Advice needed please :o)

[Caz1974]

A few months ago my friend popped over extremely depressed and eventually told me about her piling debts.

Being a Cagger I offered her my advice and encouragement because she was going to pay some bloke £500.00 to make her bankrupt ( I don't know the ins and outs because it sounded fishy so I just said " No way" and planned to work through her debts one by one the Cag way.)

A bit of info she is on benefits and that is her only income,she doesn't own her own property ( it's rented ) and doesn't have a car.

Her debts are made up mainly from catalogues and store cards BUT she had a loan,credit card and overdraft from the same bank.

The first thing we did was send CCA's to all the catalogues and because she said she has been paying the loan off forever but didn't know how much was still outstanding we sent a S.A.R - (Subject Access Request) to the Bank.

Everything was going well until last week - she's recieved the normal letters from the catalogues with blank agreements etc.

The problem is the amount of the loan is now £13,000.00 ( growing daily) - I was in shock and so was she!When I asked her why it was so high she told me the bank have just kept consolidating her borrowing and because she was in a pickle she went along and accepted it each time and signed whatever was put in front of her.

We have written letters offering token payments to the Bank and she opened a different Bank account.

All offers have been refused and now interest and charges are being applied daily.

With it being such a large amount would Bankruptcy be the best option?

I'm in a little bit over my head here and feel guilty telling her not to go bankrupt in the first place:sad:

Any advice would be greatly appreciated

[tomterm8]

Please do not cross post (post the same thread in two different forums)