Shall we go bankrupt?

fermi · 15 April 2008 at 4:20PM

dalip wrote: »

With the NT( i think it's a NT IPA) that is paid seperate to an IPA.So that will Not make any difference to your figures for an income based IPA. Does that make sense to you:D ?.

Yep. An IPA to collect the tax under the NT code is a separate thing to the IPA to collect a percentage of surplus income.

BR's often find that they have a sizeable chunk of cash left over once the need to service their former debts has gone. Doesn't mean that the bankruptcy was any less valid, because your insolvency then is the problem that the BR is intended to remedy.

Rosey321 · 18 April 2008 at 7:19PM

The deed has been done - booked in to the court on May 12th - they couldn't do it any sooner, snowed under with applications apparently!

Rosey321 · 18 April 2008 at 7:31PM

Now in the run up to BR, I'm probably going to have the odd irrational thought!!

Here's the first.... we wrote to the solicitor to tell her that we had decided to go BR after careful expert guidance.

I'm not sure who she will tell or if she will treat it as confidential. My silly worry is... if she tells our secure loan company of our intentions (don't really see why she would if I'm being rational), they can't do anything to stop our BR proceeding or do anything that legally enforces we owe them money despite doing the voluntary repo and BR route can they?
We didn't mention the voluntary repo in the letter, only the BR - therefore as far as she knows we are staying put and going BR in the house. She knows nothing about the fact we have found a rental property which we are moving into next week.
With handing the keys in, would it therefore be a case of the sooner the better or is the above just totally irrelevant and me worrying over nothing??

FeelingLow · 18 April 2008 at 7:31PM

well done on getting the ball rolling hun the 12th May will soon be here xx

Rosey321 · 18 April 2008 at 8:45PM

Thanks, I wish it were tomorrow!! - Do you think I have nothing to worry about from my previous post??

betterlatethannever · 18 April 2008 at 9:18PM

There really isn't anything they could do Rosey except get a court order for payment and that takes several weeks, by which time you'll be BR and they can do nothing.

I also doubt your solicitor would say anything. She wouldn't benefit from telling them.

Try not to panic. The BR is not too far away now.;)

Rosey321 · 18 April 2008 at 11:10PM

Thanks, just what I needed to hear. I think I panicked because there was a missed call for me earlier from the loan company. I think actually that it probably has more to do with the two months arrears we are in!! Rationally speaking, I only hand delivered the letter to the solicitor yesterday - I'm sure things wouldn't work that fast!
In hindsight, I wish we hadn't mentioned the BR word in our letter - we only really did it out of guilt for our buyers and asked if the solicitor knew of any way they could still be in with a chance of purchasing the property i.e from Trustee direct etc.
However, as the guy from the debtline said last wkend, we shouldn't be worrying and feeling bad about our buyers, we have plenty to occupy our own minds anyway!

Latest timeline for us is as follows:

This weekend - download and complete petitions/S of A forms

Next week - apply for Co-op account. I believe this can be done over the phone? Our nearest branch is a good 20 miles away.

Next Friday - Get keys for new rented property. Do the removals over a period of a few days.

Early May - Clean out current account pre BR for use on BR (mortgage/loan DDs already cancelled), living expenses for month etc.

May 12 - BR hearing

May (within week after) - Hand keys in to mortgage lender offering voluntary repo

Not long after - Look forward to a newer worry-free life

How does that sound?

betterlatethannever · 18 April 2008 at 11:19PM

Looks fine to me Rosey.
The only problem might be that you will have to go into your co-op branch to show your ID (passport/driving licence and a utility bill) so that 20 mile trip maybe needed after all

Edit: just checked some previous posts and it seems you can send in the ID.
So now its up to you, do the travelling and get it all sorted and photocopied there and then, or phone, then send in the required documents which will require some careful posting.

strongboes · 18 April 2008 at 11:40PM

hi depending on how much your car is worth then i dont think it's gonna be an issue. You dont need to account for it, if it is asked then just say it was to pay creditors, they will not look for the money, before you go string it out a little, dont pay anyone, and try and save a few pounds for your upcoming move. thats my 2p worth.

before i went i increased my debt in the last month by about 2.5k and nothing was ever asked.

Very best of luck, the relief you will get is what i imagine winning the lottery is like, the judge declared me, i drove half the way home and looked at a beach and had a good old cry and boy did it feel good!

Rosey321 · 20 April 2008 at 4:05PM

Just a few more questions now!

It's now 22 days to the big day! We are both booked at 9.30 that day. As we are both going BR together, I'm just trying to get my head around what aspects of this will be dealt with separately and what parts will be done jointly. Obviously we need to put in our separate petitions, but the next few questions I'm unsure about:

1. Most of our debts are joint, do we only need to do one I&E form or one each, showing our separate incomes and debts? If one each, how do we show joint debts like loans etc, do we split in half for example? Could we do a joint one showing the whole picture and take a copy each?

2. Would the OR then calculate one IPA to cover the both of us based on our joint I&E statements, or would it be two separate IPAs?

3.Will the judge see us together or call us in one by one?

4.Will the OR want to interview us separately or will just one interview do? If so, will we both need to attend or will one person do (i assume if by phone, then one will have to be sufficient!)

5. Would we be likely to go hand in hand in the process, ie same discharge dates etc?

6. Bearing in mind some of the posts above, I assume I should still list the secure loans as a current outgoing? I have cancelled the direct debits of all of them now so I guess I know they won't be outgoings anymore! I assume its the pre-BR I&E that I need to quote?

7. A bit like question 6, should I list the mortgage? As of next Friday, we will be in our new rented property and therefore I have cancelled the mortgage direct debit. We will be handing the keys in to our owned house once BR. However, I guess I can't put mortgage and rent down as an outgoing??!?

In questions 6 & 7 the 'before BR' and 'after BR' figures are very different!

Any advice, gratefully received as always!

Shall we go bankrupt?

Comments

Confirm your email address to Create Threads and Reply

🚀 Getting Started

Categories

Is this how you want to be seen?

Get our FREE Weekly email full of deals & guides - and it’s spam-free