Bankrupt for less than 5 Months - Discharged

Richard_S

pudding06 wrote:

does make you wonder doesnt it?

pudds

What exactly is it about losing all your assets and everything that you've spent a lifetime working for that you're wondering about pudding?

Bestthingsinlifearefree

just out of interest, If you are a "home owner" e.g you have a property worth
120K and a mortgage on it worth 100K.

When you go bankrupt, do they make you sell it or put a claim on it or something or repossess the property ?

Or can you go bankruty and not lose your equity ?

Richard_S

Bestthingsinlifearefree wrote:

just out of interest, If you are a "home owner" e.g you have a property worth
120K and a mortgage on it worth 100K.

When you go bankrupt for they make you sell it or put a claim on it or something.

Or can you go bankrupty and not lose your equity ?

Hi BTILAF

If it's got a value then you'll lose it; that's a very simplified repsonse because it does depend on who else has an equitable interest in the house.

Richard

Sisyphus

Richard_S wrote:

Don't know Sisyphus, why did you bother?

I blame the poor education my parent's gave me. Silly thing is that it's so ingrained that I find myself teaching my son the same ideas.

Bestthingsinlifearefree

Richard_S wrote:

Hi BTILAF

If it's got a value then you'll lose it; that's a very simplified repsonse because it does depend on who else has an equitable interest in the house.

Richard

Thanks Richard.

Do they force a sale or put a charge on it for when it is sold in the future. Or is it a case by case basis ?

So if you had a house worth 300K and a 200K mortgage you would lose all the equity one way or another if you went bankrupt?

So basically, if you have assets, bankruptcy is not painless i.e you lose everything ?

mjdh1957

Remember that the DFW board is about support not judgements.

Everyone's circumstances are different, and we make choices based on our own beliefs, values and our opinion as to what is best for us.

For some, there is a desire to pay off debts and that's fine, you'll get lots of support on here from doing that.

For others, bankruptcy is the best way, and again you can get support with that.

Richard_S

Sisyphus wrote:

I blame the poor education my parent's gave me. Silly thing is that it's so ingrained that I find myself teaching my son the same ideas.

My parents taught me that hard work and entrepreneurship were the two most important things after health and happiness, and that the wealth of a nation depended on people taking risks in business, creating employment, increasing the tax take to allow the govenment of the day to spend as it deemed necessary.

They also taught me that the cost of getting it wrong is extremely painful and beleive me, it really is painful. I've employed hundreds of people over the years, paid hundreds of thousands of pounds in tax, exported goods all over the world and once my BKY is over we'll be back in business again.

Oh how I wish my parents had taught me the wisdom of never taking a chance and taking the easy route through life (I don't think)

Richard_S

Bestthingsinlifearefree wrote:

Thanks Richard.

Do they force a sale or put a charge on it for when it is sold in the future. Or is it a case by case basis ?

So if you had a house worth 300K and a 200K mortgage you would lose all the equity one way or another if you went bankrupt?

So basically, if you have assets, bankruptcy is not painless i.e you lose everything ?

Hi BTILAF,

They could do either, but there is a three year time limit by which time they have to have taken action.

If you had a £100k equity in a property you would be expected to make that available to yr creditors through the Official Receiver, and again there are a number of ways to do that.

I think it's fair to say that bankruptcy is never painless, apart from the odd exception, and the more assets you have the more financially painful it becomes.

There are lots of responses to these questions on the "Bankruptcy and Supporters Club" Thread and the Insolvency Service has a detailed description of how assets are treated in bankruptcy.

Hope that helps a little, I'm at work at the moment so don't have much time, will watch out for any other questions or comments you post or feel free to PM me.

Regards

Richard

TTMCMschine

Bestthingsinlifearefree wrote:

Thanks Richard.

Do they force a sale or put a charge on it for when it is sold in the future. Or is it a case by case basis ?

So if you had a house worth 300K and a 200K mortgage you would lose all the equity one way or another if you went bankrupt?

So basically, if you have assets, bankruptcy is not painless i.e you lose everything ?

I can't believe you're asking that. Basically what you're saying is "can I discharge money I owe, but keep any equity in a seperate pot & keep that too."

You can't stick your assets & debts into different pots & keep the ones that are desirable & discharge the rest. Your current assets = assets - liabilities, not pot1= assets, pot2= debts I'll have pot1, pot2 can sod off.

It is one figure, either positive or negative.

Think about the person that YOU borrowed money from, who's money YOU spent on things that YOU wanted. Now you're suggesting that it should be tough luck to the person that lent YOU the money, they're not having any of "YOUR" cash!

My heart sinks every time I see the state that this country has ended up in & the generations of people who don't care about anyone but themselves - Cheers NuLabour, it's chavtastic.

Richard_S

TTMCMschine wrote:

I can't believe you're asking that. Basically what you're saying is "can I discharge money I owe, but keep any equity in a seperate pot & keep that too."

You can't stick your assets & debts into different pots & keep the ones that are desirable & discharge the rest. Your current assets = assets - liabilities, not pot1= assets, pot2= debts I'll have pot1, pot2 can sod off.

It is one figure, either positive or negative.

Think about the person that YOU borrowed money from, who's money YOU spent on things that YOU wanted. Now you're suggesting that it should be tough luck to the person that lent YOU the money, they're not having any of "YOUR" cash!

My heart sinks every time I see the state that this country has ended up in & the generations of people who don't care about anyone but themselves - Cheers NuLabour, it's chavtastic.

Steady on TTMCM, it was only a request for information, you're jumping to a number of unfounded and unreasonable conclusions.

Please spare us the "poor old lenders" rubbish, we are talking about the same institutions responsible for enslaving the third world in the eighties and then forcing them into poverty and starvation in the nineties; and Bingo, another vulnerable market - "let's lend recklessly to consumers in the UK" and watch them squirm when we decide the markets saturated and we want to move on.