Ask a CCCS counsellor a bankruptcy question

Choppa2k

I was declared bankrupt in may 2008 and i have just recently received a letter considering me for early discharge and then to my suprise i received a letter back the other day advising me that i have been setup on an IPA for £70 per month for 36 months, even though when i filled in my income and expenditure form it showed i had £30 disposable income a month, i am wondering how can they arise at this figure and does anyone have any advice for me as this is very concerning for me as my original agreement was setup to be taken from my tax code as i couldn affored an IPA when declared bankrupt originally

foolishdebt

I have just been discharged from bankruptcy:

• Does this mean if I win the lottery or something I can keep all the money?
• Can I apply for a CDL (career development loan) after bankruptcy?
• Where does my name appear as an ex bankrupt? (Before I was discharged I found myself listed as bankrupt on internet search, now search shows nothing.)

Thanks for your answers.

woppo26

can anyone advise me on something???
Myself and my wife are seriously considering bankruptcy. we have jointly around 18k of dept,not including mortgage arears (around 4k). we have court orders that we cant afford to pay plus we have creditors sending us threating letters. the house has negative equity of around 15k. basicaly what im asking is, if we both file for bankruptcy can/will they take our home? at the minute we are paying an extra £70 a month to get the arears down but with paying the mortgage and arears we are coping but with all the other dept we cant even afford to buy a regular weekly shop..it getting us both realy down and its affecting our marrage, it not helping the kids either. i trying my best to find a job but there just isnt any work avalible so is our only option bankrupcy?????

thanks

October-rev101

Hi everyone,

This is my first post on here and can I just say I have been reading the forum with great interest. It has answered many questions for me on BR but also raised many others – I was wondering if anyone can help.

Here is my situation:

I am currently living at home with my elderly mother for whom I am caring for and receive Carers Allowance at £53 per week and Income Support at £40. This is my only income. My debts have grown out of control and I'm desperate to know what I can do/what options are available to me. I was made redundant 3 years ago and I've been using credit card cheques/credit cards to pay other card minimum payments with, and general cost of living, and I'm now at the end of my tether worrying how I can now meet the payments. I owe tens of thousands of pounds spread over 8 creditors with some creditors I have more than one account.

I have received advice from a debt charity and have just begun to send out letters with my budget offering a token £1 as this is all I have available. So far 1 creditor has accepted and 1 has not, and I’m still waiting for the remainder.
I’m thinking of declaring myself BR but want to know a few answers:

• Should I just try and continue offering my£1 token payments to my creditors for as long as I can?
• How long can I continue the above and what would the procedure be?
• I'm currently living and caring for my elderly mother. I pay her “board and lodgings” and although she owns the house outright and I am not mentioned on the title deeds I've been informed that if I did file for bankruptcy they could take a share in the house (beneficial interest)? Is this correct?
• How far back into my accounts will the official receiver need to look?
• I do have some gambling transactions on my account what affect would this have on my BR?
• I also ran a Premium Bond “syndicate” – although a syndicate is not recognised as Premium Bonds can only be bought in a single name - for friends and family who invested £5 a week. When I cashed them in we had £15,000 invested which was paid into my bank account. I then shared this amongst the “syndicate” members either by cheque or bank transfer. Would the OR have any claim on this money? Would he see it has removing assets? And would he need to contact my friends and family?

Sorry for such a long post, but I have many questions buzzing around in my head and I’m unsure what to do.

Any help/answers would greatly be appreciated.

Quandry1_2

Hi, am new here so hope am posting correctly,
I am in around £30.000 of debt which i have accumulated over the past 7 years, this is spread out over 5 cc and 2 loans, up untill now i have never missed a payment but due to being self employed and the current climate in the building trade i am struggling to live and seem to be getting further in debt after carefull consideration and advice i am 99% sure i want to declare myself, bankrupt,
my questions are :-

1. I have been bankrupt before and have been discharged for over 10 years, will this affect my bankruptcy now?
2. Some of my debt can be attributed to gambling throughout the last few years, how will this affect my bankruptcy and the chances of me getting a BRO, and also does the OR make you close any online gambling accounts you have online. I only now use 1 site which i like to play poker on as a hobbie and have not deposited any money on it for about 9 months, i have a small amount in the account which i just use.

The reason i am in this mess is not due to gambling it is due to the lack of work i have and the inconsistancy of any sort of regular income and i have had a gamble because i enjoy it and have had some very good wins, with which i have cleared cc's with but will the OR look at it like this.

Ty for any help

mysterio_2

Quandry1 wrote: »

Hi, am new here so hope am posting correctly,
I am in around £30.000 of debt which i have accumulated over the past 7 years, this is spread out over 5 cc and 2 loans, up untill now i have never missed a payment but due to being self employed and the current climate in the building trade i am struggling to live and seem to be getting further in debt after carefull consideration and advice i am 99% sure i want to declare myself, bankrupt,
my questions are :-

1. I have been bankrupt before and have been discharged for over 10 years, will this affect my bankruptcy now? it'll mean a more indepth interview by the receivers if this is your 2nd bankruptcy

2. Some of my debt can be attributed to gambling throughout the last few years, how will this affect my bankruptcy and the chances of me getting a BRO its a possibility, and also does the OR make you close any online gambling accounts you have online. I only now use 1 site which i like to play poker on as a hobbie and have not deposited any money on it for about 9 months, i have a small amount in the account which i just use. they may insist you close ALL accounts

The reason i am in this mess is not due to gambling it is due to the lack of work i have and the inconsistancy of any sort of regular income and i have had a gamble because i enjoy it and have had some very good wins, with which i have cleared cc's with but will the OR look at it like this.

