A few questions from a first timer

brillo_2

Been looking at the boards for a while and have been reading the great advice and support and I am just posting for the first time.

Pretty much decided that BR is my only option. I have been to see the CAB.

Long story short, I used to run my own company, however 2 and half years ago it went into liquidation. In the last year of the business I used personal loans to try and keep the company afloat along with credit cards. At the time I tried everything to keep the business going as it had been running for 6 years. As these were personal loans and personal debts they couldn’t be included in the company liquidation. Looking back at this I should have gone BR at the time but I don’t think I could have faced losing the company and going BR in one go. For the past two and half years I have been working and earning a decent salary which I though just about to kept me up to date with my monthly payments (on doing a SOA I actually found that I was earning well below what I needed to live and pay my debts, classic head in the sand syndrome!)

I was made redundant at the end of June and this has made me face up to my situation. Some better news, I have recently secured a new job which is a fixed term 6 month contract, which I start in two weeks time.

All of my debt is unsecured (approx £85k) apart from a car on HP, which is a year into a three year agreement and I have a small student loan of £130 per month. I don’t own a property. I recently moved out of the place I was renting to move back home with my parents.

I have a few questions.

I probably will have more than £99 surplus at the end of the month and understand that I will have to do an IPA? However as I only have a 6 month contract will the OR take this into consideration at this time or will I have to let him know after 6 months that I possibly haven’t got a job again? (Obviously looking to have something lined up for the end of the contract)

My local court is the high court, can you just turn up or do you need an appointment?

Can I include the HP loan on the car in the BR as I don’t need to keep it anymore for my new work. If I couldn’t get rid of it would I be able to include it in the SOA when working out my disposable income for the OR.

What type of assets does the OR look to realise. For eg I own a laptop, would they look to sell that to recoup some money?

I have read student loans cannot be included in the BR, should this be included when I am doing my SOA for the OR with regards to me disposable income.

Sorry for the long post, but my head is buzzing with all these questions.

Thanks

dalip

brillo wrote: »

Been looking at the boards for a while and have been reading the great advice and support and I am just posting for the first time.

Pretty much decided that BR is my only option. I have been to see the CAB.

Long story short, I used to run my own company, however 2 and half years ago it went into liquidation. In the last year of the business I used personal loans to try and keep the company afloat along with credit cards. At the time I tried everything to keep the business going as it had been running for 6 years. As these were personal loans and personal debts they couldn’t be included in the company liquidation. Looking back at this I should have gone BR at the time but I don’t think I could have faced losing the company and going BR in one go. For the past two and half years I have been working and earning a decent salary which I though just about to kept me up to date with my monthly payments (on doing a SOA I actually found that I was earning well below what I needed to live and pay my debts, classic head in the sand syndrome!)

I was made redundant at the end of June and this has made me face up to my situation. Some better news, I have recently secured a new job which is a fixed term 6 month contract, which I start in two weeks time.

All of my debt is unsecured (approx £85k) apart from a car on HP, which is a year into a three year agreement and I have a small student loan of £130 per month. I don’t own a property. I recently moved out of the place I was renting to move back home with my parents.

I have a few questions.

I probably will have more than £99 surplus at the end of the month and understand that I will have to do an IPA? However as I only have a 6 month contract will the OR take this into consideration at this time or will I have to let him know after 6 months that I possibly haven’t got a job again? yes if you do get an IPA then you have to notify the OR wthin 21 days of any change in circmstance. Your IPA can then be higher/lowered or suspended. For any mths that it is suspended,still count towards the original 36 mths.(Obviously looking to have something lined up for the end of the contract)

My local court is the high court, can you just turn up or do you need an appointment?You need to ring thm to find out what system they operate all courts are different,als ask how many copies of your SOA they need as this can differ too.

Can I include the HP loan on the car in the BR as I don’t need to keep it anymore for my new work. If I couldn’t get rid of it would I be able to include it in the SOA when working out my disposable income for the OR.You would need to check the wording on the ageement.

What type of assets does the OR look to realise. For eg I own a laptop, would they look to sell that to recoup some money?No they are not interested in household items just items worth over £1,000

I have read student loans cannot be included in the BR, should this be included when I am doing my SOA for the OR with regards to me disposable income. Yes

Sorry for the long post, but my head is buzzing with all these questions.

Thanks

Morn and welcome to the forum. Don't worry about all those questions we are here to answer them. Keep asking not matter how silly you think it is,we know what its like.Dxx

tigerfeet2006

brillo wrote: »

Been looking at the boards for a while and have been reading the great advice and support and I am just posting for the first time.

Pretty much decided that BR is my only option. I have been to see the CAB.

Long story short, I used to run my own company, however 2 and half years ago it went into liquidation. In the last year of the business I used personal loans to try and keep the company afloat along with credit cards. At the time I tried everything to keep the business going as it had been running for 6 years. As these were personal loans and personal debts they couldn’t be included in the company liquidation. Looking back at this I should have gone BR at the time Ah! if only we all had crystal balls but I don’t think I could have faced losing the company and going BR in one go. For the past two and half years I have been working and earning a decent salary which I though just about to kept me up to date with my monthly payments (on doing a SOA I actually found that I was earning well below what I needed to live and pay my debts, classic head in the sand syndrome!) Join the not very exclusive club

I was made redundant at the end of June and this has made me face up to my situation. Some better news, I have recently secured a new job which is a fixed term 6 month contract, which I start in two weeks time. Woohoo! well done.

All of my debt is unsecured (approx £85k) apart from a car on HP, which is a year into a three year agreement and I have a small student loan of £130 per month. I don’t own a property. I recently moved out of the place I was renting to move back home with my parents.

