Advice Needed Please?

Simpsona

Hi guys,
Two questions that are worrying us at the moment so I'm hoping one of you will have the answer??

Car: We have a car on finance which we still owe approx £2000, problem is the car is knackered and only worth about £500 due to its current state (needs cylinder head replacing which would cost around £1000, Subaru) would prob be worth around £1400 if it was repaired. So its just standing there while we are paying £143 per month, hubby has had to get a hire car to get to and from work for past 3 weeks. What do we do? Do we stop paying and tell the finance firm to take it away? What will happen then with the shortfall in value? Will that get included in BR?

Tax PAYE: I have one employee at my business. Income to the business is so slow that we are behind with her wages and still she stays bless! Anyway we are also behind with the PAYE and NI contributions we are supposed to make on her behalf to the HMRC. What will happen with this? Will that get included in our BR or technically with it being for her will this need to be paid?? We have always focused on paying her rather than her contributions. Its not a huge sum, around £600-£800 but still a problem if we have to raise it.

We are continuing to trade up til the court date to raise the BR fees, every penny we take in goes into the pot. This is getting quite scary now! x

robsimps53

i dont know weather this will help you but i had finance for a car which was £9000 with the interest, in september the car was written off and the insurance would not pay out. When i considered bankrupcy i contacted cccs and told them the situation and they said that i could put the amount into my bankrupcy as i no longer have the vehicle which the money was secured on.

I would think that it is pritty much the same with you, i should think that any shortfall would be fine to put in your bankrupcy

hope this helps

Simpsona

Thank you. Think I'm gonna tell them to come collect it then as it's just sitting there. Presumably they will then send us a settlement figure?

Anyone have any idea about our PAYE/NI problem?

Simpsona

Hope nobody minds me 'bumping' this one just incase anyone online tonight can answer my "nd question about my staff members PAYE and NI? Worrying me this one. Many thanks peeps!

JCS1

Are you sole trader, partnership or limited company?

Simpsona

Sole trader.

nervousmother

Simpsona wrote: »

Thank you. Think I'm gonna tell them to come collect it then as it's just sitting there. Presumably they will then send us a settlement figure?

Anyone have any idea about our PAYE/NI problem?

It will be included in your BR, technically you stopped these deductions fromher wages + of course your company NI. You owe it to the tax man so it should be included in BR.

forgot to say: If your employee is owed wages/holiday pay she will go into the br but will be a priority creditor

Simpsona

Thanks, I had read somewhere that she would be priority so thats a good thing as she has worked without complaint despite her pay being erratic! Does anyone else take priority? ie the landlord or does he go into the pot with the other creditors? Feel a bit bad for him as they have been really understanding up til now, although I've a feeling that may change after we go BR!

nervousmother

afraid not, after employee comes secured loans and taxman, oops.. OR fees or trustee goes in first The fact is that most of your creditors wont see anything unless you have assets.

Simpsona

Nope, no assets, neg equity and very little of value at the business!:o

There are going to alot of p***ed of people come March 6th! I'm gonna hide away and bury my phone.

nervousmother

Just remember they are not legally allowed to hassle you, any hassle contact the OR.