LILA then starting work

worriedsik

Hi will i be able to do this ? iam considering taking a job although on incapacity at the moment but seriously considering to try work to try and make my life more than just existing and the reasons i got into debt was because i was on benefits
what will happen in regards to the bankrupcy ( LILA here in scotland ) if i do start to earn

Regards

fiveyearplan

I'm not really sure what happens in Scotland but if you were in England and started to work you would submit a new SOA and see how much, if any, surplus you had. If it is over £99 then you would pay an IPA, if it is £99 and under you wouldn't pay anything.

worriedsik

Thanks
i will have to look into this iam in a bit off a pickle at the moment wondering if i should try work first rather than go bankrupt

thanks

serenity34_2

Bankruptcy is actually called sequestration in Scotland. LILA is actually the Low Income Low Asset route to petitioning for your own sequestration ( as otherwise you have to fulfil certain criteria to be deemed 'apparently insolvent' like having an expired Charge for Payment issued, for example ).

I would strongly recommend you call National Debtline on 0808 808 4000 ( freephone ) if you use a Scottish landline phone you will route through to an adviser trained on Scots law. Or if you only have a mobile the call's still free and if you don't go through to a Scots-trained adviser they will arrange a callback the same day for you.

You will be able to make an application for your own bankruptcy under the LILA scheme if:

• your income is less than £229.20 per week before deductions for tax and national insurance contributions (ignore any social security benefits or tax credits);
• you are not a homeowner;
• you have no single asset worth more than£1,000; and
• your total assets are worth less than £10,000.

If you felt that sequestration wasn't the route for you ( an it's very difficult to advise accurately without knowing all of your circumstances ) and you do get a job then you could maybe look into the Debt Arrangement Scheme ( DAS ) which would still offer you protection from creditors. National Debtline can advise in detail on all options though.

coolcait

What serenity said!

Seriously.

I know it might sound like a joke when I put it that way, but I do think that serenity's post sums it up perfectly.

Good luck with what you decide to do.

worriedsik

Thank you all

i posted on another thread my situation here is the link , my tax credits and child benefit will stop on the 7th off sept and this is when i have to send off my forms for LILA..i will then only be in reciept off incapacity benefit and industrial injuries
i was thinking off coming off incapacity and trying to do some work , i will probably be allowed to keep the industrial injuries
i wont be able to work to many hours but as iam only going to be left with £40 a wk to live on after esentials so have to try something
iam sure i wont be able to manage to earn more than £220
could somebody please read the post on the link and help ?
thanks

http://forums.moneysavingexpert.com/showthread.html?t=1908011

serenity34_2

worriedsik wrote: »

Thank you all

i posted on another thread my situation here is the link , my tax credits and child benefit will stop on the 7th off sept and this is when i have to send off my forms for LILA..i will then only be in reciept off incapacity benefit and industrial injuries
i was thinking off coming off incapacity and trying to do some work , i will probably be allowed to keep the industrial injuries
i wont be able to work to many hours but as iam only going to be left with £40 a wk to live on after esentials so have to try something
iam sure i wont be able to manage to earn more than £220
could somebody please read the post on the link and help ?
thanks

http://forums.moneysavingexpert.com/showthread.html?t=1908011

I've just chucked an answer on there but I'm not a benefit/tax credits specialist and as I'm not at work I don't have my 'bible' to hand. I've pasted some stuff up from the Working Tax Credits technical manual but it can be heavy going - I've advised you to call the TCs helpline on 0845 300 3900 or ask Jobcentre Plus to do something called a 'better off' calculation for you.

Best of luck

worriedsik

serenity34

Thank you very much i will take your advice and call working tax credits

very much appreciated and i have just seen your other post to me on the link

thank you for your time

serenity34_2

No bother at all - I'm quite new on here and it's great to contribute after using the site for other things for so long.

worriedsik

Thanks again
i hope i can do the same for somebody else one day too

just dont know which way to turn at the moment at all