I have a few questions.

I probably will have more than £99 surplus at the end of the month and understand that I will have to do an IPA? However as I only have a 6 month contract will the OR take this into consideration at this time or will I have to let him know after 6 months that I possibly haven’t got a job again? (Obviously looking to have something lined up for the end of the contract) Just let the OR know of any changes within 21 days and your IPA will be altered up, down or suspendended.

My local court is the high court, can you just turn up or do you need an appointment? I am assuming you mean the High Court, London. Several people here have gone BR there.b Will find a link for you. You just turn up on the day. Here we are ther are several good links in this thread for you to read http://forums.moneysavingexpert.com/showthread.html?t=1203535

Can I include the HP loan on the car in the BR as I don’t need to keep it anymore for my new work. If I couldn’t get rid of it would I be able to include it in the SOA when working out my disposable income for the OR. It isn't an asset as it doesn't belong to you but the HP company. If you ask them to take it back then any shortfall will be included in your BR.

What type of assets does the OR look to realise. For eg I own a laptop, would they look to sell that to recoup some money? The OR will not be interest in general household things. Only in items above £1k such as the Picasso under your bed

I have read student loans cannot be included in the BR, should this be included when I am doing my SOA for the OR with regards to me disposable income. Yep! put this on your SOA.

Sorry for the long post, but my head is buzzing with all these questions.

Thanks

Hope some of that helps. Welcome to the board and ask anything you need to.

Have a look through the first post on this thread as well
http://forums.moneysavingexpert.com/showthread.html?t=1056083

shadowdragon

Good sound advice already so I will just say Welcome to the BC boards

brillo_2

Thanks for all your advice, I'm sure i will have many more questions. One of which coming right now. On the SOA for the OR what are reasonable amounts to put down for clothing and I notice some people have including a contingency fund/holiday etc, where does this go?

Also with regards to the IPA, does that change with your circumstances even after you are discharged (hopefully after a year) or does it stay the same as the last amount you paid while BR.

Thanks

peachyprice

Hi Brillo, how many people are in your household to clothe?

The IPA can be changed at any time during the 36 months.

brillo_2

Peachey

Just me.

Thanks

tigerfeet2006

You can probably allow £40/50 for clothing.

You can allow for a modest holiday but some OR's don't allow it and some do so it is always worth putting it down.

Contingency funds tend to be disallowed.

brillo_2

A few more questions. Thanks for bearing with me

I am going BR tomorrow and have a few questions that I have tried to find the answer too but i haven't been able to

Currently I am unemployed, however I start a new job next monday. On my SOA should I put my current situation or situation come monday when i will be earning money?

Secondly as part of the job I get a pension, how is this affected and looked at by the OR?

I am still struggling to understand fully the situation with my car as I have it on HP. I don't particularly want to keep it as I don't need a car at the moment. Within the agreement, if I am reading it correctly it says that if i go BR they can repossess the vehicle and claim damages from me. Are these damages covered in BR? and do I need to inform the car company I am going BR or will the OR do that?

I am living at home with my parents at the moment as I moved out of the place i was renting when i lost my job, I was paying £815 in rent, would it be acceptable to put this as my rent figure as my parents are moving abroad in a few months and i will have to rent again soon? Will the OR be reasonable in the fact that i am currently living with parents but i will have to move out soon?

Finally for now, i have an old savings account that I haven't used in 5 years or son and it must have £20 or so in it. I am struggling to find any paper work for it, how am I best to include this on my list of Bank accounts?

Thanks for all you help and advice and I will post up a SOA later.

deedee_3

brillo wrote: »

A few more questions. Thanks for bearing with me

I am going BR tomorrow and have a few questions that I have tried to find the answer too but i haven't been able to

Currently I am unemployed, however I start a new job next monday. On my SOA should I put my current situation or situation come monday when i will be earning money? You put down as it is the day you go bankrupt as that is your situation. When you talk to the OR on the phone tomorrow explain and ask for a new SOA form so you can revise it.

Secondly as part of the job I get a pension, how is this affected and looked at by the OR? This won't be touched by the OR.

I am still struggling to understand fully the situation with my car as I have it on HP. I don't particularly want to keep it as I don't need a car at the moment. Within the agreement, if I am reading it correctly it says that if i go BR they can repossess the vehicle and claim damages from me. Are these damages covered in BR? and do I need to inform the car company I am going BR or will the OR do that? These will go into the bankruptcy. Note on the forms that you have a car that is being handed back. Have you asked the company to repo it? If not do it asap.

I am living at home with my parents at the moment as I moved out of the place i was renting when i lost my job, I was paying £815 in rent, would it be acceptable to put this as my rent figure as my parents are moving abroad in a few months and i will have to rent again soon? Will the OR be reasonable in the fact that i am currently living with parents but i will have to move out soon? No. You put what rent you pay to your parents. When your situation changes you then request a new form and fill it in to those details.Pop up your SOA and the good folks here will check it over for you.

Finally for now, i have an old savings account that I haven't used in 5 years or son and it must have £20 or so in it. I am struggling to find any paper work for it, how am I best to include this on my list of Bank accounts? Just say which bank it is with.

Thanks for all you help and advice and I will post up a SOA later.

Hope that helps. Do you know what your monthly wage will be when employed?

brillo_2

Yeah I know what my gross will be.

With the pension, i make a contribution out of my wages, does this get included in my surplus income or my income before the surplus is worked out?

Also on my outgoings do i put what i currently pay in debts to cc companies etc or what my situation will be after BR?

Sorry for so many questions.