LILA ..need a lot of help and advice.

Janey51

I have been reading the LILA application forms and covering notes. I see I need to supply a Statutary Demand Notice. I know I can ask the CAB on Monday but would be good to get an answer earlier to stop me worrying.
I don't have a SD notice as I was defaulted so long ago and neither do CCCS.
I do have a Notice of Default for 2 of my debts and also letters from original creditors telling me they were passing to Debt Collectors.
Will those be enough do you think?

Katief07

take the most recent letters etc you have for each debt, if it has been passed on to a debt collection company its their details you need for the BR forms. I did not have notice of default letters from any of my creditors when completing paper work only whatever was the most recent letter/statement from them.

coolcait

You don't need a Statutory Demand if you can show that you meet the LILA (Low Income Low Asset) part.

For LILA, you would send in evidence of your income - for example wages slips, bank statements, persion award letter etc.

You also have to tick the boxes which confirm that you don't have any individual asset worth more than 1000 pounds, and that the total value of your non-essential assets is less than 10,000 pounds. The form has a list of 'essential items' which pretty much covers all of the usual household furnishings and belongings.

Is only if you don't meet the LILA criteria, that you have to start wondering about a Statutory Demand.

To be honest, if you can't go bankrupt under LILA, then I'd suggest that you get a certificate for sequestration (your money adviser might be able to issue one), and apply using that.

The letters you're talking about don't sound like a Statutory Demand - it's a very specific kind of legal document.

hope this helps.

Janey51

I have just had a thought. In fact all I have been thinking about for weeks now is the bankruptcy.
As my car is worth over £1000, does that mean I can't go down the LILA route?
So would that mean I have to get a Certificate of Sequestration?
I wish my brain would switch off.
I have written what looks like a novel explaining how I got to this state. Is it worth putting it here so you can comment?
I know I want people to be honest but I just don't think I could deal with anyone who criticises me any more than I am blaming myself.

coolcait

You can still apply for bankruptcy under LILA if you have a vehicle worth up to 3000 pounds, whcih you reasonably require.

As for the reasons why you got to where you are now - will you feel better for sharing them?

TBH, if you're going to be nervous, or stressed, or upset about putting your story on here, why put yourself through that, on top of everything else you've been through?

If the AiB want to know more about the reasons why you became bankrupt, they will ask - after you are made bankrupt. If you do go bankrupt under LILA, they may not even interview you.

So, time enough to cross that bridge when you come to it.

Janey51

You are aptly named coolcait :A

I am still shocked at how, in 5 yrs, I have gone from being a professional responsible for managing a busy hospital dept and over 30 staff to a little mouse who wants to shut the curtains and cuddle her dog.

yesican

coolcait wrote: »

If the AiB want to know more about the reasons why you became bankrupt, they will ask - after you are made bankrupt. If you do go bankrupt under LILA, they may not even interview you.

Just need to point out that i went through the LILA route and i was still interviewed over the phone.

All the best.

roougers

Hi Janey,

I cant really help you too much with specific details, I am sure that there are many others that will help you with those, I just wanted to tell you that my experience of the LILA bankruptcy route.

I entered via the LILA route almost 6 months ago. Like you a tried a DMP but it just wasnt working out, I work in social care and am studying part time after totally changing career in 2009 after redundancy. I was coping with the DMP, but then I was hit with a big rise in the cost of my season ticket and a rent increase so I really didnt have much option, my debts were £25k + and I had one very large creditor who refused the first option of a trust deed.

Like you I had a relatively decent managerial job (in Finance) on £60k PA, so we could say it happens to the best of us, so I know where you are coming from.

Anyway I found AIB very straightforward to deal with, I had to get my car independantly valued, which was the only worry, but the guy who did it seemed to know the score and took it in under the threshold. I've had very little trouble from my creditors other than 1 debt recovery agent who came to my door to try to get me to agree to settle a £12k loan for £750!!

Cutting a long story short its the best thing I have ever done, no more silly phone calls, no more letters (although they have taken a while to stop) and like you, I didnt set out to rack up debts with the intention of not paying them back. I got the impression that the AIB folks realised that and were generally helpful.

My local CAB were also outstanding.

I wish you all the best, and if there is any question you think I can answer then just let me know!

Janey51

roougers thank you so much.
Today I have my first appointment with the local CAB where I think I am seeing someone who will make sure I have all the info I need. It is an hour drive to the office and I am so so nervous.
I have told a few people but only those I trust 100%.
I started moving direct debits to my Cashminder account last week in preparation for the closure of my main account at a local Building Society.
I did sleep ok but had bad dreams so I look like a wreck this morning.
I hope my brain doesn't freeze and I don't get too emotional.
Wish me luck.

mynumber

Good luck Janey, I delt with my local C A B. The guy that looked after me was absolutely great, calming, honest and on hand if i needed to ask something once id left. Hope you have the same support

K X