Bankruptcy Help

1979lisa

Hi all,
Firstly i am new to all of this and am looking for advice!
My partner needs to go bankrupt asap and we are wondering were we stand.
All the debts are in his name but we have a car which i mainly use,this is in my name,what would happen with this??
He is out of work at the minute although i work one day a week due to illness so most of our income is made up of benefits at the moment,what would he pay to go BR.?
Please could anyone advise on what is the best route to take.
many thanks lisa.

IF

1979lisa wrote: »

Hi all,
Firstly i am new to all of this and am looking for advice!
My partner needs to go bankrupt asap and we are wondering were we stand.
All the debts are in his name but we have a car which i mainly use,this is in my name,what would happen with this??
He is out of work at the minute although i work one day a week due to illness so most of our income is made up of benefits at the moment,what would he pay to go BR.?
Please could anyone advise on what is the best route to take.
many thanks lisa.

Hi lisa and Welcome to the BR board. If you are the owner of the car then in is safe.

£525 OR fees and £175 Court costs, total of £700.
You can get the court costs waived if based on benefits, gross annual income and disposable income.

Court fee remission and forms.

• HMCS - Court fees do you have to pay them? (The form and guidance on completing the fee remission form included). (pdf)
• Example application for a fee remission based on gross annual income - EX160 (Thanks to NE Derbyshire CAB)
• Example application for a fee remission based on permitted benefits - EX160 (Thanks to NE Derbyshire CAB)
• Possible assistance with Bankruptcy costs / fees (Thanks to NE Derbyshire CAB)

Hope your boyfriend is going through one of the free debt charities for help listed below.

* Blue text on this forum usually signifies hyperlinks, click on the blue links below *

Main recommended sources of help:

• National Debtline - Website: National Debtline Telephone: 0808 808 4000
• Citizens Advice Bureau - Website: Citizens Advice or visit your local CAB centre (find nearest)
• Consumer Credit Counselling Service - Website: CCCS Telephone: 0800 138 1111

Others:

• Business Debtline
  - Website: Business Debtline Telephone: 0800 197 6026
• Christians Against Poverty
• PayPlan
• TaxAid - Help with tax debts.

For ‘essential’ BR info the ‘Look here first’ sticky by Fermi.

BR friendly home insurance thread.

BR Friendly bank accounts sticky.

BR Abbreviations

Bankruptcy NDL Guide

Basic Bankruptcy Advice & Guide NED CAB

And do remember we’ve all been through this and anything you don’t understand don’t be afraid to ask.


Best wishes
If...x

1979lisa

Thanks for your reply,
I should of said that the car was transfered to myself last year as i am the main driver,my partner doesn't really use it.The car is not worth a great deal as it is a 03 plate focus,were would we stand with this.
Thanks again lisa.

PippaGirl_2

If he owns it (which I assume he did, did he buy it himself?) then it will need to be put down as an asset on the SOA form. It matters not who is the registered keeper, just who owns it and who bought it is often key. My car is in my dd's name but I declared it as I own it. Then the OR will decide whether it is exempt or whether they will place a claim on it, even if they do place a claim on it you will be given the opportunity to buy the benefitial interest on it and keep it by giving the OR its value. You would have to pay for that though, not him.

Euphoria1z

PippaGirl wrote: »

. Then the OR will decide whether it is exempt or whether they will place a claim on it, even if they do place a claim on it you will be given the opportunity to buy the benefitial interest on it and keep it by giving the OR its value. You would have to pay for that though, not him.

Out of curiosity, where does the OR expect a bankrupt (or going bankrupt) person to find funds to buy the car back? doesnt any excess go towards the creditors?

PippaGirl_2

Euphoria, that is why I said to the OP that it would need to be her that buys the BI in the car and not the BR person as beneficial interest in anything cannot be paid by the BR person themselves.

Euphoria1z

i see, i thought they gave this option to the bankrupt person! does that mean a bankrutps husband/wife can then buy the car back, and will they then look into his/her earnings because its meants to be a household income if you know what i mean? or do they not care who buys it back as long as not the bankrupt person?

PippaGirl_2

They don't care who pays for the BI in the car. They only check the spouses earnings if they do not feel they are contributing 50% to the household expenditure. Many people are given money by relatives to buy the BI in items being claimed by the OR, jewellery for example if it is of sentemental value.