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  • FIRST POST
    • MSE Andrea
    • By MSE Andrea 5th Nov 12, 5:58 PM
    • 8,277Posts
    • 20,346Thanks
    MSE Andrea
    Ask a StepChange (formerly CCCS) counsellor a bankruptcy question
    • #1
    • 5th Nov 12, 5:58 PM
    Ask a StepChange (formerly CCCS) counsellor a bankruptcy question 5th Nov 12 at 5:58 PM
    StepChange Debt Charity (formerly CCCS) has several counsellors answering questions in our forum.

    There are three ways to contact them:

    1 - To ask them a question please post it below and Allen, Linsi, Kirsty Rachael or Richard will post a reply here.

    2 - If you would prefer to ask a question in private you can send a private message to StepChange Private Messages and one of the counsellors will get back to you.

    3 – StepChange Debt Remedy is a free and confidential online debt advice tool. You can put a budget together at your pace, and you can also talk it over with an advisor through online chat.

    This thread continues from the previous Ask a counsellor a question thread one
    Last edited by MSE Andrea; 14-12-2016 at 1:40 PM.

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Page 57
  • StepChange_Linsi
    Hi

    Thanks for your post and welcome to the forum.

    I've responded to the private message you sent us about your tax rebate. If you have any other questions you can reply to the private massage or use the forum.

    All the best,

    Linsi

    Hi I made myself bankrupt 27 march 17 and I have an IPA for a small amount each month. I have received a cheque for tax rebate today 12 June 17 and need to know if I will be allowed to keep it it is for the tax years 2005-2008 will the trustee know about this cheque I have received ?
    Thanks
    Originally posted by Taylomic
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • portofcall
    • By portofcall 13th Jun 17, 7:42 PM
    • 46 Posts
    • 4 Thanks
    portofcall
    I was informed by my intermediary (not Stepchange) that this exclusion (below) includes damages to my ex-landlords flat which he has made a demand for money for and could not be included on a DRO.

    However, this exclusion clearly states that this in relation to damages relating top personal injury claims, not property.

    Please confirm this. Thanks.


    46.22 Excluded debts – damages

    Where the DRO application is made on or after 6 April 2010, any debt which consists of a liability to pay damages for negligence, nuisance or breach of a statutory, contractual or other duty, or to pay damages under Part 1 of the Consumer Protection Act 1987 (which deals with product liability) – being in either case damages in respect of the death or personal injury (including any disease or other impairment of physical or mental condition) to any person is an excluded debt. [note 25].
  • StepChange_Rachael
    Hi

    Thanks for your post.

    I’ve taken a look into this for you and as we are aware damages to personal injury wouldn’t be included but damages to property wouldn’t come under this exclusion and would be included in a debt relief order (DRO).

    To confirm this debt would have been included in your DRO and for advice on the next steps i’d suggest speaking with the Insolvency Service.

    Thanks
    Rachael



    I was informed by my intermediary (not Stepchange) that this exclusion (below) includes damages to my ex-landlords flat which he has made a demand for money for and could not be included on a DRO.

    However, this exclusion clearly states that this in relation to damages relating top personal injury claims, not property.

    Please confirm this. Thanks.


    46.22 Excluded debts – damages

    Where the DRO application is made on or after 6 April 2010, any debt which consists of a liability to pay damages for negligence, nuisance or breach of a statutory, contractual or other duty, or to pay damages under Part 1 of the Consumer Protection Act 1987 (which deals with product liability) – being in either case damages in respect of the death or personal injury (including any disease or other impairment of physical or mental condition) to any person is an excluded debt. [note 25].
    Originally posted by portofcall
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • mamakerr
    • By mamakerr 22nd Jun 17, 10:36 AM
    • 1 Posts
    • 0 Thanks
    mamakerr
    Post Bankruptcy Advice
    Hello, thanks to this forum my husband was guided through his bankruptcy - so first of all thank you to you all.

    He was bankrupted in February 2012 and we need to know what to do now.... so here are a few questions:

    1. Do we need to get confirmation of his discharge?
    2. How do we clean up our credit scores? He obtained a credit card to help do this and uses it very wisely and pays up on time - they have increased his credit limit so they must be happy

    Any advice would be most helpful. Many thanks.
  • StepChange_Kirsty
    Hi,

    Thanks for your post. It’s good to hear the forum has been a good source of help and support for your husband.

    Has your husband now been discharged from his bankruptcy? On the assumption he was automatically discharged after 12 months, the record of his bankruptcy should already have been removed from the Individual Insolvency Register. This is a public register and you can check that it has been removed here.

    Unless your husband has been subject to a bankruptcy undertaking or order, the bankruptcy notice will be automatically removed from his credit file after 6 years from the date of entry. As all defaults should be registered before the date of the bankruptcy order, this means the bankruptcy and records of any debts would all disappear after the six years. From there your husband can look to improve his credit score and this article on the main MSE site provides some very useful information.

    You don’t necessarily need to obtain a certificate of discharge but if required, say by a future employer or mortgage lender you would need to contact the County Court when the bankruptcy was petitioned. The cost for a certificate is £70 plus £10 for each additional copy so you might only want to get this if specifically needed.

    All the best.

