Ask a CCCS counsellor a bankruptcy question

joobie538

Hi,

I've got my court date for my bankruptcy booked for the 20th, and have a couple of questions.

1. I'm on contributions based JSA, what are the chances that i'll have to pay the £150 court fees?

2. I have just received a CCJ notification through the post odering me to pay £125pm as I didn't reply to the claim form. and the first installment was due on the 12th August.
I have not been receiving my post so this is the first I know about any of this, I had to leave my rental house in June and move in with a relative, who did not want my post officially redirected to them as they were worried about the effect it would have on them. My post has been redirected manually by the letting agent and it seems some things have gone missing. I'm also no longer at that address now due to a family row and not been able to pick up any post for the last 2 weeks.
What effect is this ccj going to have on my bankruptcy? Am I still going to have to pay the fees after i'm bankrupt?

Sorry if this is slightly garbled been worrying about this since i found out yesterday. what should I do?

StepChange_Private_Messages

shazza1982 wrote: »

Can you still leave the country to travel or even live abroad if you are bankrupt?

Hi shazza,

Thank you for your post as philnicandamy has mentioned you can, you would just need to let the OR know.

If you wanted to emigrate, then you would need to check with the relevant embassy.

Hope this helps
Sarah

CCCS_Sarah

lufcgreat wrote: »

I went into self imposed personal bankruptcy in May 2006 after a divorce . The amount was only £17,500 , it wasn't the amount but the interest charged monthly that I couldn't afford . It was decided I would pay back £14,400 via an IPA agreement through an intermediary , a solicitor collecting on behalf of the insolvency service . After about 14 months I was still not paying tax so I rang the solicitors collecting the monies to express my concern about getting a tax bill , their answer was '' don't wory that won't happen '' . I rang several times over the next 2 years and got the same answer . However when my payments came to an end June 2009 I rang the insolvency people to find out ''what happens next ''. During the course of our conversation Ilearned that I should have been paying tax 2 years ago . After ''bubbling myself '' I now have a tax bill for £10193.00 only £7500 less than my bankruptcy amount, to pay within a month . I know I may have been a little niave but I put my faith and trust in the solicitors and the system to get things right . It is through their wrong advice that I find myself in this situation . what do I do now ,I am in utter dispare . HELP!!!!!!!!!

Hello,

Sorry to hear about your situation, I’m not too sure what to suggest for this. I think you maybe need to seek legal advice, you could contact an organisation called Community Legal Advice, their number is 0845 345 4345 or you can visit their website http://www.communitylegaladvice.org.uk/ .

Do you have any proof that you asked about it? Maybe worth doing a Subject Access Request, then you will be able to see all the notes they hold on you, hopefully there will have been a note added after a conversation. They may charge you £10 for this.

CCCS_Sarah

Knock-on wrote: »

Hi there

I have an agreement in place with the CCCS but it doesn't seem to be working out. I have chosen a repayment plan rather than an IVA which although was scheduled to finish in about 9 years time, at least ensured I would repay all the money I owed.

However, it seems that Lloyds are being difficult and the debt I have with them keeps getting bigger even though I'm paying as much off as I can afford.

To compound matters, I have just received a 10% pay cut at work and am going to struggle even more keeping up with payments.

At this moment, I don't know what to do. I tried to get an agreement in place to sort everything out and be debt free within 10 years but the way the agreement is working out, I am never going to be debt free.

Hiya,

We have answered this in the private messages for you; let me know if you have any other questions.

Sarah

CCCS_Sarah

LeasePressure wrote: »

Thought i might post this message here although there is a seperate thread......


Hi All,

Was unsure where to post this but thought this board looked the best bet...

I currently own a business as an outside work venture (as i have a full-time job). The business leases a premises (this is under my name and not an limited company). I have been using a lot of my own money to sub the business for nearly a year now through the recession but am now losing my full time job due to redundancy (the package i am receiving is equal to about 2,500). I have spoken to the landlord about terminating my lease as i can no longer afford to trade but there is still 7 years left to run. Meaning i am liable to pay the Landlord £70,000 in future rent payments. The landlord is understandably therefore not happy to just let me walk away. The business has been on the market for several months but has attracted no buyers. I am now defaulting on my rent. Me and my partner own a house worth around 170,000 but have 160,000 mortgage i have no other real assets except my car worth around 2,000 which is vital for work. I also have debts of over 34K through overdrafts, loans and credit cards.

My question is really would it be worth my landlord forcing me into bankruptcy?
Would he be likely to terminate the lease (obviously he would keep the deposit (6 months rent) and chase for the arrears)?

