Overdrawn bank account

worriedwoman_2

hi
My OH is waiting for the IR to make him bankrupt due to unpaid tax, but this hasn't happened yet. He has about 50k worth of debt on credit cards and loans but these companies have just been threatening for about 3 years and not actually done anything. He cant afford to make himself BR so is just waiting. We have a joint bank account, which is £2500 overdrawn. The only activity on this account is two direct debits each month and £40 of charges. We just pay in the amount needed to cover these payments each month. I would like to know what would happen if I transfer the two direct debits to my own bank account and just didn't do anything with the joint one, ie not pay anything in to cover the charges each month. This would save us £40 a month, which would be a great help. My finances are also in a bad way and I will probably also be going BR in the next year or so, so I don't have any problems about getting a bad name with the bank. By the way, our joint account is with HSBC and my own is with Barclays. thanks

Tupperware_Queen

if he goes BR the debt becomes yours - but if you are planning on going BR anyway, I guess it doesnt matter. I'd put the DD's in your account and save the money on charges

worriedwoman_2

Thanks, I'll do it next week!

worriedwoman_2

hi
just another quickie about our overdrawn bank account.
How likely is it for the bank (HSBC) to make us bankrupt if we shift our d/d's to a different account and just leave the hsbc one at £2500 overdrawn, and let the charges for this mount up monthly?
My OH hasn't heard back from HM Revenue about his unpaid tax bill so I was wondering what HSBC will do once they realise we aren't paying them? Does anyone know?
And also, can bailiffs only come round once we have received a CCJ?
We have so many threatening letters from different debt recovery firms re old credit cards and loans but haven't actually received a CCJ yet. Where would we stand with bailiffs? We are renting our house so cannot lose that!

So_Sad_Angel

worriedwoman wrote: »

hi
just another quickie about our overdrawn bank account.
How likely is it for the bank (HSBC) to make us bankrupt if we shift our d/d's to a different account and just leave the hsbc one at £2500 overdrawn, and let the charges for this mount up monthly?
My OH hasn't heard back from HM Revenue about his unpaid tax bill so I was wondering what HSBC will do once they realise we aren't paying them? Does anyone know?
And also, can bailiffs only come round once we have received a CCJ?
We have so many threatening letters from different debt recovery firms re old credit cards and loans but haven't actually received a CCJ yet. Where would we stand with bailiffs? We are renting our house so cannot lose that!

Its highly unlikely the bank will make you bankrupt...almost never happens. It costs them too much & they have nothing to gain. Banks prefer to sell on the debt to debt collection companies instead.

Have you taken advice? see one of the debt advice charities...CCCS, Nat Debtline (& Business Nat Debtline if business related) or Citizens Advice (CAB).

Can`t help on CCJs I`m afraid.

davidgmmafan

And you can add the DCA will send threatening letters for ages and they too seldom do anything. I'd say given the circumstances its counter productive to pay in the £40 per month, a parachute account is a must. The £40 can go towards bankruptcy fees.

worriedwoman_2

ok thank you for your help. We have had threatening letters for around three years now, which are from various DCAs, they just seem to pass our debt on to another one after a while, then we get offers to pay a percentage etc etc and then it gets passed on again. We will definitely go BR at some point but just can't afford to do it ourselves so are waiting for someone else to make us BR. I'm just a bit worried about the bailiffs coming as my son has an expensive guitar and I don't know how I can actually prove it is his! Can anyone let me know whether bailiffs need a CCJ against you to come round or if DCAs can just send them round? Thanks

IF

Hello WW, They can't send bailiffs until they have a CCJ against you which you have defaulted on, no matter how scary their letters are. Please do as SSA has said speak to one of the debt charities.

Best wishes
If...x

• Consumer Credit Counselling Service - Website: CCCS Telephone: 0800 138 1111
• National Debtline - Website: National Debtline Telephone: 0808 808 4000
• Citizens Advice Bureau - Website: Citizens Advice or visit your local CAB centre (find nearest)

More Debt charities also on Fermi’s link - Click here

worriedwoman_2

Hi, thanks, I have spoken to Business Debtline who have said that my OH should go bankrupt but as it is so expensive they advised us to write to HMRC and ask them to make him bankrupt. I did this in September, but so far we have heard nothing!