Ask a CCCS counsellor a bankruptcy question

StepChange_Pavan

Marvintheparanoidandroid wrote: »

Hi,

I have been advised by CCCS that bankruptcy is my only realistic way forward.

My main concern is the flat I rent with my wife. Only my name is on the rent book. Should I change it to include my wife? What difference would it make? Surely they cannot force you out of your home, especially as the flat is modest and suitable for our needs (two bedroom - the two of us plus my teenage daughters who stay sometimes).

Many thanks

Rob

Hi Rob and thanks for your post.

It’s unlikely that this will affect your bankruptcy in any way, especially as you say that it isn't an extravagant flat.

If we have advised you that this is your best option, you can contact our specialist bankruptcy support team with any questions too as they will be able to support you through the whole process.

Kind regards,
Pavan

PHILX

Hi can anyone advise me what to do, I owe my creditors about £25000+ but haven't paid any of them for 2 years, I moved addresses so haven't had any contact with the creditors since but think it's time to sort things out as it is always on my mind and gets me down, I am currently unemployed trying to find employment, back living with my parents, and don't have any assets, My parents have agreed to help me with paying the fees to go bankrupt, I know roughly who and how much I owe from old statements although since then there will be interest to go on and the creditors may have sold on there debts, what happens when I go to court with the bankruptcy petition filled in with the original creditors names on?, can I just go to court and fill in everything I know? not sure what to do?

StepChange_Pavan

PHILX wrote: »

Hi can anyone advise me what to do, I owe my creditors about £25000+ but haven't paid any of them for 2 years, I moved addresses so haven't had any contact with the creditors since but think it's time to sort things out as it is always on my mind and gets me down, I am currently unemployed trying to find employment, back living with my parents, and don't have any assets, My parents have agreed to help me with paying the fees to go bankrupt, I know roughly who and how much I owe from old statements although since then there will be interest to go on and the creditors may have sold on there debts, what happens when I go to court with the bankruptcy petition filled in with the original creditors names on?, can I just go to court and fill in everything I know? not sure what to do?

Hi PHILX and thank you for your post.

Firstly, I’d recommend that you get a copy of your credit reference file to help you work out how much you owe and who you owe to. This credit explained booklet gives you more information on how to do this.

Bankruptcy is usually a last resort and there may be other options that are available to you. Before you make the decision, it’s advisable to get some free and impartial advice. To do this you can either use our online advice facility Debt Remedy, or ring our free Helpline to book a telephone appointment with one of our counsellors. We also have a specialist bankruptcy support team, so if this bankruptcy is determined as your best solution, we can answer all of your queries and support you through the whole process.

Debt Remedy will assist you in completing a financial statement which includes information on your household, employment, income, expenditure and debts. All this information is used as a basis to determine the options available to you to deal with your situation.

Once you’ve followed the process through and completed all the required information you will immediately be presented with an advice booklet, which will provide tailored advice for you based on your current circumstances. It will also provide advice on ways you may be able to improve your situation.

Alternatively if you would prefer to talk to a debt counsellor about your situation, you can book a telephone based appointment by calling our helpline free on 0800 138 1111. Lines are open Monday to Friday 08:00-20:00.

Kind regards,
Pavan

need_to_be_debt_free

Hi

I have come onto this site for some advice and support. I am considering declaring myself bankrupt. I have over 17,000 pounds of debt (I work full time and if i didnt eat, pay any bills or had a social life for a year, i would still owe ). These are on 2 credit cards, a catalogue and an overdraft at the bank. My marriage broke down about 18 months ago. these debts were not the sole contributing factor but did play a part. My ex-husband also had debts in his name too.

i am currently on a debt management program and I pay 380 pounds a month. I have been on this for 2 months now. It all seems to be OK. The creditors are just about 'playing ball'. I also had to have a new bank account as my previous bank was / is one of my creditors. The way the new bank accounts work is causing me a few stressful days too!

After consideration and a discussion with my partner i have decided to explore the option of declaring myself bankrupt. I have absloutley no assests. i live in rented accommodation.

i have read a booklet that i was given by the CAB about what bankruptcy involves, but i would like advice from people who have actually experienced it. There are questions that i want to ask that a booklet doesn't actually answer.

i have an appointment with a financial adviser at the CAB in mid January to discuss my options.

One question i would like someone to answer for me before then is : is it possible for anyone to be refused from going bankrupt?

many thanks

CCCS_Sue

need_to_be_debt_free wrote: »

Hi

I have come onto this site for some advice and support. I am considering declaring myself bankrupt. I have over 17,000 pounds of debt (I work full time and if i didnt eat, pay any bills or had a social life for a year, i would still owe ). These are on 2 credit cards, a catalogue and an overdraft at the bank. My marriage broke down about 18 months ago. these debts were not the sole contributing factor but did play a part. My ex-husband also had debts in his name too.

i am currently on a debt management program and I pay 380 pounds a month. I have been on this for 2 months now. It all seems to be OK. The creditors are just about 'playing ball'. I also had to have a new bank account as my previous bank was / is one of my creditors. The way the new bank accounts work is causing me a few stressful days too!

