The Bankruptcy Club & Supporters Club

nikkij

hi,
Has anyone used the site 'myvesta' to go banckrupt as they seem a good site to go with but would like some advice , they are free to use but also charge a fee for extra help. can anyone help me with this?

Brokeandbothered

Sorry to be dumb, what's a BRU?

less2303

nikkij wrote:

hi,
Has anyone used the site 'myvesta' to go banckrupt as they seem a good site to go with but would like some advice , they are free to use but also charge a fee for extra help. can anyone help me with this?

You dont need to use anyone to go bankrupt, so why use a fee charging company?

You can get all the help and advice you need from Nationaldebtline, CAB etc. If you need the links to their sites you should be able to find them on here, if not let me know and I'll post them.

less2303

Brokeandbothered wrote:

Sorry to be dumb, what's a BRU?

A BRU is a Bankruptcy Restriction Undertaking.

When someone goes bankrupt they are put under restrictions regarding their future activity until they get discharged (normally 12 months later - or earlier). These include restrictions on the obtaining of credit and running a business.

The Official Receiver is appointed following bankruptcy and one of his/her tasks is to investigate a bankrupt's conduct and affairs in order to ascertain whether or not they have been "culpable, reckless or dishonest", and/or have brought the bankruptcy upon themselves.This "investigation" may be cursory (eg just based on the paperwork) or more in depth, involving an interview or interviews. In a small percentage of cases this investigation warrants action being taken against the bankrupt to seek to continue the restrictions upon the bankrupt beyond discharge. This process is called a "Bankruptcy Restrictions Order" (BRO) or, if agreement can be reached between the bankrupt and the OR, a "Bankruptcy Restrictions Undertaking" (BRU). The former is an Order from a Judge, the latter is a signed agreement between the bankrupt and a representative of the Secretary of State for Trade & Industry. The benefit of the latter is that the OR will reduce the tariff (period) if a BRU is agreed against what is sought from a Court at a hearing. Just because the OR makes an application for a BRO it's not a done deal - he still has to convince a judge it's appropriate. Like any court action these can be defended and mitigated against, and, if found/proved, the period is a matter for the Judge anyway - and may be longer or shorter than indicated by the OR.

Breaches of a BRO/BRU are a criminal offence, just like breaches of a bankruptcy restriction before discharge.

The purpose of getting a BRO/BRU is to protect "the public" in the future and to act as a deterrent in respect of future conduct. It must also be deemed to be in the public interest to seek one.

sandralovescats

nikkij wrote:

hi,
Has anyone used the site 'myvesta' to go banckrupt as they seem a good site to go with but would like some advice , they are free to use but also charge a fee for extra help. can anyone help me with this?

First of all you don't need anyone to go bankrupt as such. You need professional advice. You will get professional and free advice from Myvesta. Give them a call and ask to speak to either Sean or Steve. They will assess your personal case and then tell you your options that are personal to you. You then make the decision.

Myvesta are absolutely superb!! I can highly recommend them!

ALL DMC's charge a fee for work on an IVA/Bankruptcy or whatever. So do Payplan and CCCS. Just that all three of them do the initial investigative work totally free of charge.

Myvesta are just the best and that is from personal experience.

sandralovescats

less2303 wrote:

You dont need to use anyone to go bankrupt, so why use a fee charging company?

You can get all the help and advice you need from Nationaldebtline, CAB etc. If you need the links to their sites you should be able to find them on here, if not let me know and I'll post them.

Myvest DO FREE ADVICE !!

All companies charge a fee for an IVA including payplan and cccs!!

Myvesta have set up my DMP and did it free of charge. Myvesta arranged for Grant Thornton to do my very specialised IVA - free of charge. When the IVA is set up and running ALL IVA's have a fee of £8K-£10K - Myvesta will be paid through that.

However, no-one needs to pay for advice and direction, which a lot of companies do.

sandralovescats

charlotte664 wrote:

Got a Bankruptcy query.

Had a long chat with a tearful friend this evening. It appears that she went BR last year in July and has been discharged already. She spent most of the time crying about how ashamed she was and she couldn't tell me. Had to put her straight about our finances, but this is not the point!

In 2004, she did some work on a contract basis. She invoiced the company each month that she did the work for and they paid her directly into her bank account. As it was a contract basis, she was responsible for all her own tax/NI etc. I assumed that she had done this herself - I had no reason to doubt her, I did her tax return for 2003 for the same contract!

Anyway. 2004 she has neglected to declare her earnings from the company. After an audit from the tax office however, the company has had to disclose details of how much they paid her (and others).

She has been told by the tax office that although she declared herself bankrupt in Jul06, at that point in time she did not actually owe the IR any money. Now they say the bill has been worked out and they are telling her that she owes them tax for 2004 and have billed her.

It was my understanding that although "technically" she did not owe any money at the BR point, the "debt" was still accrued in the period upto bankruptcy, therefore would be included although she was not able to declare it to the OR at the time?

Sorry if information here is a bit scatty - it is difficult getting coherent info from blubbery women (and I am one!), but where does she stand? Does anyone have any ideas?

Your friend needs to get in touch with the OR's office she had when in her bankruptcy and discuss it.

As far as I am aware, any debt that surfaces after the date of bankruptcy is automatically included in that bankruptcy, whether it is the Inland Revenue or not. This also applies to debts that you were not aware of at the time. The tax is due in the year ending in which the income was paid to her so the debt already existed prior to her bankruptcy.


For the IR to take any legal action against her they would have to prove that she did intend to evade paying tax. Since she had both declared and paid it previously they would have a hard time proving such.

It is a pity that it is the weekend and she has to wait until Monday but she does need to speak to either her OR or someone in that office.

sandralovescats

There is a site which holds information on IVA companies - with case histories submitted by people whom have had experience with them.

Could be helpful for folks contemplating iva vs bankruptcy

Go to https://www.iva.com

Also, if you entered into an IVA prior to bankruptcy do go to this site and put in your tuppence-worth regarding the experience you had with your particular company - it may help others.

tammyfshr

i submitted my husbands form on line about 2 weeks ago by accident.we are both now going to go bankrupt but not untill next week after our rent has gone out of our accounts.i have got to change alot on his form and have been told i can just cross out and amend parts.will it look bad that we have left it a couple of weeks before going to court?also will the or go by what is on the submitted online form or the forms we take to court?
also one of the dedts(credit card) i have got to add on to his form we have used this week.we also planning to use one of the credit cards for some of the money towards the bankruptcy fee.is this allowed?can you use whatever credit you have got left up to the day you go bankrupt?

sandralovescats

tammyfshr wrote:

i submitted my husbands form on line about 2 weeks ago by accident.we are both now going to go bankrupt but not untill next week after our rent has gone out of our accounts.i have got to change alot on his form and have been told i can just cross out and amend parts.will it look bad that we have left it a couple of weeks before going to court?also will the or go by what is on the submitted online form or the forms we take to court?
also one of the dedts(credit card) i have got to add on to his form we have used this week.we also planning to use one of the credit cards for some of the money towards the bankruptcy fee.is this allowed?can you use whatever credit you have got left up to the day you go bankrupt?

What a pickle!

The OR will go by the latest up-to-date information given to him/her. Don't worry about that.

You are not supposed to use any credit you have left!! It may be viewed in a very dim light by the OR. If it is only the fee for bankruptcy it may be okay. However, if you go mad and spend, spend, spend immediately prior to your bankrutpcy they view it as being reckless and it will result in a BRU. Not that a BRU matters much, it just lengthens the time you are not allowed any credit!