Ty for any help

just a few thoughts until the cccs peeps answer you

midnghtaction

Hello there

I am hoping that someone can help me, I am writing this on behalf of my Dad who has gotten himself so worked up about this situation that I feel like I need to try and do something to help.

To give a little background, my Dad had a joint business partnership that came to an end 10 years ago, when he was bought out of the business by his partner. During the last 10 years this party has become very rich off of the business whilst my Dad has become continually worse off. Anyway about a month ago completely out of the blue my Dad got a solicitors letter stating that he owed back rent for the buisness premises. The total amount owing had been £20K and my dads previous business partner paid the full amount and is now suing my Dad for half which is £10k. It has been proved that my Dad is liable for this money as he signed a personal guarantee.

My Dad has no money whatsoever, he is 65, my mum is 63 they are both retired, by mum due to very ill health, my Dad is caring for my mum (who has cancer) and also raises my niece as her mother is not capable of doing so. They live on a state pension, have a crapper old banger (which is used to ship my mum to and from hospital) and live in a static caravan which is worth hardly anything.

They have cashed in their only bit of money which was their premium bonds and together have come up with £1k, which is literally everything that the have. They have offered this to the person suing them and he has refused to back down, and is demanding the full £10K and has threatened to make them bankrupt.

I guess my questions here is, can he do that, is there really no alternative, maybe an agreement to a lower payment plan, or any other options at all, is making my Dad bankrupt the only option? Can he try and appeal against the bankrupcy being put on him, or does he just have to accept it.

I don't like to lay it on thick, and I am not trying to say my dad doesn't owe this money (He made a very bad business decision !) but I can not bear to see them going through this, they have nothing and never have, they have always struggled and I am desperate to try and do anything I can to try and help them (I would help them finacially if I could but I have no funds either after a very messy divorce). I just do not want to see them lose their house (caravan) and their car especially as my mum is so ill, this would be awful.

Can someone let me know if there is anyway we (they) can fight this bankruptcy or if it is an inevitable case of just having to go along with it.

Sorry for the long post and the big sob story, am just trying to find some help

Sarah xxx

foolishdebt

midnghtaction,

I hope a CCCS counsellor will answer all our questions properly, but I sympathise with your dad and will have a go at trying to make you feel better.

If your dad has no money and his physical and financial circumstances show he cannot repay the 10k, then the OR is probably going to write off the debt as he has nothing of value.
It is not a large amount he owes, his debt was very sudden and completely unplanned (and to do with a business he is no longer involved in). It is not like your dad has been in debt before, or has owed money for years, nor is your dad is a habitual spender who has run up a debt gambling, or who has frittered away money on frivolous items.
The OR will take all this into account, as well as sickness in the family, and it is very much in your dad's favour that he attempted to pay off the debt with the only money he had which was the 1k. He might even get to keep the 1k if his circumstances are very hard.

This is kind of what happened with me and I owed alot more. I owned one asset of about 2k value and was allowed to keep it. I went bankrupt because of illness and unemployment.
Mind you, your dad's 1k is in ready cash, while my asset was a difficult and specialised item that might be a bit of trouble of trying to sell, so I am not completely sure.
Your dad can say this 1k is important to him to keep as the only back up money he has while there is a sick woman and dependant child to consider.

As long as your dad can back up his financial situation with all the relevant supporting documents, and can show doctors letters, and can show his outgoings etc - he will have no problems.

Bankruptcy might not be so bad and he may be discharged in 6 months rather than 12 months. He would lose any credit cards he had, but it sounds like he does not have any anyway, his credit rating would be affected and he would not be able to get a mortgage. Your dad probably has nothing more to worry about than that and the fact that he might possibly have to pay out his 1k.

confused.com555

Hi,

I hope I have posted in right place????...much help needed please..

I have recently been going through the process of an IVA, however my creditors wanted to up my repayments from £260 a month to £460 per month (due to my reciept of student fininace) this seemed a complete unmanagable amount???

Due to other problems, along with my huge money worries...I have been signed off work (I work part time)....I am now even contemplating giving up work...due to ill factors and child minder issues...( my mother in law can no longer look after children due to ill health too)

I am married, but all debts are in my name, I owe over £25,000. I dont know what to do? I know I cant caryy on with the stress of it all...but I dont know where I stand about going BR, if an Iva is still going? my superviser says we will have to re-draft my proposal..

can I leave an on-going IVA to go BR?

would I still be able to apply for student loans/bursary (I'm a first year full time uni student) and would they look at what I recieve as surplus income-even if its a loan?

My husband had a car worth £2000- in his name-would they look at that for an asset?

Any help/advice would be really gratefully recieved!!

kurgan

I earn 25k, with overtime I earn approx 34k a year pre tax. My wife earns about 24k. I have debts over 15k on cc's, my mortgage is for 120k, yet my flat that I own is only worth about 85k. I live in a housing executive house with my wife, which she had before we were married. Should I go bankrupt? I cannot repay everything, I am struggling to pay my bills, and my wife has increased her cc debt to 5k while we have been trying to stay afloat!
I personally want to go bankrupt on my own to clear my debts and re start my financial life... I am happy to have my flat repossessed as I can't get it sold anyway!! I have not yet gone into arrears as I took a payment holiday for 6 months with my mortgage, however the six months is up on the 18th and I need to start the £720 a month mortgage repayments, which are too much for me to afford on top of the cc bills, I have spoken to 2 of my 5 cc companies to put arrangements in place, but they too finish this month.
What repercussions are there to bankruptcy? Would I even be able to do it with my salary?
Also, can I do it on my own, I don't want my wifes credit rating to be affected. We have 3 kids, 15yr old and 16 yr old, which are my step kids, and a one year old who we had together. So I want everthing to be as painless as possible for them too.

ps should I go into arrears with my mortgage this month?

Please help
Phil.