BR for a friend...only about £3k in debt...

Torby

Why when you're a retired "boss" do old workmates, colleagues and staff still come to you for advice?

I have been asked by an ex work colleague who's in financial diffs about BR, he owes only about £3k on credit cards, but it looks as if I may have given him the wrong advice( I regularly check the forums to see what I can discover)...I told him he couldn't go BR because of the amount....

1) is there such a thing as a "lower limit"
2) is it feasible for someone to go through this process themselves (or with the use of good advice on here)
3) is it worth paying someone to handle the whole thing for you (i.e walk you through the whole form-filling and attending court/meetings process and babysit you)? in fact where do you find them? or is it ok for someone to sit in with them?...

I am reasonably astute at form filling, and well versed in sitting at meetings etc...basically...can someone have a "layman" help them or does it have to be someone with financial services credentials or bankruptcy or Insolvency qualifications?

Thats actually raised a new point...

whats a bankruptcy advisor...?
whats an insolvency practitioner...?

my heads getting confused now....retirement isnt as simple as I though...I'm spending too much time on MSE....lol

blind-as-a-bat_2

Torby wrote: »

Why when you're a retired "boss" do old workmates, colleagues and staff still come to you for advice?

I have been asked by an ex work colleague who's in financial diffs about BR, he owes only about £3k on credit cards, but it looks as if I may have given him the wrong advice( I regularly check the forums to see what I can discover)...I told him he couldn't go BR because of the amount....

1) is there such a thing as a "lower limit" £750
2) is it feasible for someone to go through this process themselves (or with the use of good advice on here)Yes, there is little or no point paying anyone for personal BR,
3) is it worth paying someone to handle the whole thing for you (i.e walk you through the whole form-filling and attending court/meetings process and babysit you)? in fact where do you find them? or is it ok for someone to sit in with them?...mainly no its not worth it, unless there is some very complicating factors, even then it is still esy enough to do it yourself

I am reasonably astute at form filling, and well versed in sitting at meetings etc...basically...can someone have a "layman" help them or does it have to be someone with financial services credentials or bankruptcy or Insolvency qualifications?

Thats actually raised a new point...

whats a bankruptcy advisor...? depends on the context, it can mean they only know what is in front of them on cue cards, but i am sure they vary
whats an insolvency practitioner...? An IP can help you through BR and allso be put in charge of administering it (though i doubt both at the same time as it surely would be a conflict of intrest......i hope:eek:), they command a higher wage than an advisor, and are simaler in many ways to the OR, only on a private basis
Thats a very simplified answer

my heads getting confused now....retirement isnt as simple as I though...I'm spending too much time on MSE....lol

...................

MicheH

Don't forget though that to go bankrupt the judge needs to see that the person petitioning has sought professional advice just adding my ten pennith

miss_spooky

Hi Torby,

Have you had a look at any of the information regarding Debt Relief Orders? One of the main criteria is that debts are under £15K so your friend should fall into this bracket unless any ugly debts rears theiry ugly heads...

There is a strick criteria which he will need to look into & they can only be administered via one of the debt charities - CAB, Nationaldebt line or CCCS. As he will have to take advice from one of these prior to BR he could ask them for their views on a DRO.

Here's link to NDL factsheet. http://www.nationaldebtline.co.uk/england_wales/factsheet.php?page=37_debt_relief_orders

debtinfo

The maindifference is that an Insolvency pactitioner must be registered and have proffesional qualifications, the lower limit applies to people being made bankrupt by a third party, If you are doing it yourself you just need to show that you cannot pay debts as they fall due. I would suggest that your friend does seek some proffesional advice as bankruptcy for £3,000 is a very small amount to be carrying that tag around with you for years to come. Is their no way that he can come to some arragement with his creditors