We paid £180k for the house and had 30k loan. House sold for £153k. The shortfall is £85k and I've paid £5k off.

I have a repayment set up with NRAM following the repossession of our house following marriage break up. We took out 'Together' mortgage in 2007 and paid the highest price the house has ever sold for because of various problems resulting from the break up I was unable to remain in the house and my ex moved back in. Unfortunately, he then decided not to pay the mortgage and by the time I found out months later the process of repossession was taking place. I kept in contact with NR at all times and as soon as I was aware of the shortfall amount started making payments. I then found out (not from NR) that the house had been sold for £27k less than we paid for it even though we'd spent the loan money making improvements. NR were aware of this. I have a repayment set up with NR which gets rechecked every 6 months. I pay £120 and have always been told by them that this is a good arrangement. I realise this weekend I've been completely naive!! Suddenly they will not now renew my arrangement as I have other creditors who they deem I'm paying too much money to even though they are minimum payments. Financially things haven't changed so I don't know why suddenly they won't put an arrangement in place. They want me to set up a DMP and told me they want the lions share of my disposable income. I realise its their business and they want their money back however I feel like they are forcing me to further damage my credit file by telling my bank (it's a loan) that I'm not going to be making my full repayments. Is there anything I can do? I was terrified after bankruptcy was mentioned as I really don't want this to happen. I said I would get a second job to increase my payment to them but was then told if I increased my income they'd come after even more money! I feel like they're putting me in an impossible situation and can't see what they will gain from me being bankrupt? Anyone been here with them? They told me as I'd refused to speak to debt advisors they will send my debt to dent collection company, yet I've never missed a payment. Can they do this? I've heard horror stories about these too. Yet, I never said I wouldn't speak to them I simply said I'd spoken to them before and they said because I had very little debt otherwise an IVA would be no good bankruptcy is the best option. I feel like they put words into my mouth, they must sense my fear! I've spent all weekend crying and terrified. I have no assets they can take away. Thanks for reading and thank you in advance of any advice.