what to pay off with the 4k cheque

PNPSUKNET

I smell a rat, if bankrupt how did he get 0% deals?

loopymadlover

they are my partners debts but as were a couple they are half mine just not on paper

the car was his as i dont drive i dont have any credit and am very reluctant to get any more .

loopymadlover

i only wanted some advice because when your a couple money woes affects both ppl not just one !

JasX

loopymadlover wrote: »

they are my partners debts but as were a couple they are half mine just not on paper

the car was his as i dont drive i dont have any credit and am very reluctant to get any more .

well thats quite critical to the situation.

£4,000 is 100% your partners
you are BR
you have debts in both individual and joint names.

with your BR any debts in your sole name will be completly covered by BR

any debts in joint names are likely to remain 100% payable by your OH.

Therefore it would be very foolish to pay any debt in your sole name with it, only debts your OH will still be liable for after BR.

by giving only partial information you are very likely to end up with incorrect advice which will risk you losing the £4,000.

Giving partial information is also likely to confuse and become frustrating to those trying to give advice to you as you drip feed key information over several days that completly changes what the advice is on an hourly basis.

DarkConvict

Paying off those debts is seen as preference to a creditor, the official receiver will take the £4000 back.
Since you are BR, you must tell and most likely hand over the £4000 to the official receiver. Where it will be used to pay off some of your debts in a pro-rata.

As above and as you already know, joint debts go to the other account holder, if this was a concern you should have both consider the BR option not just one of you.

Here is a copy of information, i sent a friend, its worth while you reading it.

Bankruptcy Offences

There are several offences a bankrupt person may commit, the most common of which are

• the failure to disclose assets
• to conceal assets
• failure to account for loss of property
• failure or refusal to make the required documents and records available to the OR (Official Receiver)
• destroying books and records
• omitting to give a full and frank disclosure to the OR/Trustee in Bankruptcy
• fraudulent disposal of property
• obtaining credit during the bankruptcy, without disclosing his/her bankrupt status.

Whilst, as a result of the Enterprise Act, the bankrupt may still be automatically discharged within 12 months of the Bankruptcy Order being made, the OR could apply for a Bankruptcy Restriction Order (or Undertaking), for a period of between 2 and 15 years, depending upon the severity of the offence. The bankrupt person could also have his/her discharge suspended if the OR was dissatisfied with his/her conduct and required additional time to investigate his/her affairs.

Bankruptcy Restriction Orders / Undertaking

The Bankruptcy Restriction Order is a relatively new concept, being one of the provisions of the Enterprise Act, introduced to deal with dishonest, reckless and culpable bankrupts. The purpose of a BRO is to protect the public interest, not to punish.

Bankruptcy Restriction Orders may be obtained by the Official Receiver for a period of between 2 and 15 years, depending on the severity of the offence. These BRO’s will restrict the bankrupt, for instance, from being a Company Director, obtaining credit in excess of £500 without disclosing his/her bankrupt status, becoming an MP or JP and are also expected to impact upon professional qualifications and trading in any other name other than the name in which the Bankruptcy Order was made.

A BRO may only be obtained for an offence committed after 1 April 2004.

A BRO may be obtained against the debtor who has been reckless (2-5 year BRO), culpable (5-10 year BRO) or dishonest (maximum 15 year BRO).

The criteria for the making of a BRO includes having been bankrupt within the previous 6 years, gambling, failure to co-operate with the Official Receiver, making preferential payments or disposing of assets at undervalue.

The Official Receiver must apply for a BRO before the bankrupt receives his/her automatic discharge (in most cases on the first anniversary of the Bankruptcy Order being made).

A Bankruptcy Restriction Undertaking is identical to a BRO but is reached by agreement with the debtor, rather than by Application to the Court.

Certificate of Discharge

Whilst discharge is automatic, the debtor will not receive any notification that he/she has been discharged.

If proof of discharge is required, then an application should be made to the Court where the Bankruptcy Order was made, quoting the bankruptcy date and number. The current charge for a Certificate of Discharge is £60 (as at March 2008).

If the discharged bankrupt person is to apply for a mortgage, then he/she would be well advised to obtain a Certificate of Discharge as such a document is most likely to be required by the new mortgage lender.

If confirmation of discharge (but not a Certificate), is required, then such confirmation is available from the Official Receiver.

Change in Circumstance

If a bankrupt person experiences a change in circumstances during the period of bankruptcy, ie an increase in salary (other than normal cost of living rise), then there is an obligation upon him/her to advise the Official Receiver/Trustee in Bankruptcy.

Why Personal Bankruptcy is Not the Right Debt Solution for Gambling Debts
Surprisingly, personal bankruptcy and gambling debts are a recipe for financial disaster. Since the Enterprise Act 2002, gambling losses constitute a bankruptcy offence. Those that have lost money from speculative activity face a Bankruptcy Restriction Order (BRO) meaning they may not be discharged from personal debts for up to 15 years.

loopymadlover

this debt is not mine its my partners

the car is/was also his, i dont drive i am currently using his scooter the cheque is in his name the debts are in his name we have no joint debt at all


i have no assetts and my or is fully aware of my finacial situation the only assett i had was a scooter which was on hp and was included in my br pettiton and returned to the finance company

DarkConvict

In that case, that's fine. The £4,000 is your partners as it was their car, and can be used to pay their debts. As before then, use it against Egg (the highest APR).