21yo Student; Parents going backrupt.

riiyachan

Hey.

I'm 21, starting my first year of Biomedical Science in September and have already had all my Student Loans and Grants confirmed etc.

My parents have decided to go bankrupt and I am wondering how it is going to affect me. I do not take anything off them for going to University, but I am classed as a dependant -- I think -- because I use their home address for all the Student Finance documents and I also get a bigger grant due to them being unemployed.

My parents say that they have to put me as living here and a dependant on the banruptcy forms, but I'm worried that this is going to somehow affect me, and also worried about how it may affect my applications for student finance in the future -- I doubt it will, but I'd like to be sure.

Are they going to be contacting me and asking where I live (when I move away to Student Residence), or even asking for my bank details etc?

Regards,
Riiya.

NekoZombie

It will not have any effect on you - your parent's financial situation is completely separate from yours and always will be. It will not affect your ability to get a student loan either. As you say you have already benefited from your parents situation - you have managed to secure a bigger loan because they were unemployed. Your parents might also be be in a better position to help when they no longer have a huge debt brining them down.

I can understand your concern, but it's probably best to concentrate on giving your parents the support they need to get through this difficult time.

riiyachan

Thanks for the reply.

My parents are submitting the forms some time tomorrow, but they are confused as to how to fill out the incoming and outgoing information.

They receive 189 pounds a week; what would be a reasonable outgoings per week/month be? It's for two adults, and they do not pay Rent or Poll Tax.

Thanks for any help!
Regards,
Riiya.

deedee_3

Hi and welcome to the board.

Have your parents taken professional advice from a debt charity. If not then the judge could refuse their petition untill they have.

Can you get them on to the forum to discuss their SOA? If not can you ask if you can post their SOA up here and we will help with it.

RichOneday_2

As said it certainly wont affect you now or ever, so no problems there.

The important thing now is to ensure that your parents don't get an IPA because on their income they quite frankly shouldn't. An IPA is a monthly payment that is made to the bankruptcy for 36 months.

This will only be relevant if they have surplus income over £99 per month.
Post the SOA and we'll see where they stand if you can get them to come on that is. Tell them its all completely anonymous.

JCS1

Don't think they will get an IPA as both unemployed.

riiyachan

Hey.

Well my dad happens to be my Guarantor for Student Accommodation (starts september 1st) and I was wondering how this is going to affect me Will the student accommodation kick me out because they will no longer have a guarantor for me?

Regarding the SOA:

Monthly: 376

Rent: 0 (benefits, so no rent)
housekeeping (food and cleaning): 160
Gas/elec: 80
water: 9
telephone(mobile too): 24
travel: 24
clothing: 20

It's just my dad that's going bankrupt, so that's how much he gets/spends apparently.
(He will get state pension of 94 a week quite soon as he will be turning 65).

Regards,
Riiya.

riiyachan

Oh, and does he have to put my name on any of the Bankruptcy forms? Apparently there is a section that asks for anyone that has an 'interest' in the property (Section 8.3). I technically live at home -- to apply for student finance etc. I intend to never return once I go to University this year, however.

There is also a section that asks for anyone who is an occupant or dependant (Section 10.1 and 10.2). Do they have to put my name here? It asks for their address Does that mean the bankruptcy people want to know where my student accommodation is?

riiyachan

Bump for help :<

RichOneday_2

When someone acts as gurantor for student accommodation it is highly unlikely there will be any conditions attached, and will almost always be a parent.

You will normally pay in advance anyway, so the guarantor is not really guaranteeing anything unless you cause serious damage that needs paying for.

RichOneday_2

In terms of you having an interest in the property, he needs to put your name down. You will probably then have to sign something to waive your interest in the property. Its a technicality that often comes up when arranging mortgages because you can acquire an interest in a property without paying anything.

Nothing for you to be concerned about. Its the other way round, you could potentially throw a spanner in the works if you were that way inclined.