I used to think that I would always be able to get credit, and therefore it didn’t matter that I hardly had any cash.  I was always getting letters from the banks and credit card companies offering me another interest free period, and stupidly I used to take it every time, but not cut up the other cards.

My main problems started when I had a car accident on New Year’s Day 2003 and wrote my car off.  I lost quite a lot of money compared to what I had paid for it and I didn’t have a courtesy car so had to pay to hire one so I could get to work.  The claim took a long time to go through, and eventually I bought a new car with the insurance money.  A few months down the line I realised this had some serious problems, so I ended up replacing it as it was too expensive to repair, and, surprise surprise the problems weren’t covered by the warranty! 

During this time, I took out a new consolidation loan, which helped for a while until a year later my latest car packed up.  I topped up the consolidation loan and got a newer, much more economical car and paid off some of my credit cards.  I knew I was getting out of my depth by this point, but didn’t know what else to do, so 6 months later I applied for, and was approved for, a second loan. 

The real turning point came when one of my 0% credit cards was up to it’s limit just as the interest free period ran out and they wrote and informed me that they would put the interest rate up to 27.9%.  I knew there was no way I could afford this, so I finally admitted to my partner was a mess I was in.  I googled ‘debt solutions’ and contacted a few companies, but Thomas Charles were the only ones I felt comfortable with.  I sent all my paperwork off, which was forwarded to Accuma and my creditors meeting was called for 24th October 2006.

My IVA was accepted first time, but with hindsight I wish it hadn’t even been put forward.  I am struggling to make ends meet, and if my partner didn’t help me financially and my mum didn’t buy us food I wouldn’t be able to make the payments.  Due to the way the figures were presented I have £100 less per month than they said I would have and I have realised I can’t live like this.  The only person getting a good deal out of this is my IP!!!

I have left a message for Myvesta to contact me as I want impartial advice, which I don’t think I will get from my IP.  In the meantime I have started filling out the bankruptcy forms online - it’s a bit daunting, but I feel better than I have done in ages.  For the meantime I am back in control.  I know that will change when the OR gets hold of me, but hey ho, that’s life!!!

I really feel that bankruptcy should have been put forward to me as an option at the very beginning, which is why I have started this blog, so that people can see what happens.  OK, I have no assets apart from my car so I don’t stand to lose my home, but hopefully I can help someone!