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  • FIRST POST
    • Comingoutofthedark
    • By Comingoutofthedark 14th Oct 16, 1:56 PM
    • 25Posts
    • 7Thanks
    Comingoutofthedark
    Filling in Bankruptcy forms
    • #1
    • 14th Oct 16, 1:56 PM
    Filling in Bankruptcy forms 14th Oct 16 at 1:56 PM
    Hi all ,
    I'm currently in the middle of filling out my forms and have some questions I hope some people can help me out with.

    When filling out the vehicles you regularly use in the last 12 months do I need to put down my partners car that he's now sold? There doesn't appear to be anywhere to explain he no longer owns it.

    Also I have filled out the creditors section , but we have a tax credit overpayment that repayments are currently suspended on. I'm not sure if it can be included due to it being joint , but I'm unsure where to put it on the form if any where as obviously I want the Or to be aware they will start taking repayments again in April if not sooner.

    The last question is related to the expenditure part of the form , does anybody know how closely the Or looks at your bills for the grocery/ household/ babystuff section? I can estimate amounts for the form but actually don't purchase it separately and I sometimes use cash not card in an attempt to not overspend so wouldn't have any proof that I've actually spent the money on food etc.

    I'm starting to get nervous about it all , especially since another poster seems to be getting a really hard time from their Or.

    Thank you in advance for your help & advice
Page 1
  • National Debtline
    • #2
    • 14th Oct 16, 5:59 PM
    • #2
    • 14th Oct 16, 5:59 PM
    Hi there,


    Bankruptcy is a big decision and it is understandable that you want to do the forms as accurately as possible. In answer to your question about the car, you can detail the particulars of the car in the assets section and then at the end of the section it asks about sold assets in the last 5 years, you should be able to detail the sale here.


    In relation to the tax credit overpayment, you must list it on the creditor details, and unfortunately, the fact that deductions will continue is irrelevant from the bankruptcy perspective. Assuming that only you are going bankrupt, not your partner, then a joint debt would mean that your liability to it would end, but your partner would still be responsible for 100% of the money owed, on their own. This is known as joint and several liability.


    And in regards to the expenses, you should list the best average that you can. The OR will likely look at bank statements at some point, and remember that the budget is mainly to assess that spending is split fairly and whether or not you should have an income payment arrangement. I would suggest that it may be worth keeping track of your receipts for this over the next few weeks to work out an average. Good luck,


    Laura
    @natdebtline
    We work as money advisers for National Debtline and have specific permission from MSE to post to try to help those in debt. Read more information on National Debtline in MSE's Debt Problems: What to do and where to get help guide. If you find you're struggling with debt and need further help try our online advice tool My Money Steps
    • Comingoutofthedark
    • By Comingoutofthedark 15th Oct 16, 9:08 AM
    • 25 Posts
    • 7 Thanks
    Comingoutofthedark
    • #3
    • 15th Oct 16, 9:08 AM
    • #3
    • 15th Oct 16, 9:08 AM
    Hi Laura ,

    Thank you for your reply , I had the sold assets section as it wasn't my asset but his, am I still definitely able to list here? .

    Re the tax credits I am aware that as its a joint debt it can't be written off in the bankruptcy hence I was unsure about whether to list it in the creditors , do I list the full amount or half with it being joint. I think my main confusion with it is, from previous advice I've received on here the tax credit award will be split 50/50 as its a joint claim when working out my income for a potential IPA, as tax credits can take 50% of the award directly for repayment ( and there is some confusion as to how long the hardship suspension applies for, letter states Dec , 2 phone calls 2 to different depts computer says April ) would the OR review on a new award if an IPA is put in place based on the full tax credit award but then the repayments start again? To try and make it clearer than mud! for example we receive £100 a week £50 allocated to each of us , I receive an IPA due to surplus income. Tax credits start repayments at 50% so award drops to £50 pw would it then be reviewed and our individual allocation be reduced in line or would it be left because as far as the OR is concerned the debt is now wholly my partners due to the bankruptcy? Hopefully that makes sense!

    With my partners income do I put down what he contributes? as he gives me his share & I then cover all the bills. Or do I put his monthly income ( it's an estimate as he's self employed) and then reduce the expenditure to reflect the percentage his contribution pays?

