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Main penalties in going Bankrupt

Bald_Runner
Bald_Runner Posts: 80 Forumite
Part of the Furniture Combo Breaker
in Bankruptcy & living with it
Do I have this right, the main penalties with BR are:

If we had our own home we could lose it
Our car may be at risk (we will argue medical grounds)
Bank account issues (Cash card only with Barclays, Electron with Co-Op)
Cannot get credit for years (don't plan to ask for any!)
Discharge can take 12 months
IPA for three years
Name in paper

Is there anything i have missed. I have to make a decision on this by Wednesday (IVA people are waiting for my response to the ridiculous demands from Egg - see previous post, the want 100%) and I do not want to make a mistake for the sake of being unaware of an important issue

Thanks in advance

Bald Runner
In the beginning, there was nothing.
The Lord said "Let there be light".
There was still nothing, but you could see it.
«13

Comments

  • debt_doctor
    debt_doctor Posts: 4,595 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Yes, plus:

    possibility of a BRO if your conduct is "questionable" which would continue undischarged restrictions on you for a further period. ( discharge still after 1 year ).

    Some proffessions do not allow BR.

    Possible tenancy problem ( little real effect )

    Br entered on insolvency service website ( just like IVA's). Basic details only.

    Whilst undischarged cannot be the director of a company, trustee of a charity or borrow more than £ 500 without informing lender of your BR.

    DD
    Debt Doctor, Debt caseworker, Citizens' Advice Bureau .
    Impartial debt advice services: Citizens Advice Bureau Find your local CAB *** National Debtline - Tel: 0808 808 4000*** BSC No. 100 ***
  • peachyprice
    peachyprice Posts: 22,346 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Or a school governor

    And possible problems getting insurance policies
    Accept your past without regret, handle your present with confidence and face your future without fear
  • Bald_Runner
    Bald_Runner Posts: 80 Forumite
    Part of the Furniture Combo Breaker
    peachyprice wrote: »
    Or a school governor

    And possible problems getting insurance policies

    what insurance problems are there? Can I get car insurance?
    In the beginning, there was nothing.
    The Lord said "Let there be light".
    There was still nothing, but you could see it.
  • skylight
    skylight Posts: 10,720 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker Home Insurance Hacker!
    And you may get your mother crying down the phone about how you are going to prison...................:rolleyes:


    (you laugh..... I did say on my threads I wasn't going to tell her, but decided I should..........)
  • debt_doctor
    debt_doctor Posts: 4,595 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Yes, but doubtfull ( but not impossible ) to pay by instalments. You are only disqualified from being a school governor if you get a BRO.

    DD
    Debt Doctor, Debt caseworker, Citizens' Advice Bureau .
    Impartial debt advice services: Citizens Advice Bureau Find your local CAB *** National Debtline - Tel: 0808 808 4000*** BSC No. 100 ***
  • skylight
    skylight Posts: 10,720 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker Home Insurance Hacker!
    Bald_Runner wrote: »
    what insurance problems are there? Can I get car insurance?



    Yes and no. You can GET insurance. But, if you go to some online comparison sites (or direct) some assumptions are that you are not BR or have ever been BR. Some sites specifically ask the question about having been BR. Obviously in 25 years time, if the question states "Have you ever been BR" you must answer yes, and they can decline to quote for you if they chose.

    You can get insurances (home/car etc) but the whole list that you can compare to will be limited and we may end paying a bit more because we cannot compare with everyone.
  • peachyprice
    peachyprice Posts: 22,346 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Some insurance quotes ask if you have been bankrupt, others don't. You will be able to get car insurance, just be selective. If you start answering the forms and the question is asked abandon the quote and start again with another company. I say this because you are always asked if you have been refused insurance, which, if you have because of your bankruptcy, it could cause even more complications.
    Accept your past without regret, handle your present with confidence and face your future without fear
  • fermi
    fermi Posts: 40,542 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker Rampant Recycler
    peachyprice wrote: »
    Or a school governor

    Only if you are subject to a BRU/O.

    That was changed in the Enterprise Act 2002, or one of the others that went through at the same time.

    From: Restrictions imposed by other legislation
    25.23EA School governors

    An undischarged bankrupt is no longer disqualified from holding office, or continuing to hold office, as a school governor. Only those subject to a BRO will be disqualified from holding office as a school governor.

    EDIT: Missed DD's post saying the same thing.
    Free/impartial debt advice: National Debtline | StepChange Debt Charity | Find your local CAB

    IVA & fee charging DMP companies: Profits from misery, motivated ONLY by greed
  • Bald_Runner
    Bald_Runner Posts: 80 Forumite
    Part of the Furniture Combo Breaker
    I just rang Norwich Union with whom i am insured. They said as long as i continue to pay my instalments, they are not bothered
    In the beginning, there was nothing.
    The Lord said "Let there be light".
    There was still nothing, but you could see it.
  • fermi
    fermi Posts: 40,542 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker Rampant Recycler
    Bald_Runner wrote: »
    I just rang Norwich Union with whom i am insured. They said as long as i continue to pay my instalments, they are not bothered

    I can't see anything mentioning bankruptcy/insolvency in the policy either. :)

    http://www.norwichunion.com/library/pdfs/policy-car-insurance.pdf
    Free/impartial debt advice: National Debtline | StepChange Debt Charity | Find your local CAB

    IVA & fee charging DMP companies: Profits from misery, motivated ONLY by greed
This discussion has been closed.
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