    Kirsty


    Hello, thanks to this forum my husband was guided through his bankruptcy - so first of all thank you to you all.

    He was bankrupted in February 2012 and we need to know what to do now.... so here are a few questions:

    1. Do we need to get confirmation of his discharge?
    2. How do we clean up our credit scores? He obtained a credit card to help do this and uses it very wisely and pays up on time - they have increased his credit limit so they must be happy

    Any advice would be most helpful. Many thanks.
    Originally posted by mamakerr
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • richieduke
    • By richieduke 23rd Jun 17, 3:23 AM
    • 5 Posts
    • 0 Thanks
    richieduke
    I am considering Bankruptcy
    I have accrued unsecured debts (credit card/overdraft and loan) of around £32,000 owed to 4 different lenders (Barclays, MBNA, Nationwide and Zopa). I have just completed a fixed term contract and presently I am out of work and my first set of missed payments (defaults) will be due by next week.

    I don't have any money to payback the debt and even when I had a job I found it difficult to meet up the payments (although I've never defaulted). I have not claimed benefits as each week the prospects of getting a job looks brighter although I am no longer solvent. I live in a Council flat and have no assets apart from a 2005 Nisan Murano.

    I have 2 current accounts with Barclays, one of them is a basic account. Will I be allowed to keep the basic account post-bankruptcy or do I need to open another basic current account for DD in preparation for my Bankruptcy?

    How long will the Bankruptcy process take?

    Does the OR consider the family size (for eg, family of 5) and increased spending/expenses listed as part of the SOA approval? (For instance, I am paying mobile phone bills for 3 dependants at a cost of £18 per month per person). The normal cost of hairdressing for my 2 daughters (is around £25-£30 per month per child-African hair).

    Assuming I get a job during the application process will I have to make payments to the OR as part of my Bankruptcy (IPA)?

    What happens when the job ends during the payment period will I still get discharged after 12 months?

    What support is there to help with the £680 fee, it is delaying my application? ( I am considering Go Fund Me as an option)

    I am in my early 50's with 3 children and on the verge of going through a divorce (my missus isn't very understanding of my situation-as she's asking me to pack out); and I need a fresh start.

    Thanks for the advice.
    Last edited by richieduke; 23-06-2017 at 1:47 PM.
  • StepChange_Linsi
    Good morning

    Thanks for your post and welcome to the forum.

    I’m sorry to hear you’ve been finding it difficult to meet the payments to your debts.

    Some basic bank accounts are available to undischarged bankrupts. These types of accounts will be frozen briefly (around two days) if you go bankrupt while the OR conducts their initial investigations. After this the account will be unfrozen and you’ll be able to continue using it.

    Barclay’s basic current account is suitable for undischarged bankrupts so if this is the type of account you have, you shouldn’t need to open a new one. You can always check with your bank if you’re unsure.

    You can find more information about the bankruptcy process and time frames involved on the gov.uk website. You’ll usually get an email or letter within 28 days of submitting your application to say if you’ve been made bankrupt. Bankruptcy usually lasts for 12 months and then you’re discharged.

    The OR will take into consideration the number of children you have when looking at your living costs. The OR will use their own guidelines called the Household Expenditure Survey (HES), which is available on the gov.uk website.

    An IPA usually lasts for 36 months and will be set up if you have any surplus income. The OR may not set up an IPA straight away, but it must be set up before you’re discharged.

    If you started working then you’d need to tell the OR and an IPA may be set up. If your job then ended you’d still be discharged but the monthly payment may be reduced or stopped depending on your situation.

    There may be trust funds/grants you can apply to for help covering the bankruptcy fees. The Turn2Us website has grants search tool you can use.

    I hope this helps.

    Linsi

    I have accrued unsecured debts (credit card/overdraft and loan) of around £32,000 owed to 4 different lenders (Barclays, MBNA, Nationwide and Zopa). I have just completed a fixed term contract and presently I am out of work and my first set of missed payments (defaults) will be due by next week.

    I don't have any money to payback the debt and even when I had a job I found it difficult to meet up the payments (although I've never defaulted). I have not claimed benefits as each week the prospects of getting a job looks brighter although I am no longer solvent. I live in a Council flat and have no assets apart from a 2005 Nisan Murano.

    I have 2 current accounts with Barclays, one of them is a basic account. Will I be allowed to keep the basic account post-bankruptcy or do I need to open another basic current account for DD in preparation for my Bankruptcy?

    How long will the Bankruptcy process take?

    Does the OR consider the family size (for eg, family of 5) and increased spending/expenses listed as part of the SOA approval? (For instance, I am paying mobile phone bills for 3 dependants at a cost of £18 per month per person). The normal cost of hairdressing for my 2 daughters (is around £25-£30 per month per child-African hair).

    Assuming I get a job during the application process will I have to make payments to the OR as part of my Bankruptcy (IPA)?

    What happens when the job ends during the payment period will I still get discharged after 12 months?

    What support is there to help with the £680 fee, it is delaying my application? ( I am considering Go Fund Me as an option)

    I am in my early 50's with 3 children and on the verge of going through a divorce (my missus isn't very understanding of my situation-as she's asking me to pack out); and I need a fresh start.

    Thanks for the advice.
    Originally posted by richieduke
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
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