being made bankrupt

truegemini666

hi i have been looking on here for a while now, i am probably going to be made bankrupt just have a couple of questions please.

What happens when someone petitions for you to be made bankrupt ?

if a Company is going to make you bankrupt do they have to let you know and how ?

do they have to let you know when and where the hearing will be ?

How does it work do i still have to go to the court where it will be ?

if you dont have to go to court how are you notified that you have been made bankrupt ?

any advise would be great thanks

mazman83

Hi and welcome

What makes you think you'll be made bankrupt and by who?

Before they can start BR proceedings the company will have to serve you with statutory demand.

If you don't want to contest the BR then I don't think you need to attend court

truegemini666

cut a long story short, i had a small business as self employed work died couldnt pay the bills so pretty much called it a day knowing not going to have anyway of getting on top of things, i have a had a letter one of the companies that i owe money to saying unless i pay they are going to make me bankrupt.

mazman83

To make you bankrupt will cost the company £1000+ especially if they involve solicitors and can take months before anything happens.

Give Business debt line a call for some advice.

Hopefully someone will be along who knows more about this.

PippaGirl_2

If someone has no assets and no income why would a creditor make someone BR? What is in it for them?

debtinfo

It allows for an investigation into their finances to be made as the OR has many more powers and access to information than the creditor does

OutofDebt-NOT-OutofDanger

Also if the company has debtor insurance, it often only pays out if the debtor has been formallly declared insolvent/bankrupt.

PippaGirl_2

oh right, I did wonder if companies/banks got their money back somehow. So will the companies and banks I owe be repaid by their insurance? If so, that actually makes me feel a bit better.