Ask a StepChange (formerly CCCS) counsellor a bankruptcy question

Suem

Hi there,

I have been discharged since 11th Nov 2011 and have acquired an 'excellent' credit rating in my report but I am assuming most banks will still not look at me favourably due to my defaulted accounts. Is there anyway of knowing which ones will consider an ex-bankrupt before I apply? because as soon as I do the searches alone will drop my score.

Thank you for your help

Kind regards

tigerfeet2006

Suem wrote: »

Hi there,

I have been discharged since 11th Nov 2011 and have acquired an 'excellent' credit rating in my report but I am assuming most banks will still not look at me favourably due to my defaulted accounts. Is there anyway of knowing which ones will consider an ex-bankrupt before I apply? because as soon as I do the searches alone will drop my score.

Thank you for your help

Kind regards

Do the credit file clean up as per the sticky.
http://forums.moneysavingexpert.com/showthread.php?t=677875
Any questions ask on the main board as there are a lot of people who are experianced in doing it.

Then when you have done that you need to look at Vanquis or Cap One cards.

suprdukc

Hi there I am considering going bankrupt, have sought advice from cab, I am unsure though how my partners income is taken into account. Whilst we split household and child costs equally we do not share finances otherwise and it is my own personal debt that I am struggling with. For years now I have been relying on an overdraft and credit cards to pay bills and living expenses and it's just getting to be too much now, especially since having a baby this year as I will most likely be going from full time hours to part time when I eventually return to work. I will be applying on my own if I do file for bankruptcy but will the leftover income my partner brings home be seen as available money to pay towards my debts...this will not be the case as it is his money not mine to use. He is also self employed so his income is not always consistent as he doesn't actually have a wage/salary.

Former_StepChange_Rachel

Suem wrote: »

Hi there,

I have been discharged since 11th Nov 2011 and have acquired an 'excellent' credit rating in my report but I am assuming most banks will still not look at me favourably due to my defaulted accounts. Is there anyway of knowing which ones will consider an ex-bankrupt before I apply? because as soon as I do the searches alone will drop my score.

Thank you for your help

Kind regards

Hi there,

It's hard to say which banks are more likely to approve a credit card for you as some have stricter criteria than others. While your credit report is scored as excellent, your bankruptcy will still be visible on your credit file 6 years from the day you officially went bankrupt.

This great guide on credit cards by MSE goes into detail further if you'd like to take a look: http://www.moneysavingexpert.com/credit-cards/bad-credit-credit-cards

Hope this helps

Best regards

Rachel

StepChange_James

suprdukc wrote: »

Hi there I am considering going bankrupt, have sought advice from cab, I am unsure though how my partners income is taken into account. Whilst we split household and child costs equally we do not share finances otherwise and it is my own personal debt that I am struggling with. For years now I have been relying on an overdraft and credit cards to pay bills and living expenses and it's just getting to be too much now, especially since having a baby this year as I will most likely be going from full time hours to part time when I eventually return to work. I will be applying on my own if I do file for bankruptcy but will the leftover income my partner brings home be seen as available money to pay towards my debts...this will not be the case as it is his money not mine to use. He is also self employed so his income is not always consistent as he doesn't actually have a wage/salary.

Hello,

Your partner's left over income shouldn't be a factor in your bankruptcy. This might not be the case if you were in a situation where you were paying more than your fair share of the household bills, as the Official Reciever would expect bills to be divided fairly.

If anything, it sounds like your partner will be supporting you financially rather than the other way around, so I can't see this being an issue.

If you'd like a second opinion on bankruptcy you're welcome to get in touch with us here at StepChange Debt Charity. You can give us a call and get advice over the phone or use our online advice tool. Either way you'll find links in my signature below.

Kind regards

James

StepChange_Private_Messages

paulmac. wrote: »

Hi Jess,

Thanks for the reply, just thought I would let you know I phoned AIB and was informed that I was discharged in June and there are no BRO/BRU's, seems I was doing a whole lot of worrying for nothing.

Thanks for your help
Paul

Hi Paul,

That's good to hear - glad I could help.

Take care,
Jess

jon1968_2

I currently have 3 credit card debts totalling £23k approx. I may also have a tax bill to pay made up of VAT and income tax of £5 - £6k. If this is the case are HM revenue likely to make me bankrupt.

