Ask a CCCS counsellor a bankruptcy question

System

mikewjones_from_wales wrote: »

How does a person go bankrupt if they cannot afford the cost of going bankrupt.

Person doesnt qualify for DRO as debt too high.

Ideas please would be great.

Hi and thanks for your post.

If the person is in receipt of certain benefits the cost of bankruptcy can be reduced.

There are also various trust funds that will help with petitioning costs depending on the person’s individual circumstances.

We have a specialist bankruptcy team that can advise on the best avenue to take, and what if any funding will be available. Our free helpline number is 0800 138 1111.

I hope this helps.

Kind regards,

Mat

depression

I do apologise I wasn't sure how to post a question.

Does the CCCS have the Head Office addresses and Chief Executives for -

HBOS

and

MBNA

thank you so much.

swift274

1 is it true that bankruptcy will affect private pensions -according to a site i found on the internet that certain private pensions will be lost if i declare bankruptcy?
2 I am self employed can i still work as self employed after?
3 will bankruptcy affect tax returns (I am looking at a 1000 pound return in april)
4 the reason we are looking at this is due to a repossetion do both me and my wife have to declare bankruptcy and if so is this two seperate charges

thanks

antonic

I can answer a couple of questions for you

swift274 wrote: »

1 is it true that bankruptcy will affect private pensions -according to a site i found on the internet that certain private pensions will be lost if i declare bankruptcy? Dont know
2 I am self employed can i still work as self employed after? Yes
3 will bankruptcy affect tax returns (I am looking at a 1000 pound return in april) If the refund is due (for example the current tax year), if you go bankrupt before 05/04/12 it will be classed as part of your estate and be payable to the OR
4 the reason we are looking at this is due to a repossetion do both me and my wife have to declare bankruptcy and if so is this two seperate charges Dont know

thanks

jimmygreen

Hi I was hoping for some advice,
I have been discharged from my bankruptcy since 23 Sept 2011 and am now looking to make sure all my financial affairs are in order and look to rebuild my credit rating. I think its best first to give a bit of history.

I declared my self bankrupt in Sept 2010 after realising that I was not going to be able to repay my debts, at the time I was in a DMP. Since Jan 2009 I have been living abroad and thankfully not been affected by my bankruptcy. My bankruptcy came about as myself and my wife bought a house to live in and renovate whilst on a short time assignment from our home town, unfortunately it was at the peak of the market and we borrowed money to do the renovations. With the housing market crashing and credit crunch hitting we could not re-mortgage and could not keep up with the repayments. Only I went bankrupt as the debt was in my name, but the property and a secured loan is in both our names and still being paid. The house since we moved abroad in Jan 2009 has been let out to the same tenants. I am currently paying an IPA and happy if that’s the right word with that.

My only issue is the 'jointly owned tenanted property', it has been a nightmare trying to get information from the OR, they have been sending mail to home address abroad when I have told them on numerous occasions to send it to my work address as there is no home postal service here, only PO Box's. Nothing has progressed with the property which is annoying as I want it dealt with, there is no real equity in the property. At first I was hoping to hold on to it thinking house prices would rise but now I think its best got rid of and to not have the stress of it.
I think one of the reasons nothing has really progressed with it, is because we have still been paying the mortgage and secured loan against it, so the mortgage company and bank are obviously quite happy...... Supposedly they sent a letter to my wife (wrong address) telling her to stop paying it and keep my half of the rental income so it can be used as part of my bankruptcy fund or whatever the word is.

My question is now, firstly do I stop paying the mortgage and secured loan. If I do then this will show as being defaulted on my credit history. Or will this form part of my bankruptcy and have to revert to at worst the date of discharge.
Or do I try and speak with mortgage company and OR and look to sell the property and therefore end the credit agreements without default.
As said there is probably little capital in the property once you take in to account the fees, no doubt lower selling price etc so I don’t think it’s worth keeping and in any case my wife isn’t working as we have two babies so she is not in a position to purchase my share/interest in the property.

I’m sorry for the long post, but just need some help/advice with this issue. If anyone can it would be much appreciated. Or if they can recommend a professional company who can help look into it and advise that would also be appreciated.

All the best.

StepChange_Pavan

depression wrote: »

I do apologise I wasn't sure how to post a question.

Does the CCCS have the Head Office addresses and Chief Executives for -

HBOS

and

MBNA

thank you so much.

Hi there and thanks for your post.

I’d recommend that you look on their websites for their contact details. If they’re your creditors, the contact that you need should be on any correspondence from them.

I hope this helps.

Kind regards,
Pavan

philnicandamy

or you could always search here if its a data controller thing..


http://www.ico.gov.uk/ESDWebPages/search.asp

StepChange_Pavan

swift274 wrote: »

1 is it true that bankruptcy will affect private pensions -according to a site i found on the internet that certain private pensions will be lost if i declare bankruptcy?
2 I am self employed can i still work as self employed after?
3 will bankruptcy affect tax returns (I am looking at a 1000 pound return in april)
4 the reason we are looking at this is due to a repossetion do both me and my wife have to declare bankruptcy and if so is this two seperate charges

thanks

Hi swift274 and thanks for your post.

