Ask a CCCS counsellor a bankruptcy question

SteveABC

I have my date for B/R on 30th March. Just wanted to ask a question about opening a new bank account. I intend to apply to Barclays or Co-op for their most basic account, but can I do this on the day of B/R, or would my new account end up frozen? Should I wait a day or two? I want to get it sorted quickly to re-do all my d/ds for utility bills, TV licence etc and to make the cut off date for my next salary. Many thanks.

Penelope_Penguin

CCCS_Sue wrote: »

Today is sad day as I have to say goodbye to everyone here on the forums. I am hanging up my debt advice book and retiring after 10 years working with CCCS.

Pavan and Mat will still be here continuing to offer expert advice on your debt queries

I just wanted to say goodbye to you all and to wish you a speedy debt free future.

Sue x

Enjoy your retirement :A

philnicandamy

CCCS_Sue wrote: »

Today is sad day as I have to say goodbye to everyone here on the forums. I am hanging up my debt advice book and retiring after 10 years working with CCCS.

Pavan and Mat will still be here continuing to offer expert advice on your debt queries

I just wanted to say goodbye to you all and to wish you a speedy debt free future.

Sue x

:T:T:T:T:T:T:T:T:T:T:T:T:T:T:T:T:T:T:T:T:T:T:T:T:T

System

SteveABC wrote: »

I have my date for B/R on 30th March. Just wanted to ask a question about opening a new bank account. I intend to apply to Barclays or Co-op for their most basic account, but can I do this on the day of B/R, or would my new account end up frozen? Should I wait a day or two? I want to get it sorted quickly to re-do all my d/ds for utility bills, TV licence etc and to make the cut off date for my next salary. Many thanks.

Hi SteveABC and thanks for your post,

We usually recommend that you open the bank account prior to going bankrupt. The account is still likely to be frozen but you can request a letter from the official receiver which usually allows the account to operate again.

By opening the account prior to petitioning for your bankruptcy this saves you then having to try and open an account as an un-discharged bankrupt which can be difficult.

Hope all goes well on the 30th

Kind regards
Mat

nnop72

Hi, I am heavily in debt and looking for some advice on bankruptcy. In November I was made redundant from a well paid job, and prospects of getting another any time soon look remote. During this time I stupidly ran up a lot of unsecured debt, more than I can conceivably pay back any time soon. A few years ago I was forced to work reduced hours due to mental health issues, and spoke to Citizen's Advice about how to deal with debts. They recommended bankruptcy, however I shied away from it and allowed the debts to continue. From there I got a lot better with money, and was able to repay a small percentage of the debt and rather a lot of interest, but since losing my job have been unable to do this.

I am looking at bankruptcy as the only real viable option. I have considered trying to hold on until I get another job and try to chip away at the debt again, but this is likely to leave me in over my head for years to come. I do have a number of concerns, and would appreciate and advice or comments.

- a large part of the debt came from trying to play the stock market. I always lost money, and so never filled in CGT returns, as I only thought you had to if you made a certain amount or wanted to offset losses. I don't owe the taxman any money, but someone I know indicated that I should have sent forms in anyway (this is from 2005-2008). Would I get into trouble?

- I may have to move at some point before I am discharged. My flat mate finishes her course in June and is applying for jobs, she may need to relocate which will leave me unable to afford to rent my current flat on my own. If I am bankrupt, I assume the OR won't allow me to retain any of the remaining redundancy money and so I will be a bit scuppered when it comes to raising a deposit. I am hoping that a job I recently applied for will come through, but it is minimum wage and so will be difficult to save money especially as I assume I would be subject to an Income Payment Order under those circumstances. Also, I understand landlords can be reluctant to let to undischarged bankrupts and may require extra security. Is there any specific advice you can give on this?

- A small proportion of my debt relates to online gambling over a short period, when I was getting a bit desperate. Can I expect to be subject to a BRO because of this?

- There is a chance that I may be offered work in the future overseas in Australia or New Zealand. Would bankruptcy affect my right to hold a passport / leave the country?

- Am I able to keep the process private, apart from statutory publication in the relevant newspapers? A lot of my family have old-fashioned attitudes to debt, and I don't want to be judged as I think I will find this difficult enough as it is. They all live in a different area of the country to me, so I would assume so.

Thanks in advance for any advice you're able to provide. I appreciate this must sound like a hell of a mess, but I want a fresh start

Regards

Neil

AYLSHAMBOY_2

Help please if something is bequeathed in a will to another family member can the receivers/bailiffs take it

StepChange_Pavan

nnop72 wrote: »

Hi, I am heavily in debt and looking for some advice on bankruptcy. In November I was made redundant from a well paid job, and prospects of getting another any time soon look remote. During this time I stupidly ran up a lot of unsecured debt, more than I can conceivably pay back any time soon. A few years ago I was forced to work reduced hours due to mental health issues, and spoke to Citizen's Advice about how to deal with debts. They recommended bankruptcy, however I shied away from it and allowed the debts to continue. From there I got a lot better with money, and was able to repay a small percentage of the debt and rather a lot of interest, but since losing my job have been unable to do this.

