bankruptcy and holidays

cairey

I would like to know if someone who has gone bankrupt and has also lived on benefits can still afford to go on two holidays in the 3months since made bankrupt and should they inform the OR ?

debtinfo

They dont have to inform the OR if they are going on holiday

fatbelly

And holidays can be very cheap if you follow advice elsewhere on this site. Best of luck to you...

Annisele

And do you even know if the bankrupts have paid for the holidays themselves? Peeps have friends/partners/relatives...

philnicandamy

The "official" word from insolvency service

31.7.26 Holidays
Previous guidance stated that an allowance for holidays should not be included in the calculation of funds available for an income payments contribution, other than in exceptional circumstances, for example where a dependant was sick or disabled. Whilst extravagance is not endorsed in this respect, it may be considered a reasonable domestic need to allow the bankrupt and his/her family to benefit from a non-extravagant holiday as a break from routine. Expensive or luxury holidays (particularly if the holiday is abroad) are likely to cause offence to creditors but an allowance of between £60-£80 per month (amounting to £720-£960 per annum) for a household of 4 people should allow the bankrupt and his/her family sufficient funds to take a moderate annual holiday. Should the bankrupt consider this allowance insufficient to fund a holiday, he/she should be informed that any additional holiday cost that he/she may wish to incur must be funded from the amount of surplus income left with him/her after deduction of the assessed IPA/IPO contribution.

...full moon again eh? ;)

cairey

thank you for the information its for my sister re bankruptcy and holidays,shes paid for it herself by the way.

dojoman

philnicandamy wrote: »

The "official" word from insolvency service



...full moon again eh? ;)

Yep, howwwwwwwwwwwwwwwwwwwwwwl