    Sorry for more questions, you are right that I want my forms to be accurate I'm very conscious that had I not been given incorrect advice over 3 years ago , my bankruptcy journey would be coming to an end not just starting!! And I want it all to go as it should this time. Corrctly & smoothly so I can finally put it all behind me and start looking to the future.
    • Comingoutofthedark
    • By Comingoutofthedark 15th Oct 16, 9:10 AM
    • 25 Posts
    • 7 Thanks
    Comingoutofthedark
    • #4
    • 15th Oct 16, 9:10 AM
    • #4
    • 15th Oct 16, 9:10 AM
    Oops and I should always proof read before posting the first line should say : I saw the sold asset section , but didn't click into it as it wasn't my asset.
    • worriedmamma
    • By worriedmamma 15th Oct 16, 9:40 AM
    • 147 Posts
    • 56 Thanks
    worriedmamma
    • #5
    • 15th Oct 16, 9:40 AM
    • #5
    • 15th Oct 16, 9:40 AM
    hi there

    I've recently applied for bankruptcy too, firstly all my costs for expenses were estimated such as food, clothing and footwear etc, I haven't been asked for bank statements yet but same as you its tri ky to estimate the things that aren't a set about like direct debits. I wouldn't worry too much.


    I would put the full tax credits and when you have your chat with the OR after your order is made he or she may ask if its a joint claim etc.

    An IPA cant be set up if your income is just from benefits.
    • Comingoutofthedark
    • By Comingoutofthedark 15th Oct 16, 12:58 PM
    • 25 Posts
    • 7 Thanks
    Comingoutofthedark
    • #6
    • 15th Oct 16, 12:58 PM
    • #6
    • 15th Oct 16, 12:58 PM
    Hi worriedmamma,

    Thank you for your reply , I've read some of your posts over the last few weeks whilst I've been lurking instead of filling out the forms! Have you had your interview now?
    It's good to know that I'm not the only one who's struggled with the estimating of non direct debit figures!
    Unfortunately or fortunately depending on which way you look at it I work part time although all of my wage & then some goes on the childcare
    I'm concerned that after paying thousands to an iva company for a failed iva , I'll end up with an IPA which will mean my partners shouldering more of the household cost than is fair especially as these debts are from before we were together.
    • worriedmamma
    • By worriedmamma 17th Oct 16, 10:56 AM
    • 147 Posts
    • 56 Thanks
    worriedmamma
    • #7
    • 17th Oct 16, 10:56 AM
    • #7
    • 17th Oct 16, 10:56 AM
    Hi there

    Yes, I had my interview within 2 days of approval. It was really relaxed, the OR called and said he wanted to book in a time to talk to me, but was I available right now to talk, I said yes but have my toddler around and he said that was fine. He just asked a few questions to clarify my answers on the forms, regarding my car, my situation re: work, my prev addresses etc.

    I haven't heard from the OR since the initial chat apart from when I contacted him regarding the refund from one of my creditors. I think my 'case' is very clear cut though. I'm not working, have no assets or property, my debts are from selling a property in negative equity 5 years ago.

    My belief is that the OR can't leave you not able to make your fair share of contributions to the household. Especially as you never know the situation with a partner (not suggesting at all that your relationship might break down, but IF it did) you could end up having to pay everything yourself etc.

    Just be honest on the forms and if there's any queries I'm sure if you post a SOA on here folks in the know can help.
    • worriedmamma
    • By worriedmamma 17th Oct 16, 10:57 AM
    • 147 Posts
    • 56 Thanks
    worriedmamma
    • #8
    • 17th Oct 16, 10:57 AM
    • #8
    • 17th Oct 16, 10:57 AM
    Oh, I found the StepChange budget calculator helpful when estimating costs, they give an idea of an amount for a family of your size, so I used then and then edited for when I thought it was less or more for us....
    • owlet
    • By owlet 17th Oct 16, 11:00 AM
    • 1,477 Posts
    • 1,368 Thanks
    owlet
    • #9
    • 17th Oct 16, 11:00 AM
    • #9
    • 17th Oct 16, 11:00 AM
    Just to say with regard to expenses - don't estimate or average too tight. BR doesn't mean that you have to live on the breadline.
    SPC 8 (2015) #485 TOTAL: £334.65
    SPC 9 (2016) #485 TOTAL £84
    SPC 10 (2017) # 485
    • Comingoutofthedark
    • By Comingoutofthedark 17th Oct 16, 9:21 PM
    • 25 Posts
    • 7 Thanks
    Comingoutofthedark
    Hi owlet,
    I'm hoping that my estimates aren't too generous and that the OR decides we can live on less! I guess I'll find out in a couple of weeks as my bankruptcy application was accepted today now just got to wait for them to contact me.
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