I am looking at bankruptcy as the only real viable option. I have considered trying to hold on until I get another job and try to chip away at the debt again, but this is likely to leave me in over my head for years to come. I do have a number of concerns, and would appreciate and advice or comments.

- a large part of the debt came from trying to play the stock market. I always lost money, and so never filled in CGT returns, as I only thought you had to if you made a certain amount or wanted to offset losses. I don't owe the taxman any money, but someone I know indicated that I should have sent forms in anyway (this is from 2005-2008). Would I get into trouble?

- I may have to move at some point before I am discharged. My flat mate finishes her course in June and is applying for jobs, she may need to relocate which will leave me unable to afford to rent my current flat on my own. If I am bankrupt, I assume the OR won't allow me to retain any of the remaining redundancy money and so I will be a bit scuppered when it comes to raising a deposit. I am hoping that a job I recently applied for will come through, but it is minimum wage and so will be difficult to save money especially as I assume I would be subject to an Income Payment Order under those circumstances. Also, I understand landlords can be reluctant to let to undischarged bankrupts and may require extra security. Is there any specific advice you can give on this?

- A small proportion of my debt relates to online gambling over a short period, when I was getting a bit desperate. Can I expect to be subject to a BRO because of this?

- There is a chance that I may be offered work in the future overseas in Australia or New Zealand. Would bankruptcy affect my right to hold a passport / leave the country?

- Am I able to keep the process private, apart from statutory publication in the relevant newspapers? A lot of my family have old-fashioned attitudes to debt, and I don't want to be judged as I think I will find this difficult enough as it is. They all live in a different area of the country to me, so I would assume so.

Thanks in advance for any advice you're able to provide. I appreciate this must sound like a hell of a mess, but I want a fresh start

Regards

Neil

Hi Neil and thanks for your post.

I’ve tried to answer your questions in the order they were posted:

• I’m not sure whether you should have sent any tax returns but TaxAid should be able to give you some free and independent advice relating to this.
• Do you still have remaining redundancy money? You would need to explain this to the Official Receiver and if you explain the situation he may allow you to set some money aside for a deposit. You may also be due a refund on the bond of your current property which could help towards this.
• With regards to the extra security, a guarantor could help. Some landlords may not even check your credit file and so won’t ask whether you have been declared bankrupt or not.
• I couldn’t confirm whether you would be subject to a BRO as we’d need more information – it may depend on how much money was involved.
• Bankruptcy shouldn’t affect your passport or ability to work in another country but you would need to check the terms and conditions of your employment.
• Bankruptcies are no longer advertised in the local paper unless it is in the interest of the public to do so. It will still appear in the London gazette.

I hope this answers all of your questions.

Although you received advice from the CAB a few years ago, I’d still recommend that you seek some free and independent debt advice again. There may be other options available to you, but if bankruptcy is still your best option we have a specialist team that can help and support you through the process.

If you need any further help please get in touch.

Kind regards,
Pavan

StepChange_Pavan

AYLSHAMBOY wrote: »

Help please if something is bequeathed in a will to another family member can the receivers/bailiffs take it

Hi there and thanks for your question.

Provided that you can prove that the item doesn’t belong to you, or has been left to another, they can’t take it.

Kind regards,
Pavan

takingmylifeback

Hi,

I completed the online survey on the CCCS website, and this indicated that bankruptcy is my best option. This was months ago, and I am now at a point where I feel I have nowhere else to turn and it's time to get going.

From lurking on here, and other research, I believe I would not lose my flat (negative equity to the tune of about £7,000 at least thanks to the downturn), or my car (it's a little old banger, and I need it to travel to work). There is nothing in my employment contract to suggest I couldn't work for this company being bankrupt (although I am about to check but don't want to do so until I'm sure I'm going through with things just in case.

My question relates to a charity bank account for which I am a signatory - would this be affected by the bankruptcy? I am prepared to relinquish being the signatory, but from experience this takes a long time.

Oh, and I also have a lodger in my flat to help me try and make ends meet - would they be affected by the bankruptcy?

I'll be glad of any advice as I'm not in a good place right now and need to take control of my life.
Thank you.

battyboimatt

When I called the bankruptcy team about going br, they suggested I open a new account, sooner rather than later, however they suggested, Barclays, Co-op or Nationwide. Is that correct, I thought Nationwide were not BR friendly.

Thanks
Matt