voluntary Bankruptcy

jonesy111

So_Sad_Angel wrote: »

I would suggest that if the issues are financial that they seek advice from the debt charities CAB/CCCS/Nat Debtline in the first instance.

I agree with Alastair & would be asking why don`t they try & sell the flat or alternatively rent it out (with their mortgage company`s permission) & go find somewhere else to live that does have a garden.

Bankruptcy is the `last resort` & not just the `way out` because they live somewhere that is no longer suitable.

The advice of going bankrupt has actually come from a financial advisor who has said they will "walk him through it". So he's going ahead with it.

I agree totally that bankruptcy is not a way out. But it they wouldn't have enough money to rent somewhere else and pay the loan, the rent on his flat wouldn't be enough to cover both unfortunately.

jonesy111

debtinfo wrote: »

I cant see how you can make that jugement, i would venture that with most cases we see like this you probably are not aware of all of the facts of his finances,

as SSA says the best thing you can do is to convince him to seek financial help from one of the debt charities

I agree, I'm not aware of all the issues with his finances but he seems to not be able to get out of his situation and I wouldn't have thought he would risk the health and happiness of his family if he could get out of it. I don't agree that he should easily be able to get out of his debt, which is why i question that if he is earning and capable of paying this loan and his mortgage defaulting on both wouldn't make sense to a court who has to make you bankrupt!

He's seeking advise from a financial advisor who have said his best option is to go bankrupt.

jonesy111

debtinfo wrote: »

I cant see how you can make that jugement, i would venture that with most cases we see like this you probably are not aware of all of the facts of his finances,

as SSA says the best thing you can do is to convince him to seek financial help from one of the debt charities

He's also planning to save the £400 to put towards the deposit on the flat they want to rent, so i do know that much.

alastairq

The advice of going bankrupt has actually come from a financial advisor who has said they will "walk him through it". So he's going ahead with it.

Would this financial advisor be from a debt charity?

Or are they from a commercial firm?

Your friend needs to realise that, if BR is the route to be taken, having the assistance of a commercial financial advisor will cost a lot of money...money that could be better spent elsewhere.

Contact wit the debt charities, as SSA says, will achieve the same result, with no extra expense.

jonesy111

alastairq wrote: »

Would this financial advisor be from a debt charity?

Or are they from a commercial firm?

Your friend needs to realise that, if BR is the route to be taken, having the assistance of a commercial financial advisor will cost a lot of money...money that could be better spent elsewhere.

Contact wit the debt charities, as SSA says, will achieve the same result, with no extra expense.

I'm not sure on this, i would hope that it is advice that he is not paying for, but you never know. I don't think it going to work out well as if he is earning and has means to pay his debts I don't see how a court can make you bankrupt. If they do well surely everyone in a little bit of debt would be doing this!

Ineedaname

That's exactly the point, if the Court does not think he is insolvent they will not award him a BR Order.

I appreciate you are looking out for your sister, but I do think you need to stop worrying about this. It sounds like the only impact on your sister will be to move into rented accomodation. I take it there are no joint debts that she would become liable for once her partner has gone BR? It sounds like he is still 'in' the relationship and wants to find somewhere for them both to live, but in a better financial position.

Perhaps suggest he seeks free advice from one of the debt charities listed in the Look Here First thread, just to ensure partiality in the advice he has already been given if he's paid for that.

Then leave him to make his own decisions.

dojoman

At the end of the day it will be his decision and not yours, whether he ticks all the boxes for going BR only time will tell, but if he does or does not what effect will it have on you?