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OR asking creditors to fund costs?

Just out of interest…

Are there any circumstances in BR – when the OR asks creditors if they want to pay the costs for actions the OR might take?

Comments

  • never heard of it on here, although i can think of many situations where it may benefit the OR to do so.......

    would need EXACT details though if this was a real scenario question, and any answer would most likely be in theory only:confused:

    Odd question script, if its not theoretical i would be intrested to know more;)
    Thats it, i am done, Blind-as-a-Bat has left the forum, for good this time, there is no way I can recover this account, as the password was random, and not recorded, and the email used no longer exits, nor can be recovered to recover the account, goodbye all …………. :(
  • script
    script Posts: 718 Forumite
    It was more of a hypothetic question.

    I just wondered if the OR ever did ask creditors to pay any costs.
  • script wrote: »
    It was more of a hypothetic question.

    I just wondered if the OR ever did ask creditors to pay any costs.

    In that case, i would have to say no, the OR would not ask the creditor to pay.

    But the way BR is administered is always changing to cover the OR's fees, so the IS can be seen to be self funding, so if it where to happen it would not surprise me, but there is nothing that springs to mind in the current guide to indicate they may do so, that I have seen.
    Thats it, i am done, Blind-as-a-Bat has left the forum, for good this time, there is no way I can recover this account, as the password was random, and not recorded, and the email used no longer exits, nor can be recovered to recover the account, goodbye all …………. :(
  • script
    script Posts: 718 Forumite
    Thanks Baab.
  • Tinytim
    Tinytim Posts: 417 Forumite
    Script,

    I think it may be the case that if a creditor has been "preferred", such as repaying a debt to a family member in preference to other creditors, then it is standard practice for the OR to reverse the transaction and asked the preferredcredit to give the money back. If the creditor refuses, then I think the OR reports to the other creditors who then (I believe) have the option of funding the court costs to enforce repayment if it is thought practical.
    BSC 271
  • debtinfo
    debtinfo Posts: 7,012 Forumite
    Like tim says the or will ask the Creditors if they want to cover the cost of a recovery where the Asset is either small in value or where the ownership is dubious and would take a lot to prove it was the bankrupts asset. The creditors get the choice if they want to proceed and if so have to fund the action
    Hi, im Debtinfo, i am an ex insolvency examiner and over the years have personally dealt with thousands of bankruptcy cases.
    Please note that any views i put forth are not those of my former employer The Insolvency Service and do not constitute professional advice, you should always seek professional advice before entering insolvency proceedings.
  • script
    script Posts: 718 Forumite
    Thanks Tinytim and Debtinfo
This discussion has been closed.
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