Provided that your pension is approved by HMRC, it won’t be included in your bankruptcy. You can read more about how your pension can be affected in this booklet: http://www.bis.gov.uk/assets/bispartners/insolvency/docs/publication-pdfs/pension.pdf.

You should be able to continue working as self employed, as long as you’re not a director of a Ltd company and the business makes you enough money to live on.

Antonic has already answered this, and it’s likely that this refund will be taken in bankruptcy.

Yes, you would need to declare bankrupt separately. The cost for this is £700 each.

There is a beginner’s guide to bankruptcy on our blog (http://moneyaware.co.uk/2011/12/bankruptcy-a-beginners-guide/) but it’s important that you seek independent advice before deciding that this is your best option. You can get in touch with us, and if bankruptcy is recommended we have a specialist team that can support you through the process.

You can use our online advice Debt Remedy (http://www.cccs.co.uk/ref/drcu) or you can call our free Helpline on 0800 138 1111. We’re open Monday to Friday 8am - 8pm.

I hope this helps.

Kind regards,
Pavan

depression

CCCS_Pavan wrote: »

Hi there and thanks for your post.

I’d recommend that you look on their websites for their contact details. If they’re your creditors, the contact that you need should be on any correspondence from them.

I hope this helps.

Kind regards,
Pavan

Thank you so much for your reply.I do get letters from credit controllers and their debt collection agencies but they are not from the HQ addresses.

I wont bore you with the full story but I had a few very unpleasant letters.And one of the debt collection agency staff said it should not have happened.

And they told to write to the HQ's and the Chief Executives. I dont want to make a big fuss but she said if I write and explain what happened it could prevent it happening to other people.

But I just cant find the names and addresses. All I need is the HQ address and the chief or chairman of HBOS and MBNA.

I have tried the web but cant seem to find them Im not very good with computers. If you could help me I would be so grateful.

I am hoping you might have the details.

Thank you again.

System

jimmygreen wrote: »

Hi I was hoping for some advice,
I have been discharged from my bankruptcy since 23 Sept 2011 and am now looking to make sure all my financial affairs are in order and look to rebuild my credit rating. I think its best first to give a bit of history.

I declared my self bankrupt in Sept 2010 after realising that I was not going to be able to repay my debts, at the time I was in a DMP. Since Jan 2009 I have been living abroad and thankfully not been affected by my bankruptcy. My bankruptcy came about as myself and my wife bought a house to live in and renovate whilst on a short time assignment from our home town, unfortunately it was at the peak of the market and we borrowed money to do the renovations. With the housing market crashing and credit crunch hitting we could not re-mortgage and could not keep up with the repayments. Only I went bankrupt as the debt was in my name, but the property and a secured loan is in both our names and still being paid. The house since we moved abroad in Jan 2009 has been let out to the same tenants. I am currently paying an IPA and happy if that’s the right word with that.

My only issue is the 'jointly owned tenanted property', it has been a nightmare trying to get information from the OR, they have been sending mail to home address abroad when I have told them on numerous occasions to send it to my work address as there is no home postal service here, only PO Box's. Nothing has progressed with the property which is annoying as I want it dealt with, there is no real equity in the property. At first I was hoping to hold on to it thinking house prices would rise but now I think its best got rid of and to not have the stress of it.
I think one of the reasons nothing has really progressed with it, is because we have still been paying the mortgage and secured loan against it, so the mortgage company and bank are obviously quite happy...... Supposedly they sent a letter to my wife (wrong address) telling her to stop paying it and keep my half of the rental income so it can be used as part of my bankruptcy fund or whatever the word is.

My question is now, firstly do I stop paying the mortgage and secured loan. If I do then this will show as being defaulted on my credit history. Or will this form part of my bankruptcy and have to revert to at worst the date of discharge.
Or do I try and speak with mortgage company and OR and look to sell the property and therefore end the credit agreements without default.
As said there is probably little capital in the property once you take in to account the fees, no doubt lower selling price etc so I don’t think it’s worth keeping and in any case my wife isn’t working as we have two babies so she is not in a position to purchase my share/interest in the property.

I’m sorry for the long post, but just need some help/advice with this issue. If anyone can it would be much appreciated. Or if they can recommend a professional company who can help look into it and advise that would also be appreciated.

All the best.

Hi and thanks for your post.

As you query is complicated and we’d need more details of your personal circumstances I’d recommend that you call our specialist bankruptcy team for some more advice.

If you live outside of the UK, and are contacting us regarding UK debts you can call us on +44 113 297 0126 to book an appointment with a counsellor. Lines are open Monday to Friday 08:00-20:00.

I hope this helps.

Kind regards,

Mat