My wife and I are separated and we have 2 young children living with her. She is living with family as renting and bills would be too expensive with her.

She also has our car which is half way through an HP agreement, which would be about £3.5k to pay off. The car and debts are in my name. As she needs the car is it likely it will be taken in bankruptcy? We have no assets, apart from furniture and household electricals etc.

If i did a DMP my monthly payments are likely to be £500 - £600 month. Can you let me know my best options please.


Many thanks
Jon

System

jon1968 wrote: »

I currently have 3 credit card debts totalling £23k approx. I may also have a tax bill to pay made up of VAT and income tax of £5 - £6k. If this is the case are HM revenue likely to make me bankrupt.

My wife and I are separated and we have 2 young children living with her. She is living with family as renting and bills would be too expensive with her.

She also has our car which is half way through an HP agreement, which would be about £3.5k to pay off. The car and debts are in my name. As she needs the car is it likely it will be taken in bankruptcy? We have no assets, apart from furniture and household electricals etc.

If i did a DMP my monthly payments are likely to be £500 - £600 month. Can you let me know my best options please.


Many thanks
Jon

Hi Jon and welcome to the forum.

It sounds like you would benefit from some free and impartial advice.

We’d need a little bit more advice on your full situation before we could tell you the best debt solution for you.

I’d recommend that you gather details of your income and expenditure and use our online debt advice tool Debt Remedy http://www.stepchange.org/Debtremedy.aspx?hp=400

Debt Remedy is confidential and will advise you on the best solution based on your circumstances. You’ll be given a detailed plan on the best way forward once you’ve completed.
Alternatively you can give us a call.

If bankruptcy is the best solution for you we do have a dedicated bankruptcy advice team that can assist you.

I hope this helps.

Kind regards,

Mat

Thingsarelookingup

Hi,

New to the site so please forgive me if this should be posted elsewhere....

Me and the wife went bankrupt on 17/10/13 and I've a couple of questions...

Firstly, we owed money to barclaycard... If I set up a new basic bank account with barclays (if accepted) can they set off what was owed to bc from the new account (sure they can't because debt is pre-br but want reassurance:money:)

Secondly, we had our telephone interview with the or (or their clerk) who was really nice and seemed happy with the justification of our expenditure on soa (where only a few pounds was left as disposable) she said i will get put on zero tax but other than this I deduced that an ipa was unlikely - is it likely this will be confirmed in the paperwork to follow or is it common for the or to further scrutinise the figures (I assume any areas they were unhappy with they would've covered in the call).


Appreciate all circumstances are different and it's hard to call without all the details being posted, but at this point I was wondering what the general consensus is.

Also final point, we have a car on hp, essential for work, with little equity. The or clerk suggested car essential and little point in forcing repo/sale. They are going to write to black horse - could bh still force repo if we carry on the payments? From the terms of the hp agreement I can only see they have cause to repo if we don't maintain payments.

Thanks in advance for any advice :j

browndog1

Hi All,

Im new to this site but would like a bit of adviceplease.

My husband (estranged, but still lives with me due to hisillness) was declared bankrupt in Sept 2012. He ran his own business and I wasemployed by his business. We had a property together which we both paid themortgage jointly but when we split up in June 2011 he signed the house over tome as I had put over £60k into his business and he had been quite reckless withmoney over the course of our marriage, so since we split (but not divorced) theproperty has been in my name and I have paid the mortgage in my name. (Propertyworth £125k, mortgage left was £16k in 2011)

He has recently applied for a Certificate of dischargewhich there seems to be no problem with (OR has not tried to put a BRO order onhim) but out of the blue I have had a letter from the Bankruptcy Trustee sayingthat the property was transferred at an under value and I am to repay the Trustee(my husbands estate) £125k – 16k mortgage = £54.5k. I have written back to sayover the course of the business I personally put in / given to my husband exceedingly more than £54k of my own money andthis is why my husband his share of the house to me (all of which can besubstainated because it was done via internet banking). I am still payingcredit cards off in my name which have his business debts on. I have checkedwith Land Reg and no charge or claim has been put on my home.

Can you please give me a bit of advice – letter come outof the blue after he has been discharged and I am not sure what to do, I’mworried I’m going to lose my home.

Thanks