Bankruptsy and Bank Accounts

helen1101

Hello All

I have just filed for a LILA in Scotland. Most of my debt is with my current bank (Abbey) and HMRC. I fully expect the Abbey to close my account once the paperwork is underway and so i have opened a seperate account with Halifax whom i have no debt with. Will this account also be closed and how will i know if this is going to happen? How iwll the Halifax know about my bankruptcy if i dont tell them? I have not recorded the Halifax account on any of my paperwork as i opened it once the LILA had been sent to the Bankruptcy accountant.

Anyone had any experience here??!! Thank you.

Helen

DON79

Hi Helen, sad to say, the Halifax are probably not the best option for a post Lila/BR account. They potentially could freeze or close the account once LILA goes through. The Halifax keep checks on things like the London Gazette to see whenever an announcement is made of bankruptcy so they can check if any are their customers. The BR friendly banks are Barclays who will let you have a basic debit card account, the Cooperative Bank and possibly The Yorkshire Bank who may let you have an account with a cashcard.

You could always call anonymously to a Halifax helpline and ask them what their position would be but I don't think they will guarantee to keep the account open.

Hope this helps a little.

Donna

miss_spooky

Hi Helen1101,

I'm not sure if the policies are the same in Scotland as in England, but my OH had a Halifax acct not in debt didn't go into his BR. The OR said that he could keep it, but the Halifax said it was against their policy to keep accts of BR's open. They allowed him to take his wages as it was too near payday to change details, but they have now closed it, so he's got to open a new acct.

helen1101

Thank you both - i think the Halifax in this case will check the Edinburgh Gazzet and i will be in trouble. I will look to the Co Op although they will not allow you to open an account until the LILA has gone through. Do you get that date in advance that you will become bankrupt? I dont have to attend court because i dont have any assets.

Thanks again!

Helen