I have put the latter option on the table as i think it would be the best for both of us as i don't think he will recover anywhere near 70K from my assets especially when this is split between my other creditors which are all high street banks. But as yet have just received stalling answers.

Any help comment or discussion around this matter would be very much appreciated as i do feel very lost and very alone. I understand i have got myself into a silly position but really would like any help in keeping the roof over me and my partners head.

Thanks

Hello,

Thank you for your post.

I would recommend that you contact another charity called Business Debtline. They will be able to give you advice on the business and also help you put together a personal budget as the two seem closely linked.

They can be contacted on 0800 197 6026 or you can visit their website at http://www.bdl.org.uk/

CCCS_Sarah

joobie538 wrote: »

Hi,

I've got my court date for my bankruptcy booked for the 20th, and have a couple of questions.

1. I'm on contributions based JSA, what are the chances that i'll have to pay the £150 court fees?

2. I have just received a CCJ notification through the post odering me to pay £125pm as I didn't reply to the claim form. and the first installment was due on the 12th August.
I have not been receiving my post so this is the first I know about any of this, I had to leave my rental house in June and move in with a relative, who did not want my post officially redirected to them as they were worried about the effect it would have on them. My post has been redirected manually by the letting agent and it seems some things have gone missing. I'm also no longer at that address now due to a family row and not been able to pick up any post for the last 2 weeks.
What effect is this ccj going to have on my bankruptcy? Am I still going to have to pay the fees after i'm bankrupt?

Sorry if this is slightly garbled been worrying about this since i found out yesterday. what should I do?

Hello,

As you are on a limited income, you should be exempt from the £150 court fee’s. You will need to complete a form called an EX160A. You can either print these online from the courts website http://www.hmcourts-service.gov.uk/ or pick one up from your local county court.

The CCJ will be included in your bankruptcy; however as this is a priority debt you will have to keep up with the payments that have been set. If the payment is set too high, you will need to complete an N245 to vary the amount, again there is a charge of about £35 for this so you would need to complete another EX160A to become exempt. If you default on a CCJ, the court has the power to send bailiffs, so try and complete these forms as soon as possible.

JackJones_2

Hi there,

I'm currently serving a 6 year IVA. It was initially 5 but I had to sell my property with 19K negative equity which has now been added to my IVA. I now have 4 years and 5 months left repaying over £30K.

I initially went into an IVA to save my house but now I have nothing. With my current job there is no promotional prospects so i'm faced to doing the daily grind for the duration of the IVA where I can spend no more than £60 a week to myself (that's the allowance i'm left with).

Despite the IVA and knowing that my creditors will take any extra income i get, I have applied for better jobs and I have been offered a good job with decent bonus incentives outside the EU.

What is my best option. Do i carry on with paying the IVA while being based in another country (seems pointless as I have no property nor will I want to buy property again) or do i go bankrupt stating that I do not have a job in the UK anymore (which will be the case when i resign). I'm prepared to file to bankruptcy myself to keep fees done but I need to know is bankruptcy the best option in my scenario?

Any advice/expereinces welcome

Thanks

JJ

in_a_tiz

Hi Everyone!!

I'm looking into going bankrupt for the following reasons:-

I owe £10.5k Personal Loan and £300 OD with lloyds
I have £600 credit card and another £50 on a store card. I also owe my Mom £8k for a loan she took out for me 2 years ago when i was out of work with an injury and i couldn’t get anymore credit to consolidate.

I am leaving my job (as it is under threat) in sept to return to college for a year then go onto university to train as a Midwife for the following 3 years. I havent had any problem for the last couple of years paying my debt as i have had a decent paying job.

At the moment i am really struggling to find a part time job to fit around college. I should be entitled to Adult Learning Grant but this will only be £10 pw. I dont know if i could also claim JSA whilst in full time education????

I'm 23, still living at home and have no savings. The only asset i have is my car which is worth around £4k.

I have looked into a debt management plan but i have found that you have to have a least 3 creditors and pay at least £100 pm. I know that BR is a huge step but i think it is the only way forward.

So my questions are these (Sorry there's so many)

1. Can i get the ball rolling BEFORE i leave my current job, or do i have to be struggling to make repayments first? I'm loosing sleep already!!

2. I am planning to sell my car and give the money to my mom to try and pay back what i owe through her loan. Would this be ok or would the courts say i had to give it to my other creditors? She really cant afford to pay the full amount of that loan. So it is vital that she has that money.

3. Does going bankrupt affect being a midwife? I can't find any info relating to this? I know you cant have certain professions?!

