Debt please go away

[Iwanttocheckoutnow]

I’ve posted before, I won’t go into detail, it was removed due to my mental health and me writing things I shouldn’t of (just about checking out of life) im feeling a bit better, but obviously debt still consuming me.

after a chat with money wellness I am now ‘not eligible’ for a dro as debts are ‘too high’. (They calculated 35k- but some of their debts were duplicated. They argued that they weren’t, despite being exact amounts (one from original creditor and one from debt collectors). Find this unfair but whatever.

now being pushed to an IVA - I can’t afford this! Based on incoming/outgoings I am already on -£40 a month! So this just will not work and will push me further into debt.

i don’t know what else to do? Someone suggested CAP, but apprehensive as unsure what to expect. Feel I will be a burden to them. I have nothing to offer. Nothing.

i know I only have myself to blame for debt, (various reason- but ultimately it lands with me and I fully accept that.)

urgh now what? I’m so done in. I’m drained. I’m emotional, I’m in all honesty broken.

OP I’m so sorry you must be incredibly stressed. I don’t really have any words of wisdom, but I’m sending well wishes, I know how consuming debt can be.

I know it’s probably a pretty obvious option but have you contacted citizens advice? Any children? Are you claiming everything your entitled to? This is all things they can check for you as well as possibly referring you to some schemes/charities who could help with the debt.

I’m a debt adviser with CAB. Definitely do not have an IVA. They are massively missold and have huge fees - and you have no money to pay for one do it’s likely to fail. Speak to another free debt advice charity - like CAB, National Debtline, CAP. if debts are duplicated you may well be eligible for a DRO which would cost £90 instead of £1000s in an IVA. There’s a lot of bad advice re debt options on this thread. You need proper advice.

I was an experienced debt adviser/ manager/ debt quality assessor for many years so I am confident in my advice on this so I hope you can be too.

1. definitely no IVA, you don’t have sufficient disposable income or assets that you need to protect so it’s pointless to even try to do an IVA.
2. if debts are duplicated and below £30k insist on a DRO. DRO intermediaries are cautious as they don’t want your DRO to fail if debts are over £30k, but if you can show that the amounts and reference numbers on the accounts are the same, they should accept that debts are duplicated. If needed, contact the collection agents and ask for details of the debts when these were passed to them. They should tell you, at a minimum, who the original creditors are, dates of defaults etc.
3. if your debts are above £30k go for a bankruptcy (but do seek advice first to make sure it won’t affect your tenancy, etc. And that goes for a DRO too as this is also a formal insolvency procedure). There are charities you can apply for to get help with the DRO or bankruptcy fees. You won’t be able to apply yourself in most cases but CAB or other orgs can help.
4. you mentioned the bailiffs. Debt collectors are not bailiffs (you probably know this) and bailiffs can only be instructed once creditors obtain CCJs (or similar orders for things such as penalty charge notices or fines). The bailiffs don’t have the right to enter the property of vulnerable people (Taking control of goods regulation stipulates this) and, as a single mother with small children, you are vulnerable (though someone has to point this out to them). Bailiff warrants only last for 12 months so if you can avoid them for 12 months it’s highly unlikely that the creditors will spend money on instructing the bailiffs again.
5. bailiffs are likely to clamp your car, but if your car is only worth £450 they are highly unlikely to take it, because by the point they pay for storage, putting the car up for sale etc there’s no money left for their fees. They cannot keep the clamp on unless they plan to do something with the car. Many of my clients called the bailiffs’ bluff. The clamp went on the car, my clients said ‘I can’t pay, take it’ and the bailiffs came back 2 days later and removed the clamp and returned the warrant to the creditor. I’m not saying that this will happen in all cases but in most cases involving very cheap cars.
6. only seek debt advice from free charities. I recommend National Debtline and law centres. I don’t recommend CAP (I won’t go into details but if you decide to choose them ask about their debt advisers training and qualification). CAB are good, but only as good as the advisers you get connected with, as not all are specialist debt advisers. Same with Stepchange
7. sometimes doing nothing (for credit debts only) is an option. Debts become statute barred, bailiffs warrants expire, creditors give up. Six years later the debts drop off your credit reports… Some people do nothing, but this decision also depends on the stage of recovery of your debts.

i hope this makes sense

You should also try to get a charity grant to carpet your home (and for other essential items). Contact your local CAB as they should know the local trusts (and National grant giving orgs).
Have you received advice on all the discounts you could get for essential bills, cost of living payments from the local council, grants for energy bills, foodbanks, etc?

I can’t imagine what you must be going through but it can and will get better. And once it does, your mental health will improve. You just have to put all your efforts now in seeking advice. Get a second and a third opinion from different organisations. Don’t give up.