Ask a CCCS counsellor a bankruptcy question

CCCS_Sue

monsterface wrote: »

Hi there, thanks in advance for any help.

I have decided to shut down my business in September and start Uni, I have already applied for grants and loans etc etc , I will be made bankrupt by HMRC, as I have tax owing, can the OR take my grants as assets if they have been paid into my account already as they are paid on a term by term basis . we have no other household income apart from family tax credit and carers allowance.

thanks again

Hi monsterface and thank you for your message

It would be classed as part of your income, and if your income exceeds your essential priority expenses, then the OR could ask you to pay a proportion of the remainder.

Regards
CCCS_Sue

dsteve

Hello,

I was made bankrupt in Sept 2006 and lately I've been more worried about long-term implications of this. Does anyone know how long you have to declare yourself as "once being made bankrupt". Is there any chance of a clean slate in the long-term? Any information would be much appreciated, thanks.

philnicandamy

dsteve wrote: »

Hello,

I was made bankrupt in Sept 2006 and lately I've been more worried about long-term implications of this. Does anyone know how long you have to declare yourself as "once being made bankrupt". Is there any chance of a clean slate in the long-term? Any information would be much appreciated, thanks.

Bankruptcy will show on your credit files for a total of 6yrs....so in your case another 3yrs till it drops off your file

BUT if an application form etc asks the question "have you ever been bankrupt" then you have to declare

Not the answer you imagined...sorry

Savvy_sewing

I was made bankrupt in 2007. I have managed until now. Due to ill health I lost my paid job in January. I am on ESA, child tax credit, and child benefit. There is also a CSA case for my son, but he left school this term and apart from ESA the rest will stop.
I am not well enough to go out to work full time, at the moment. So at my back to works meeting the advisor and I chatted about using my sewing skills to teach others.
My question is, am I allowed to be self employed or have my own business? She said she would find out and let me know, but several weeks have gone passed and she still hasnt got back to me, and is now off on her holidays?

dottypops

Hi – I have just received eviction notice from my mortg provider . They have given me just 7 days!
I have filed my forms with the AIB in Scotland to petition my sequestration as I have a charging order from the council for CT Arrears. I have also secured a rented home for me the Kids and OH.

What I would like to know is why only 7days – the decree was granted early June and I was never notified. Should this be the case? I wasn’t notified by anyone –( in fact I have a letter dated 14 July from the mort people advising me that they were unable to change the terms of my mortgage and that I must pay the arrears - which they were advised I couldn’t do - and no mention of anything about a decree being issued).

When speaking with the mortg company they basically said that the problem may have been that the postal copy of the decree was marked ‘gone away’ and that this has instigated the eviction notice process! Funny how my charge from the council was posted thru the door as I was not in and a copy sent in the post. Also funny that I get every other debt letter /notice/ bill also thru my letterbox but a very important document like that does not – very strange!!!

The mortgage person then called the solicitors and reported back to me that the solicitors had advised her that they had instructed the Sherriff Officer to pass the decree on??
I further advised the mortg company that I have never received any instruction from the Sherriff officers who’s name was new to me. Never heard of them before!
I tried to contact the solicitors on the mort comp advise – but 3.30pm she had left for the evening and is not around till Tuesday – no-one else could deal with it!!

I know the inevitable has to happen, but I was assuming I would have a bit more time to remove my stuff!!

gonebellyup

Thank you all for this thread.

Does anyone have experience of UK bankruptcy from Australia?

Both my husband and I are completing our 6.28 forms at the moment and are paying a company to represent us in the high court to petition for bankruptcy as that is cheaper than trying to fly back ourselves to do it. We have huge unsecured debt in the UK that we had been making minimum payments on and then token payments but realise we will never catch up with ourselves.

We have no assets in the UK but have a house (negative equity) and two cars in Australia that I assume the OR will have an interest in.

Can anyone tell me how it works across the water ~

If they want to release the value in our cars (about £4000 each) how do they do it?

Will we have to pay for a valuation on our house to prove the negative equity in our home?

Will our Australian bank account be frozen, this is an enormous worry?

