A little advice appreciated

turpentinekiss

After months of weighing up the pros and cons I think I have decided the only way I can stop my creditors calling and to stop worrying is to declare bankruptcy.

Its not a decision I have taken lightly and I know it will affect my financial future, I just can't see my financial situation improving within the next couple of years, and my credit rating is !!!!!!ed now any way.

I owe around £15,000 to 4 creditors, and for the past 6 months I have been writing them polite letters stating that I can't afford to give them any more than a token payment of £1 each a month.
I have tried to set up voluntary arrangements with them but they have all been reluctant to let me arrange it and instead wanting me to get a third party involved- like payplan or CCCS (who have refused as the money I am living off is a student loan).
Despite none of the companies agreeing to let me have a voluntary arrangement I think they must be receiving my letters as for the past 2 months I haven't received any letters threatening to send me to a debt collection agency.

My questions are:

How many months bank statements will the court want to see?

How long does the official receiver keep an eye on your finances?

As I got a cashminder account 6 months ago in readiness for if I had to declare bankrupcy, and as all my bills are paid from that account will I be able to keep it? (after bills for the next month go out I only have around £70 left).

Will I be told off for spending money on non essesntials? (in the last 6 months there is a bill for a take away, and £10 worth of lottery tickets on my statements).

How much will it cost? (I have heard the figure of £500 - but that seems a lot for someone with no money!)

Thanks

xxxx

fatou256

hi turpenike welcome and good luck with your BR. i had the same problem with my creditor ssendthem letter to accpet a minum repayment ias iw as unemployed , they coudln't care less.

1. it is not the court technically who ask for your bank statemtn but the OR and if iremebered it is the last 2 years for al lyour bank statement. don't worry if you haven't got them as the OR will request it on behalf of you to your Bank.

2. the OR wil keep an eye on your fiance whgiel you are undischarged and will keep hold of your asset ( if you have any) pre-BR for a longtime until he/she say that he has no longer anyinterest on it
3. regarding your cashmnder accout i am not too sure as i heard that some people were fine some other had to open another you better as to someone else.

4. wilnot be told off for spending money on non -essential as long it is not around 2000 pounds luxury holiday and you just declared BR. The Or wil lkeep asking you why have you taken this loan /credit card etc... if u knew you couldn't pay for it? the OR just wan tto know if you have not been irresponsible, ie : gambling etc... , and how much asset you have and if any how likely the creditor will see any money coming their way. then they will do a report and pass it on to the creditor.

5. how will it cost 495 pounds. 345 pound for the OR fee and 150 pounds court fee. the court fee can be leveid if you are illigible or on low income. the OR fee iam afraid is payable by everyone. however if i were you stop payin gyour creditor and saved that money for your BR fees or max out your overdraft or credit card to pay for you bankruptcy fee.

i hope that help good luck

newcook

hi! is the OR fee still payable if a mortgage co has made you bankrupt?!

tigerfeet2006

newcook wrote: »

hi! is the OR fee still payable if a mortgage co has made you bankrupt?!

If you are made BR by a creditor it is all paid for by the creditor. Newcook have you been made BR or have they threatened? If you would like some more advice on your situation post a new thread and will do our best to help.

newcook

hi - not BR yet (am hoping it wont come to that) but I am reading up as much as what I can in case I have to go down that path.
its not as scary as I thought (from what I have read so far) and its great that this forum is here as the support I have read is amazing

tigerfeet2006

turpentinekiss wrote: »

My questions are:

How many months bank statements will the court want to see? It will depend on your circumstances. The OR will write and tell you what he needs and can get any you haven't got.

How long does the official receiver keep an eye on your finances? He doesn't keep an eye on your post BR finances. He just deals with your pre BR debts unless he suspects you of fraud.

As I got a cashminder account 6 months ago in readiness for if I had to declare bankrupcy, and as all my bills are paid from that account will I be able to keep it? (after bills for the next month go out I only have around £70 left). When you speak to the OR by phone on the day of your BR you tell him this is your bills account and he may declare he has no interest in it. Tell the Co-op when you go BR so they know. They are pretty good and rarely freeze accounts but if they do a quick call to your OR is all that is usually needed.

Will I be told off for spending money on non essesntials? (in the last 6 months there is a bill for a take away, and £10 worth of lottery tickets on my statements). No

How much will it cost? (I have heard the figure of £500 - but that seems a lot for someone with no money!) £495 all in. If you are on a low income or benefits you may get remission on the £150 court fees. Will find link for you.

Thanks

xxxx

Please get some professional advice from someone like National Debtline as if you don't the judge may delay your BR untill you do. Links and numbers in my signature.

You won't be able to include student loans in your BR.

Oh! and welcome to the board

tigerfeet2006

newcook wrote: »

hi - not BR yet (am hoping it wont come to that) but I am reading up as much as what I can in case I have to go down that path.
its not as scary as I thought (from what I have read so far) and its great that this forum is here as the support I have read is amazing

Newcook your welcome. Please get in touch with one of the debt charities and go through your circumstances with them, numbers and links in my signatur. Any thing you need to ask just post there is usually someone around who can help or just offer support.