Bankruptcy.

uglysmithy80

Please can someone help me, I am going to be filing for bankrupt by the end of the month and i am really scared. I owe around 22k on various things and i been told the best thing to do is go bankrupt. I do not have any assetts or saving but i am not too sure what happens at county court, do i have to pay any money back or if so how long do i pay back for. Am i totally !!!!!!ed for credit i.e morgage or mobile phones after i am discharged in 12 months. i am so lost and is it as bad as people make out. cos i am really worried.

Kind Regards
Andrew

confused76

hi there and welcome

were you advised br was an option by one of the free debt charities? if not, then the first thing to do is take advice from one of them

https://www.nationaldebtline.co.uk
https://www.cccs.co.uk
https://www.citizensadvice.org.uk

there is a good sticky at the top of the page with some useful information ^^^

the court bit is quite straightforward. some courts operate an appointment system, some are drop in on the day. i'd give your local court a ring and they will let you know. on the day, you may or may not see a judge. perhaps a couple of weeks after your court date you would have an interview with the official receiver (OR). they will go through your bankruptcy forms (so keep a copy for yourself) and try to get an understanding of your reasons and what led up to the br. nothing scary, the OR is just doing their job

the OR allows you to keep a certain amount of your wages for living expenses. anything in excess of this will form an IPA agreement for 36 months.

i hope this helps start you off. do get that advice and have a look at the sticky
good luck

tigerfeet2006

Any questions about filling in your forms, your statement and your SoA then just ask on here and someone will be able to help.

Read the sticky marked Read this first: Bankruptcy Help.

Make sure you have taken advice from one of the debt charities that Confused has linked to.

Read all you can on the forum, ask questions, read some more and ask questions.

futurefree

Hi I went to court in march for BR. try not to worry as it is straightforward. the court staff were professional and were happy to answer some questions for me while they were checking my paperwork.

it cost 600 in fee but if you are on benefits you can ask for a reduction of 150 so paying 450 on the day.

you are bankrupt for 12 months but it stays on your credit file for 6 years so yes mortgages and credit cards are very unlikely until after the 6 years has passed.

the official receiver will speak to you usually after your court date on the phone, in my case the OR is due to call me in 2 weeks and i know he will go through my paperwork on the phone and ask me some questions. after that he will decide how long the BR is for and also if he wants to set an IPA (income payments order) which he could do for up to 3 years if he chooses (or may not set one at all) it depends on my income.

have a look at other posts too, they were a great source of info for me before I went BR

all the best.

Ineedaname

Mobile phones - if your mobile phone provider doesn't become aware of your BR and you are allowed to keep the phone by the OR, then some members have found they can continue with their current contract. One even did an upgrade during their BR year, upgrades generally aren't credit checked.

A couple of quick amendments to FutureFree's post.

OR fees are now £475, but the Court fee is still £150

IPA = Income Payments Agreement
IPO = Income Payments Order (if an agreement cannot be reached the OR may seek an Order)

tigerfeet2006

Court fees have just gone up

Swiss cheese brain won't give me the amount, but someone will tell us I am sure.

Ineedaname

Ah, is it the other way around then Tiger? OR fees still £450 but Court fees £175? I know it's an extra £25 but maybe confused as to where it's been added, lol.

debtinfo

yep thats right

HOLIDAYMAD_2

BR is no where as draconian as it used to be , i think in europe the UK is in fact the most allowing. Thank godness for something that is not so hostile .

You must seek independant advise to make sure it is what you need to do and know all the implications, ie you are totally finished of all roling credit over 500 pound for a period of time and if working wont be given the expense to support certain things such as high mobile contracts and tv packages etc, i did keep my mobile contract and net access without any question.
you will need to change bank accouts to either a friendly BR bank account such as the cop op or barclays but not to any you owe money to.

Read all that you can and ask away, and people on here do understand we have been there.

The court was really nice , no worries there.

Times before and after can stressful but knowing the facts makes it so much easier to deal with, at times its a bit surreal.

JCS1

HOLIDAYMAD wrote: »

BR is no where as draconian as it used to be , i think in europe the UK is in fact the most allowing. Thank godness for something that is not so hostile .

You must seek independant advise to make sure it is what you need to do and know all the implications, ie you are totally finished of all roling credit over 500 pound for a period of time and if working wont be given the expense to support certain things such as high mobile contracts and tv packages etc, i did keep my mobile contract and net access without any question.
you will need to change bank accouts to either a friendly BR bank account such as the cop op or barclays but not to any you owe money to.

Read all that you can and ask away, and people on here do understand we have been there.

The court was really nice , no worries there.

Times before and after can stressful but knowing the facts makes it so much easier to deal with, at times its a bit surreal.

You can have credit of over £500 as long as the lender is aware you are BR.

But agree, some european countries have far more stict BR rules than England & Wales.

tigerfeet2006

Ineedaname wrote: »

Ah, is it the other way around then Tiger? OR fees still £450 but Court fees £175? I know it's an extra £25 but maybe confused as to where it's been added, lol.

:rotfl:knew it was something simple like that. My brain isn't processing right now