Help on Bankruptcy .....

jonesw

Where to begin......

After a very long, costly and messy divorce I seem to be left up a creak with no sign of any paddles......

I have ended up with no Assets, Lost my house, retained all the marrital debts and accumulated 30k in solicitor bills, I had been supporting the wife and children for 3 years since seperation, paying a Mortgage, Paying rental....etc etc etc......Credit cards are maxed ....

Now my divorce is finally complete I contacted the debt consumer credit group and it seems that with my level of accumulated debt (total of about 75k) and my inability to maintain all the payments declaring bankruptcy is my only option as I would not have the required minimum for an IVA.

Now to complicate matters I have now moved to Belgium with my work and do not plan on returning to the UK.

I am renting in Belgium and have had to open a bank account here.

In the coming weeks I will need to start the process of declaring bankruptcy...or just wait for one of the creditors to do it for me....

I understand that I have to close all of my bank accounts in the UK once I do this and then re-open new ones (where possible).....does this apply to an account in Belgium as well ?

I know I can make the Bankruptcy application over the Internet and even hold the interview via the phone with the appointed Insolvency Investigator.....

It just all sounds so damn scary and I was wondering if anyone had any experience or advice for this situation ???

Thank you for any help....
*goes to look for a piece of rope with a noose*

in*the*red_6

Hi jonesw
I'm afraid I've no expertise on bankruptcy but just wanted to say hi and welcome to the forum. Don't know how long you've been reading it for but there is usually a wealth of advice on this subject, it may just be the timing coming up to Christmas that none of the experts have been able to respond yet.
Hang in there, there will be support coming - you've found the best place for going through something like this.
Best wishes
ITR

kevker

Well I certainly hope you enjoy your new life in Belgium. A couple of points to start with.

There is a chance the interview will be held over the phone. However this is as the discretion of the OR. In your case I would imagine this is what he would do.

Your accounts in the UK will be frozen (not closed) and you will not have access to them, although the OR can give permission to acces your funds.

Addicted2Chocolate

Telephone interviews are only available for UK landlines. The OR would not offer a telephone interview for an international or mobile number.
Matetrs are complicated by you living in Belgium. Think you shoudl call the Insolvency Service central enquiry line: 0207 291 6895.
Accounts that are overdrawn will be frozen, but if you have an account in credit used for receipt of income it may remain open, it is up to the bank.
You an complete the forms online but you would have to present your petition in person at a court, the local court with insolvency jurisdiction to whever you last lived in UK.

jonesw

Thank you for you words of advice so far.

I am looking forward to a new start in Belgium although I am finding everyday activites such as food shopping an experience.....

I can certainly organise business visits to the Uk to be alongside any trips to the courts if a telephone interview is not possible to Belgium for this....its easier by phone but if they cant then no big deal...

I will give the enquiry line a call, thank you for that. I know its going to get a little complicated.... Its just that my Decree Absolute did not come through until a few weeks ago (ex Wife kept it going until the last minute) and my company went through a merger that put me in Belgium.....(Moved last week)....I did not want to declare bankruptcy until the divorce was completed.....Timing of all this just sucked....

Another thought crossed my mind.....When I declare Bankruptcy will I become a UK bankrupt or a Belgium one ? My debts are in the UK but I reside in Belgium ???

Is it even possible to do all of the Bankruptcy in the UK and not involve anything to do with Belgium.... ? I am not trying to get out of anything and I will do what ever I need to do in the Uk but as I am finding it hard already in a country where I do not know the regulations/rules/language/systems the last thing I really want added to the mix is the fact that the Belgium side know that I am going through bankruptcy.....Trying to leave a life behind me that has seriously screwed me up....Before the Divorce started I had only a single managable family loan that I have now been left with as part of my total debt.....now after 3 years of what I can only describe as Hell.....I end up in a situation of declaring bankruptcy..... The divorce was not even my doing..... the ex wife initiated it due to an affair.....

I just feel totally drained and being offered a Job in Belgium just seemed an escape from things and a chance to move on with my life.....I just need to sort this mess out the best way I can.....Not just legally but also the best way for me.

One thing that struck me as strange is that in the UK my credit rating is rock bottom....over the last year I have not been able to maintain all my payments and have had many many many discussions (sometimes daily) with all of the credit card companies.....when opening my account in Belgium....No checks were made to the UK even though I had to give my address etc....I have even been offered credit cards (Not that I want them yet)....is there anything preventing the passing of credit information between countries ? if so is that the same with Bankruptcy ?

Once again, thank you for any help or advice....

and Merry Christmas to you all

Jonesw :xmassmile

Dora_the_Explorer_5

Chin up mate, and welcome to MSE. I've no financial advice to offer but there are lots of MSE'ers who'll offer sound information. If you're near Brussels treat yourself to a Christmas beer in the Grand Place and enjoy the sights and atmosphere - money can't buy that. Best wishes

:santa2:

kevker

I'm pretty sure that details are not passed between countries. As far as I know as well, you declaring bankruptcy will not affect you in Belgium. But as has often been said you learn something new everyday, so I wait to be corrected.

Pere_Ubu

Don't mean to hijack your posting but just wanted to ask: my husband and I owe 40k in total. Some of it joint debt some individually. We are repaying though Payplan and have been doing so for a year. With regards bankruptcy how likely is it our creditors will apply for bankruptcy? Are there any "rules" they have to follow before they can apply? We don't want to we are working hard to repay everyone.

Biffa

We were in the same boat, so to speak. It's unlikely that creditors will force you into Bankruptcy if you have no assets to clear it with. We rent our home from afriend, and our cars are both worth less than £1500, (actually, I'd be lucky to get more than £500 for mine!). We were decalred bankrupt on 13th December 05, and it's the best thing we ever did. It costs £460 each to go bankrupt, but it's the best money we've ever spent. It'll last for 12 months, possibly shorter as we have no excess income to pay our creditors anything. We only owed £13.5k between us, but if you can't pay it back, it might as well have been £13.5 million. Hope this helps, and Merry Christmas to you all!

kevker

A very good observation Biffa. £1 is a lot of money if you don't have it. People can be judgemental and say it's only 13K, why go bankrupt for that little. But if you can't pay it, you can't pay it! I too would agree, it was the best thing I ever did, but that's not to say I would recommend it.

Pere_Ubu

Our asset is our house. The equity is about 40k. We don't want bankruptcy we want to pay it back rather than risk our home. We have young children and we don't own the house equally I own 95% and my husband 5% so I guess they won't file for bankruptcy? My husband's equity won't cover his share of the debt.