IPA/IPO CAB calculator

sammie28

Slightly confused by what it said on the CAB IPA/IPO calculator!
The income was less than the expenses and it stated this -

'You may need to look at the income and expenditure figures you have entered as your outgoings are more than your income (not suitable for a Bankruptcy)

But further down it said ' As your disposable income is less than the O/R standard surplus allowance (£20) then no income order will apply.

How can having a shortfall everymonth mean that bankruptcy is not suitable?

A little worried now that we will turn up at court and they will not let us go BR.

immoral_angeluk

I didn't even know there WAS a CAB IPA/IPO calculator..

How much is your debt and income vs outgoings? Do you have any assets? The main things they will be looking for at court is A) whether you are insolvent and b) is a DRO or IVA more suited to you..

sammie28

It's on the North East Derbyshire CAB site.

Total debts £155,000. Which is my husbands mortgage shortfall after repo in 2010, £121,000. Car Hp which is £12,000 owing and worth approx £5,500. Then unsecured debts of £22,000. Monthly income £1,994.(Benefits) Monthly outgoings £3,000 (Approx £600 per month of that is debt payments)
Only real asset is hubbys car which is worth approx £1,500.

freddy911

Why not try the one the OR's use

https://forums.moneysavingexpert.com/discussion/1116295

Depth_Charge

sammie28 wrote: »

Slightly confused by what it said on the CAB IPA/IPO calculator!
The income was less than the expenses and it stated this -

'You may need to look at the income and expenditure figures you have entered as your outgoings are more than your income (not suitable for a Bankruptcy)

But further down it said ' As your disposable income is less than the O/R standard surplus allowance (£20) then no income order will apply.

How can having a shortfall everymonth mean that bankruptcy is not suitable?

A little worried now that we will turn up at court and they will not let us go BR.

Hi

It is basically telling you that putting outgoings as more than income on a bankruptcy petition would be showing that you would still be technically going into debt.

If your disposable income is deemed to be less than £20 per month then no income order would be sought due to the standard allowance as yours is, albeit being a minus disposable income figure.

Have you taken full advice on bankruptcy as these issues sould have been explained, it should not be anything to really worry about, but you do need to take full advice on bankruptcy and other options before deciding on any debt remedy.

Also the CAB calculator is only for guide & information purposes

Best wishes

Depth_Charge

immoral_angeluk wrote: »

I didn't even know there WAS a CAB IPA/IPO calculator..

How much is your debt and income vs outgoings? Do you have any assets? The main things they will be looking for at court is A) whether you are insolvent and b) is a DRO or IVA more suited to you..

Hi

Its here

http://mymoney.nedcab.org.uk/moneyadvice/ipaipo.asp

http://mymoney.nedcab.org.uk/moneyadvice/bankruptcypoc.asp

fermi

sammie28 wrote: »

How can having a shortfall everymonth mean that bankruptcy is not suitable?

Well, with very restricted access to credit under BR, how would you meet the shortfall?

It's basically telling you that if you go BR you will have to address the shortfall in your expenses. It would not be sustainable in most cases for you to go into BR with such a shortfall.

No calculator can account for everything.

sammie28

Thanks for your replies. The £3,000 per month expenses is as it is now but taking off the monthly debt payments we should pay and cutting back on expenses like food etc we should just about break even, or only have a small shortfall. We have been to see the CAB and they said BR was the best option. I might just give CCCS a ring and have a chat with them too.
Thanks again for all your help