bankrupt student

Hi all,

Firstly I'd like to thank all of you for your help and especially your patience the last couple weeks while I have been preparing to file.

I am after your opinions on the below excerpt from the technical manual regarding state benefits.

31.7.40 IPA or IPO should not be sought where bankrupt’s sole income comprises state benefits

(Amended March 2014)

An IPA or IPO should not be sought where the bankrupt's only source of income is state benefits. In the context of this chapter "state benefits” refers to all forms of income supplement and support provided by central or local government including, but not limited to: income support, job seekers allowance, disability living allowances, incapacity benefit, industrial injuries disablement, council tax benefit, housing benefit, state retirement benefit (state pension), child benefit and all forms of tax credit (child, working and pension). Payments of a War Disability Pension (Naval, Military and Air Forces Etc. (Disablement and Death) Service Pensions Order 2006), the bankrupt having been injured on active service, should be regarded as a state benefit. There is no requirement to undertake an assessment of real disposable income where the only source of the bankrupt's income is state benefits. In all other cases an assessment should be made even if part of the household income is derived from state benefits.


My interpretation is that using this definition of state benefits, all student income is a state benefit As it is provided by the stuner finance England which is a central government body.

Your thought would be greatly appreciated as it would be the difference between a potential 700 400-700a and nil ipa.

Regards
dan