Going Bankrupt...

If there's going to be a discussion on this, then a bit of background is always helpful ;)

This is her original thread....

http://forums.moneysavingexpert.com/showthread.html?t=585510&page=1

The reason I feel no one is like me is because my debts is reckless behaviour when I only had me to look after. No bills, no mortgage, no rent - I just wanted to have nice things and be extravagant and I've brought this on myself.
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:rolleyes:
 
Bankruptcy isnt that simple, firstly you need to get the fee, for someone with
little or no spare money £485 is not easy to come by (335 for bankruptcy fee, 150 for court fees). You can get help by several organisations to get the fee but they will often decline cases where they feel the person had borrowed money irresponsably.

Also the court can actually decline your petition if they feel you have borrowed money for the soul purpose of racking up a debt which you never intended to repay, in those situations your left standing on your own two feet to sort things out.

Generally your not discharged for 1 year after your bankruptcy petition gets accepted.

You cannot be a company directory, you cannot get any more than £500 on credit and your bank may freeze any assets you have if your debts are with them.

I actually work in a debt advice center, not as an advisor but as their IT guy and ive picked up quiet a lot in that time ive been their, its always baffled me why people get away with it. Their are plenty of genuine people, people who had a martgage, loans etc with a well paid job and due to an accident or family problem are no longer able to cope, those people i can simpathise with, but the ones that just spend spend spend on totally pointless crap then realise they cant pay it back really tick me off. Im 28 and have never been in debt in my entire life, even through college and uni I was always in the green.

If I want something I save for it, if I can't afford it, im not having it. Simple as that.
 
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Pretty easy to go bankrupt in this country, rack up loads of debt loans/cc etc then go into court 4 minutes later the slate has been wiped clean and if your lucky you will be discharged in 6 months. My boss took out loans and cc with cash advances around £160k worth, he sold his house and went to the costa del sol and didnt if it hadnt been for his sick wife he would have never came back.
 
Just LOL TBH - this is going to get so much worse next year...

1755-1insolve.gif
 
Is there a post anywhere that explains where the £34k comes from? I don't even know how, short of a car loan, you can do it. I buy a lot, but if it wasn't for my car loan I couldn't spend that much if I tried.

Obviously though, as has been said before, we don't know how she got there.

EDIT: Seems there wasn't any 'proper' purchases, just lots of little stuff. In that case, it does seem she's only herself to blame.
 
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Mate of mine has gone bankrupt and been discharged within the last year.

Had £25k of unsecured debt, spent on a car he wrote off whilst drunk (got banned for a year), going out on the lash and clothes, holiday to Ibiza (£1.5k in a week anyone? :eek::rolleyes:) and generally enjoying things he couldn't afford.

The new bankruptcy laws are mad. I can understand that for some circumstances change, or that if you have your own business it can fail and drag you down despite your best efforts/intentions, but for him and people like him to enjoy a millionaire style life and just have it written off is crazy.

At times the only thing that stops me from doing the same is the problem with getting a mortgage following bankruptcy. Why should I work hard and go without to pay bills, instead of having everything I want now, boozing it up and not caring?! :rolleyes:

I also cannot believe all the messages offering congratulations for dodging debts.

Madness.
 
I think its definitely a two edged blade - she was irresponsible (which she is aware of) in her spending - but as she points out further down the thread - these companies should not be lending money to people who can't afford it.

It definitely makes you realise how lucky you are. The only debt I have is a mortgage - with a balance of £115,000. I'm lucky enough to have a company car and I dont have any HP agreements - save for a buy now pay later deal for a pair of sofas - which I'll be paying off in full on the 3rd Jan.

Its versy easy to see how these things add up...

I think that compulsory lessons should be taught in school to try and educate children earlier...
 
my workmate one day was complaining he didnt have money for food or a barber, next day he bought Nintendo DS and two games on credit card,

i was like wtf why did you do that you said you didnt have money for food and stuff, he was like , i still dont have money for food or barber, LOL
 
i agree with comments re: irresponsible to rack up that amount of debt.

However imo shes just playing the system. Companies do this as a matter of good business practice - its all a game really. You just need to know how to play.....or youll end up at the "Do not pass go - Go straight to Jail card" :D
 
If you obtain debt in knowledge you will later declare yourself Bankrupt it's fraud. The law should be changed so that people who borrow so much that their only realistic way out is bankrupsy should be prosecuted for fraud.
 
K.C. Leblanc said:
If you obtain debt in knowledge you will later declare yourself Bankrupt it's fraud. The law should be changed so that people who borrow so much that their only realistic way out is bankrupsy should be prosecuted for fraud.
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Or just deny them the ability to go bankrupt? Jail seems a waste of space...
 
You have to love comments like

Welcome to your new start. It's happened just before Christmas & you've got £150 that you weren't expecting to have, so please treat yourself to a little gift & some 'me' time. Pamper yourself rotten - big box of chocs, glass of wine & a nice few hours watching some trash tv is a great start


How do they think she got into the mess she is in.
 
helmet said:
Hilarious, OAP's who worked all their life can't afford to heat their homes, (yeah a shock horror Daily Mail Winter time story, but true) and then muppets like this overspend by thousands and there is ZERO consequence, lethal injection tbh.
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What does pensioners have to do with bankruptcy? The money wouldn't exactly have been given to them if it hadn't been used to pay off this persons debts. She's probably paid 34k over the years in taxes anyway.
 
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Not everyone is financially savvy, and in a lot of cases people are given bad advise by financial professionals, who in turn are doing to increase their bonuses. Especially now with mortgage lenders giving people stupidly large mortgages (I am one :rolleyes: ) that they can't pay back, the current generation is a credit generation, Credit cards are thrown at you once you hit 18 and they are a slippery slope. I am glad I have managed to pay all mine off now and cut them up, but I have had quite a lot on them.

Everyone's circumstances are different, like that woman there are people who think it is a bottomless purse/wallet and only realise when they can't afford to pay them all, others are through accidents, redundancies or illness. It isn't all "You shouldn't have wasted it you chav!" There are real reasons to why it happens, it isn't all frivolous spending and damn with the consequences.

Banckruptcy is a legitimate way of clearing your debt, with legal obligations as noted above, I doubt it is a walk in the park by any means, but for some it is the only way out. And remember, you do pay some of it back in a bankruptcy, maybe not all, but some of it.
 
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