Ask a CCCS counsellor a bankruptcy question

CCCS_Matthew

samjayne wrote: »

Thanks for your help Matthew, should i write to tell them i will be only paying a £1?

Yes, that's all you need to do.

CCCS_Matthew

Phill_Anderson wrote: »

Hi,

There are some very good information about bankruptcy. But what my concerned is that if a payday loan can be considered in a case of bankruptcy or not?
If yes how can a payday loan be used for bankruptcy?

Regards

Hi Phill.

Yes, payday loans would be included within a bankruptcy petition.

Regards,
Matthew.

rag31

Hi there

I have posted my SOA on a thread on it's own but I have some questions please. We are insolvent looking at our SOA. My husband refuses to admit this and says he will reconsider bankruptcy in 6 months time.

So, I am considering bankruptcy just myself as I can't handle the stress when I know there is no other option.

My questions are: what happens to joint debts and accounts? Our current account with all direct debits etc is joint. If I go bankrupt will it be frozen?

Also, will dh income be taken into account more than just to ensure he pays his share of the bills? (tbh it all goes into the family account).

I also had a business which was closed 3 years ago. It only broke even, but we didn't have any debt when it closed. It was a partnership but we registered as a ltd company, but it was... can't remember the term... we didn't have to file accounts anyway.

Will I need to put the details of this in the Bankruptcy forms? Will they contact my ex-partner about this?

I think that's it at the moment. Thanks.

Becky

CCCS_Matthew

newby85 wrote: »

Hi Matthew,

That was really helpful thank you.

I was made bankrupt late 2005 and discharged early 2006, I never realised (until reading this site) that I could clean up my credit report as all my old credit accounts (bar 2) were showing defaulted and a 'Normal' Status. I sent my letters of a week or so ago and as yet nothing has been updated, however something strange has happened. I had a Credit Card and a Current Account with Halifax, just this week (after the letters had been received) these accounts were removed from my credit account and replaced with Accounts in the name of Max Recovery. Both are showing as Credit Cards (despite one being a current account) Is this normal? I'm very confused. Should I now resend the letters to Max Recovery (which I originally sent to the data controller of Halifax)

Hope that makes sense

Adam

:-)

"It is easier for a camel to pass through the eye of a needle than it is for a rich man to enter the gates of heaven"

Just doing a bit of research into Max Recovery suggests they are a colleciton agency specialising in buying insolvency debts and trying to recover money from the trustee. This doesn't change where you stand with your bankruptcy, but in theory the debt is now registered with Max Recovery. I would say it would be worth sending the letter to them. If it has no impact, all debts will be removed from file after 6 years from the date of your bankruptcy.

Matthew.

CCCS_Matthew

missyp123 wrote: »

so i dont have to declare them?:o and if i was to get a car with the loan would that not them be seen as an asset?

Although bankruptcy should have no effect on your loan and bursery, it's still your duty to declare them as an income. Without them it's probably fair to say you would have no money to support your living costs and this could be questioned by the court.

Any car registered to you, whether it's bought with your own money or credit is still classed as an asset I'm afraid (assuming it's worth <£1000.)

Regards,
Matthew.

CCCS_Matthew

MovingForward wrote: »

Thank you Sue for your answer and for the pdf link. You say (as in the pdf) that the order will STOP once my tax code changes. Do you mean payments will stop but the order/agreement will continue for the rest of the 36 months, and thus any increase in my income will need to be reported during that time and payments may recommence, or do you mean that the order/agreement itself will cease to exist, and thus if my income goes up after I am discharged I will be under no obligation to report it? This is the KEY question for me.

I am self-employed.

Many thanks

MF

Hi there.

The payment arrangement will only continue whilst you have more than £99 surplus income. If once your tax code has reverted this puts you in a position where there is less than £99 surplus it will cease.

My understanding is that should your IPO/IPA be suspended (due to the tax code example), and you are then discharged, an increase with your income after discharge would not enforce a further IPO/IPA. Because this is quite a specific question and key to your decision making process I would say it would be worth calling the insolvency service beforehand to get some clarification.

Hope this helps,
Matthew.

missyp123

CCCS_Matthew wrote: »

Although bankruptcy should have no effect on your loan and bursery, it's still your duty to declare them as an income. Without them it's probably fair to say you would have no money to support your living costs and this could be questioned by the court.

Any car registered to you, whether it's bought with your own money or credit is still classed as an asset I'm afraid (assuming it's worth <£1000.)

Regards,
Matthew.

thankyou for replying,
im sure it will be fine, im just a born worrier i think! i was only looking at somethin cheap, def less than £1k.

Stardust

CCCS_Matthew wrote: »

Although bankruptcy should have no effect on your loan and bursery, it's still your duty to declare them as an income.

Am I right in thinking I should include my student loan payment letter with all my bits to the CCCS as proof of my student loan?

And do you guys want the original or a photocopy?



I thought of another question while in the bath What happens to all the charges that get added on in between sending off my bits and having the DRO applied? There paper statement might read £800 but it'll be £850 with intrest/late payment etc - It'll all come in at under £15k with the extras (at least I hope no one gonna charge me 2k for non payment or something :eek: )


Just waiting for a letter to come in the post and then I can send it all off :j Can't wait for this 4 year nightmare to be over!

callumbarney

I'm new to this forum but desperately need advice. I entered into an IVA in Aug 2003 and completed in Oct 2008 however there is a default against my name from March 2005? I'm sure I entered all debts into the IVA however have not kept all paperwork as because as far as I was concerned I had completed IVA successfully. Some accounts I know changed account numbers due to the fact that they had been given to various credit collection agencies. The one registered against me is for a company called Robinson Way and they have said it's for a Marshall Ward account?

Can I get this removed? I need to as I can't cope with this against me for any longer. My partner and I have a 3yr old and one on the way and need to get this sorted as it feels like it's going to affect my life forever! Can't understand why this is on my record and was updated in Feb last year? I have been on the electoral role for all the time and have never received a default or any letters about this account since entering into my IVA? We also obtained a mortgage in July 2009 - how with a default against my name?

Please can anyone help as I can't wait till March next year for this to finally drop off after the 6year period date from March 2005 (supposed default date).

philnicandamy

callumbarney wrote: »

I'm new to this forum but desperately need advice. I entered into an IVA in Aug 2003 and completed in Oct 2008 however there is a default against my name from March 2005? I'm sure I entered all debts into the IVA however have not kept all paperwork as because as far as I was concerned I had completed IVA successfully. Some accounts I know changed account numbers due to the fact that they had been given to various credit collection agencies. The one registered against me is for a company called Robinson Way and they have said it's for a Marshall Ward account?

Can I get this removed? I need to as I can't cope with this against me for any longer. My partner and I have a 3yr old and one on the way and need to get this sorted as it feels like it's going to affect my life forever! Can't understand why this is on my record and was updated in Feb last year? I have been on the electoral role for all the time and have never received a default or any letters about this account since entering into my IVA? We also obtained a mortgage in July 2009 - how with a default against my name?

Please can anyone help as I can't wait till March next year for this to finally drop off after the 6year period date from March 2005 (supposed default date).

***Post already answered here****
http://forums.moneysavingexpert.com/showthread.html?t=2199979