4. My uni course should be funded by NHS, would this be affected?

5. Could i still apply for a student loan if i had been made bankrupt?

6. I plan to start saving for a deposit as soon as I’m back in full time employment, which would be in 4 years time. Would i be able to save after going bankrupt?

7. After a bankrupcy is served, how difficult is it going to be to get a mortgage? Will i have to pay much higher interest rates?

8. And Finally.. are there any other options out there for my circumstances?!?!

if you could help me at all that would be great, i'm going out of my mind with worry

Thanks x

CCCS_Matthew

JackJones wrote: »

Hi there,

I'm currently serving a 6 year IVA. It was initially 5 but I had to sell my property with 19K negative equity which has now been added to my IVA. I now have 4 years and 5 months left repaying over £30K.

I initially went into an IVA to save my house but now I have nothing. With my current job there is no promotional prospects so i'm faced to doing the daily grind for the duration of the IVA where I can spend no more than £60 a week to myself (that's the allowance i'm left with).

Despite the IVA and knowing that my creditors will take any extra income i get, I have applied for better jobs and I have been offered a good job with decent bonus incentives outside the EU.

What is my best option. Do i carry on with paying the IVA while being based in another country (seems pointless as I have no property nor will I want to buy property again) or do i go bankrupt stating that I do not have a job in the UK anymore (which will be the case when i resign). I'm prepared to file to bankruptcy myself to keep fees done but I need to know is bankruptcy the best option in my scenario?

Any advice/expereinces welcome

Thanks

JJ

Hi Jack.

If you take the job, you will need to inform the Insolvency Practitioner of your financial change. You will need to work out whether taking the new job will mean you are better or worse off each month as inevitably you're outgoings are also going to alter.

If you were better off each month but still choose to go bankrupt rather than to stick to the IVA then you need to bear in mind you could be subjected to an Income Payment Arrangement. This may mean you would be asked to contribute 50-70% of your surplus income for 3 years. With this in mind there is a possibility that the amount could be similar to what you are paying on the IVA anyway.

As currently you are bound to the IVA, you need to voice your concerns with your IP and see what they advice based on your situation. In some cases if you end an IVA prematurely, the IP could petition for your bankruptcy on your behalf so you may need to see what their intentions would be if this were to be the case (potentially it could save you the fee if they choose to do this).

You may also need to check if you did go bankrupt whether it would have an impact on the new job you may accept.

Hope this helps,
Matthew.

CCCS_Matthew

in_a_tiz wrote: »

Hi Everyone!!

I'm looking into going bankrupt for the following reasons:-

I owe £10.5k Personal Loan and £300 OD with lloyds
I have £600 credit card and another £50 on a store card. I also owe my Mom £8k for a loan she took out for me 2 years ago when i was out of work with an injury and i couldn’t get anymore credit to consolidate.

I am leaving my job (as it is under threat) in sept to return to college for a year then go onto university to train as a Midwife for the following 3 years. I havent had any problem for the last couple of years paying my debt as i have had a decent paying job.

At the moment i am really struggling to find a part time job to fit around college. I should be entitled to Adult Learning Grant but this will only be £10 pw. I dont know if i could also claim JSA whilst in full time education????

I'm 23, still living at home and have no savings. The only asset i have is my car which is worth around £4k.

I have looked into a debt management plan but i have found that you have to have a least 3 creditors and pay at least £100 pm. I know that BR is a huge step but i think it is the only way forward.

So my questions are these (Sorry there's so many)

1. Can i get the ball rolling BEFORE i leave my current job, or do i have to be struggling to make repayments first? I'm loosing sleep already!!

2. I am planning to sell my car and give the money to my mom to try and pay back what i owe through her loan. Would this be ok or would the courts say i had to give it to my other creditors? She really cant afford to pay the full amount of that loan. So it is vital that she has that money.

3. Does going bankrupt affect being a midwife? I can't find any info relating to this? I know you cant have certain professions?!

4. My uni course should be funded by NHS, would this be affected?

5. Could i still apply for a student loan if i had been made bankrupt?

6. I plan to start saving for a deposit as soon as I’m back in full time employment, which would be in 4 years time. Would i be able to save after going bankrupt?

7. After a bankrupcy is served, how difficult is it going to be to get a mortgage? Will i have to pay much higher interest rates?

8. And Finally.. are there any other options out there for my circumstances?!?!

if you could help me at all that would be great, i'm going out of my mind with worry

Thanks x

Hi there.

I think Alan has answered this through a PM your sent to us.

Regards,
Matthew.