After consideration and a discussion with my partner i have decided to explore the option of declaring myself bankrupt. I have absloutley no assests. i live in rented accommodation.

i have read a booklet that i was given by the CAB about what bankruptcy involves, but i would like advice from people who have actually experienced it. There are questions that i want to ask that a booklet doesn't actually answer.

i have an appointment with a financial adviser at the CAB in mid January to discuss my options.

One question i would like someone to answer for me before then is : is it possible for anyone to be refused from going bankrupt?

many thanks

Hi need to be debt free and thank you for your message

It is really difficult to give you advice on your options without knowing your full financial details

However, from the information you have provided above, if you owe £17000 and you are paying £380 month, then the debts should take approximately 4 years to clear on a debt management programme.
This is presuming you are not paying any fees for your DMP and the creditors have stopped interest and charges.
If this is the case, then it is unlikely that bankruptcy would be your best option as you are able to repay the debt in a reasonable period of time

Also, when you go bankrupt, if there is any surplus income left over after paying all your priority bills and other essential living costs, the Official Receiver (OR) can look at an Income Payment Arrangement (IPA).
This is where the OR or your trustee in bankruptcy will ask you to agree to make contributions towards your bankruptcy debts, if you can afford to, for a period of time - normally 3 years.
I have attached a link to a booklet which explains this in more detail for you
http://www.insolvency.gov.uk/guidanceleaflets/ipoipa/IPOIPA.htm

If you are paying a fee to administer your DMP, it may be better to look at switching to a non fee charger, so that all your money is going towards clearing your debts as soon as possible.

CCCS is a registered charity and all our help is completely free and confidential.

If you would like to discuss your situation in more detail and look at all your options, you can call free on 0800 138 1111. Lines are open from 08.00 until 20.00 Monday to Friday.

Alternatively, for instant help and advice, you can use our online debt advice facility, Debt Remedy. http://www.cccs.co.uk/ref/drcu

Kind regards
Sue

Terryrobin

Hi
My wife and I are filling out our Form6-28 bankruptcy form so that we can submit it tomorrow. We are unsure about how to estimate and fill in the Assets section about fixtures and fittings (section 3.1.8). Do we have to list everything in our house and what kind of value would we estimate for things?

The other query we have is about business expenses. Since my limited company will get shut down do we allow expenses for cost of doing business as sole trader? I.e. The things I would normally have deducted as a limited company before drawing an income.

Many thanks.

CCCS_Sue

Terryrobin wrote: »

Hi
My wife and I are filling out our Form6-28 bankruptcy form so that we can submit it tomorrow. We are unsure about how to estimate and fill in the Assets section about fixtures and fittings (section 3.1.8). Do we have to list everything in our house and what kind of value would we estimate for things?

The other query we have is about business expenses. Since my limited company will get shut down do we allow expenses for cost of doing business as sole trader? I.e. The things I would normally have deducted as a limited company before drawing an income.

Many thanks.

Hi Terryrobin and thanks for your message

You mention in a previous post that you have already contacted us for help.
If you call our helpline, they will be able to refer you to our specialist bankruptcy support team and they can guide you through the forms in more detail.[FONT=&quot][/FONT]
Kind Regards
Sue

queentutti

Hi

I am considering going bankrupt when I can afford to as my creditors wont accept token payments. I owe £16000 and have no way of paying it. I don't work and my property is only rented. I receive benefit of income support and dla. Are they allowed to take my dla into account as I use this to travel to hospital appointments etc.

socialcharlotte

I am in the late stages of Chapter 7, and and I may get some equity from my homestead exemption if my house is sold by the BK court, however I have 0 dollars left to pay for things like utilities and insurance, and so the house might go unprotected. How can I pay when all the money is gone? I am no longer living in the home as I am caring for my mother who has cancer.

StepChange_Pavan

queentutti wrote: »

Hi

I am considering going bankrupt when I can afford to as my creditors wont accept token payments. I owe £16000 and have no way of paying it. I don't work and my property is only rented. I receive benefit of income support and dla. Are they allowed to take my dla into account as I use this to travel to hospital appointments etc.

Hi queentutti and thanks for your post.

I’d recommend that you include your DLA as income, but also include the expenditure that it’s used for so that it shows the Official Receiver that you need it for things such as hospital appointments.

If you’d like some more detailed advice on bankruptcy, and to determine whether there are other options available to you, you can call our free helpline on 0800 138 1111, lines are open Monday to Friday 08:00-20:00. We have a specialist bankruptcy support team that will be able to support you through the process if it is your best option.

Kind regards,
Pavan