need to do your own research whether or not bankruptcy will affect your career prospects. Usually bankruptcy affects the likes of accountants and lawyers. -All your debts will be included in a bankruptcy. What you should do is open up a basic bank account with a bank you don't owe money to. -You can be self employed during a bankruptcy. The are alternatives to bankruptcy especially if you live in Scotland. In my opinion Payplan should have never signed you up for a debt management plan as there is a better Scottish alternative called DAS which freezes interest and stops the creditors from pestering you. |
