Ask a CCCS counsellor a bankruptcy question

isabella01

Both myself and my partner have received our bankruptcy notice today.
It states that the Accountant in Bankruptcy will inform all our creditors..are we required to send our creditors a copy of the declaration?
Also a query about one of our creditors our bank of 20yrs (RBS) our joint current account is now sitting overdrawn by about £700(usual £500 overdraft plus recent charges)... will they close the account? we don't use it anymore...it's just that there is another account held with them soley in my name which I need to remain in use for Direct Payments for our disabled child I cannot move the account anywhere else as the account is required to be a cheque account, it pays for services and respite for our son paid by our local authority will it be safe?
thanks in advance for your advice..
Izzy

Lightattheend

CCCS_Matthew wrote: »

Absolutely. In particular if you are considering bankruptcy is best to avoid making substantial payments to your creditors as this money could be used to help save for the fee.

Matthew.

Thanks Matthew

tlc1000

hi i hope i am posting this in the right place, apologies if i have done it wrong. i am after some help regarding going bancrupt.

Last year i started my own business, it is a ltd company and i am employed by the company as a director with no other staff, firstly does this still mean i am self employed ?

i have got into a large amount of debt (16k) , mainly personal for living expenses since giving up my job to start this company and a small amount of business debt (under 5k). I have looked at the DRO and dont feel i apply due to owing over 15k, which therefore only leaves bancruptcy otherwise it will take me more than 30yrs to clear with min payments. my business is small and only brings in a small amount of money i can hardly get through the month without paying any creditors.

i live in my boyfriends house and my only asset would be my car so feel BR is the best option.

My main concern though is what will happen to my business, obvioulsy i can not be a director, can i change the ltd co to a sole trader or can i still not be a sole trader. Although it does not make massive amounts it is a small income which helps with all the other bills so still need to keep this going, do i have anyway to do this.

Lastly as i am going to have to not pay creditors and save the money to pay the fees can i contact my creditors and tell them this as they are on my back all the time ?!?

Any help would be appreciated.

thanks

CCCS_Alan

jennie65 wrote: »

I have been declared bankrupt and am still waiting on OR to call me. I have opened a new bank account with Barclays fully explaining my situation. I noticed today when I went in to check bank accounts online that they have just added my new account to the existing login details for internet banking. How will this affect everything. When OR gets in touch will they then shut down all accounts as they have appeared to link my new one to the old ones, will they take loan payment out of new account even though am bankrupt and loan is on bankruptcy. My salary is due to go in to new account on friday and now am a bit concerned i will get frozen out of my account and wont be able to pay rent and bills and groceries. I was limited to who i could open an account with as every other bank in my town said NO.
I wish OR would hurry up and call then I could ask them.

Hi Jennie65

If the bank has not been made aware of your bankruptcy they possibly use the right of offset to take funds from your new account against the loan, if they are aware they should not touch the money. Since you have debt with them they may also close all the accounts down so contacting the bank regards these issues should be a priority. If they take money since you have been declared bankrupt you should be able to get the money back from the bank afterwards.

If you have any close family or friends it may be worth looking into if they could possibly open a basic account that they would let you use. Below is a link regards basic bank accounts.

http://www.moneymadeclear.fsa.gov.uk/pdfs/bank_accounts.pdf

Regards

CCCS_Alan

jennie65

The account i have opened is psot bankruptcy, and had to have it in my own name as housing benefit and child benefit will not pay into an account not in my name. New account was opened after telling Barclays I had been declared bankrupt and if that gets frozen too I have no access to my salary or tax credits etc and so will have no access to any money at all.

Is it normal to not hear from OR as still not heard anything at all.

charlie12345_2

Have you any idea what can be included in ' normal living expenses' for a DRO as trying to find out if this is the best way to go but can't afford to loose the £90 fee if rejected because they feel I have more than £50 spare each month.
Many thanks

Helter_Skelter_3

Hi, I have my court appearance on 12 May.

Assuming it's straightforward, how long will it be before the OR contacts me.

Secondly how long before my creditors will be notified from the date of the Bankruptcy, ie 12 May?

Your help appreciated.

Angel1978_2

Can somebody help me please. I'm going out of my mind with worry.

I've received a letter from ASH Process servers saying they are going to attend my old address today PM. My husband still lives there and he's worried sick about what to do. They have said they are going to serve me with a Bankruptcy Petition for a hearing on 5th May (this seems very quick to me).

My husband and I split up about 3 months ago and I moved out of the marital home to ease the strain (along with my 2 children). We have been trying to work through our problems and were just starting to get somewhere when this latest bombshell dropped on us. We don't know if the house still has my name on the mortgage (we asked for it to be removed but never had any letter through to say it had been) and it's an added stress to a marriage that I now feel is doomed to fail.

I don't know what to do. I'm scared out of my wits and don't think I can cope with anymore stress. I don't have a job, can't find a job and so therefore can't offer to pay anything. I have no clue what they are going to do or how they are going to go about it.

Somebody please help me.

hopefull142

we are seriously considering bankruptcy, however we are struggling to choose an adviser do you have any advice?

CCCS_Amanda

isabella01 wrote: »

Both myself and my partner have received our bankruptcy notice today.
It states that the Accountant in Bankruptcy will inform all our creditors..are we required to send our creditors a copy of the declaration?
Also a query about one of our creditors our bank of 20yrs (RBS) our joint current account is now sitting overdrawn by about £700(usual £500 overdraft plus recent charges)... will they close the account? we don't use it anymore...it's just that there is another account held with them soley in my name which I need to remain in use for Direct Payments for our disabled child I cannot move the account anywhere else as the account is required to be a cheque account, it pays for services and respite for our son paid by our local authority will it be safe?
thanks in advance for your advice..
Izzy

Hi Izzy,

Thank you for your message.

The joint account you have with your partner would be included in the bankruptcy and would be frozen and most likely be closed.

It is very unlikely that the bank would take into account the purpose of the other account and this account would also be frozen. I have attached a link to a booklet that lists different accounts that you could look into in the meantime, each account will be slightly different so you would need to double check if it is a cheque account.

http://www.moneymadeclear.fsa.gov.uk/pdfs/bank_accounts.pdf

With regards sending your creditors the details, the official receiver will inform them but if you would like to speed up the process you could send them the details.

Hope this helps
Amanda