How far back does the OR go?

bankrubber

I don't mean to derail this thread, but I don't fully understand what it actually is that the OR is looking for when he/she reviews the previous 12 months+ bank statements.

I found they are looking for you to tell them events with dates that made you unable to service your debts, ie the point you decided you were no longer solvent they are then looking to see at that point did you still continue to use credit and if so when you couldnt service exisitng debts.

If the above is the case. What are the consequences of continuing to use available credit past the point of being able to fully pay all debts monthly?

debtinfo

The OR has a number of jobs to do, they could be looking for any bankruptcy offences, (such as using credit without a reasonable prospect or repaying) these could result in a BRO/BRU which places restrictions on you for up to 15 years. They could be looking for criminal offences suchas theft or fraud which could result in a prosecution, they could be looking for any assets that have been unreasonably disposed of, this could result in the assets being recovered from the person they were given to, or they could be looking for evidence of things that have not been disclosed, which again could result in asset sales,further restrictions and prosecutions under the perjury act.

They are also looking for an exlanation for the bankruptcy which is one of the things that they have to put in the statutory report to the creditors. It is quite common that what the bankrupt thinks is the reason is infact just the last straw and not getting to the root cause

HOLIDAYMAD_2

cuemix wrote: »

I think I have a good case to convince the OR that I need a car and I've read that they allow £2000 for a car so the £1000 would be the approx difference in the value of my car that the OR would want from me so I could keep it. Total current valuation is somewhere between £2455 and £3115. So there's no funny business going on. The £1000 would be just a loan from my employer, they wouldn't be purchasing the car. Hopefully it would be valued at the lower value so I would only need £455 and not £1000. The OR might even let me off:eek:

With regards to the £4.5k spent, I needed a reliable car for my 110 mile round trip to work and back plus I worked irregular shifts at the time so I would have thought £4.5 would have been reasonable.

I will get proper advice very soon

Not suggesting any funny business, im sure you will get it sorted and to be honest as debt info said nothing can go to plan , we dont take this route lightly and when we do its something we cant avoid because if we could we normally would

but dont use the word "loan" you can have 500 pound in the undischarged year as credit.

i wish you well and get as much advise as you can for the unexpected.

JCS1

HOLIDAYMAD wrote: »

Not suggesting any funny business, im sure you will get it sorted and to be honest as debt info said nothing can go to plan , we dont take this route lightly and when we do its something we cant avoid because if we could we normally would

but dont use the word "loan" you can have 500 pound in the undischarged year as credit.

i wish you well and get as much advise as you can for the unexpected.

You can have credit whilst undischarged, but you have to tell the lender that you are BR if you want to have credit of over £500.

HOLIDAYMAD_2

oh right if i got it wrong, sorry thought the OR said to me no more than 500 pound in the undischarged period and that was with there permission and full disclosure to the lender.

Most applications for credit would ask the question, scary really as the options for credit seem to be the door step lenders at that horrible 185% plus or pay day loans etc.
Anyway not for me i will live on the 9 pence baked beans than ever take that route again.

Ineedaname

I think the main thing about the car if the OP does go BR is to not have the loan from their employer before going BR. It could then end up having to be put into the BR as pre BR debt.

If the OP wants to try and keep the car then I think in this case it's something to sort out with the OR after going BR.

HateBanks

We sent our OR 12 months of bank and CC statements, signed a permission for them to access our tax records etc. He didnt want to discuss any individual transactions. OH was made redundant in 2007, he asked how much that was and was that used for living expenses afterwards, which it was.
I dare say it varies considerably from OR to OR, they have guidelines to follow, but it is still down to individual interpretation. good luck.