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By secondtimearound
#198381 My situation is as follows:

£95k mortgage (23 years to run), with a 25k secured loan on the house which we have just over 9 years left to pay.

£17k credit card debts all in my name and I have a car costing me £200 a month.

Can't cope with the financial stresses of wondering whether there's going to be enough left in the pot to pay the mortgage every month, so to begin with I have stopped paying the credit cards, but in all honesty I need rid of the car as well.

Been advised in relation to a DMP with nominal £1 payments to all creditors, but in my view this seems pretty pointless, as I really do not want this round my neck for the rest of my life.

There's no real equity in the house, well there was at the time we got the secured loan last year, but only had about £10k in it and I think with the current state of the housing market, that amount will have diminished some.

I am wanting to know whether going bankrupt is my best option. I have been told so far that I will lose the car, whether its on finance or not, and we don't have to lose the house.

Any advances on this?
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By froglet
#198383 Hi, welcome to the forum :D
Is your car on finance, or is it on a personal loan? If your car is on finance it is up to the finance company to decide about the car. Sometimes they are happy for you to continue paying your monthly payments even as a bankrupt.
Regards your house, the OR would require an evaluation. It's certainly not a given that because you're going BR you will lose your home. It depends on a lot of factors. Many of us lose our home not because of BR but simply because we can no longer afford to pay mortgage and the secured loan, and have enough to live on....
By secondtimearound
#198398 Hi thanks for that,

I was aware that you don't have to lose your home, we have a young child as well so hopefully this would go in our favour... we have also not defaulted on either the mortgage or the secured loan.