Can anyone help, the panic has really set in?

kind regards

CCCS_Amanda

chocfan wrote: »

After long long discussions both me and my husband are having to go bankrupt and have completed the forms and filed them on-line. We have phoned and got a date for our hearing 9th September, however one of our creditors have filed to make us bankrupt and ironically the hearing is 10th September - just 24 hours later. Now whilst we think the right thing to do is to go ahead with ours - the court clerk said you will be paying nearly a £1000 - which made us think do we just wait for the creditor to make us bankrupt? We want to do the right thing but not sure whats best - the court lady said she couldnt advise it was our descion to make. If we wait for the creditor to make us bankrupt does this look unfavourable with the OR - are we doing ourselves no favours and does it clear the debts with all our creditors or only the one that is making us bankrupt. Any advise would be fantastic...... Thank you in advance.

Hi chocfan,

Thank you for your post.

I am not sure that it makes a difference if you make yourself bankrupt or if a creditor petitions for your bankruptcy in the Official Receivers (OR) eyes. Either way the outcome of the bankruptcy would be the same.

The decision is yours. If you have the £1000 needed to petition for your own bankruptcy and decide to let your creditor make you bankrupt, I would just leave the money in a bank account for the OR.

Regards,
Amanda

CCCS_Amanda

ariel.oren wrote: »

Hi everyone

I was made redundant in January and I've been struggling since then and it has now come to a point where I have been threatened with bankruptcy. I don't have any assets except for a share portfolio that I started about 5 years ago.

In the event of bankruptcy, is the Official Receiver likely to seize this?

Thanks

Ariel

Hi Ariel,

If you were to be made bankrupt then the OR would usually take any assets and put them into the bankruptcy. If your shares are worth about 8k then I would say that the Official Receiver would be interested in them.

When you are bankrupt you have an obligation to report any assets that you have to the OR and failure to do this could result in a Bankruptcy Restriction Order for up to 15 years.

I hope this helps.

Regards,
Amanda

CCCS_Amanda

illyonka wrote: »

I hope someone will be able to offer some advice?

I am not sure where to turn...

I will try to be as brief as possible.

I separated from my ex-husband 7 years ago. I remained in the marital home with our two young (at the time!) children. He refused to negotiate the split of our assets, so it took 5 long years of court to reach an 'agreement'. The house was then placed on the market...as I had wished from the outset. He has made our lives hell and I have/had no wish to remain in the home, but I had to pay for as much as I could for these 7 years. I have had some narrow escapes but I have avoided the house being repossesed and I have avoided bankrupcy! Don't ask me how!! He has never in that time paid for anything regarding the house or the children. (He has had regular contact)

The date of separation is confirmed by the issue of the first of many 'non-molestation & occupation orders in December 2002.
'Agreement' made April 2007
The house was placed on the market in May 2007
In November 2008 he was declared bankrupt.
An insovency firm was appointed in January 2009
They received a copy of the equity split 'agreement' which was drawn up in the high court by barristers. I was told by my solicitor at one time that it was a court order, but I am not sure that is the case.
We received an offer for the house that has been agreed as acceptable by the insolvency firm in June. The estate agents wrote to 'recommend that they accept this offer' (It took some weeks for them to respond, which I find strange in today's market)
Now, after another month of waiting (I thought for an agreed entry date) it seems they may wish to challenge the equity split! They have had this information since February of this year!!

I am at the end of my tether...

The human cost and stress upon my children and myself is huge. We have moved to stay in temporary acommodation with a friend in the new area that we plan to move to. I do not wish to disrupt their lives any further.

Surely at the very least this should have been addressed when the 'agreement' was received by them in February? Long before firm buyers came along. And do I have any right to sue if we lose these buyers and my home is finally repossessed after I have managed to keep 'my head above water' for 7 long years???

I hope I have sounded coherent and sane! ...even if I'm not!!

Hi illyonka,

You are probably best to take some legal advice from either your solicitor or you could contact Community Legal Advice (CLA) on 0845 345 4345. CLA also have a website - http://www.communitylegaladvice.org.uk/

I hope that this helps.

Kind regards,
Amanda

CCCS_Amanda

dsteve wrote: »

Hello,

I was made bankrupt in Sept 2006 and lately I've been more worried about long-term implications of this. Does anyone know how long you have to declare yourself as "once being made bankrupt". Is there any chance of a clean slate in the long-term? Any information would be much appreciated, thanks.

Hi dsteve,

As philnicandamy indicated, if you are asked if you have ever been bankrupt they you need to indicate that you have.

Regards,
Amanda