Worse than I thought!

user55

I've pretty much got all my figures in for what owe now - been doing some evasive answers when asked if I'm planning on settling the account! Anyway, I had guesstimated around £40k of debt, and in fact it's nearer 50K. How does that even happen!!

I'm ploughing slowly and painfully through a mountain of unopened mail. Why do we think if we don't open the mail, it won't be there? I feel a bit stupid really!

ETA - alarmingly I actually still have several thousand pounds credit available to me across several credit cards. Anyone fancy a curry tonight? Only kidding, honest!

fermi

user55 wrote: »

I've pretty much got all my figures in for what owe now - been doing some evasive answers when asked if I'm planning on settling the account! Anyway, I had guesstimated around £40k of debt, and in fact it's nearer 50K. How does that even happen!!

Been there, and had that shock.

I'm ploughing slowly and painfully through a mountain of unopened mail. Why do we think if we don't open the mail, it won't be there? I feel a bit stupid really!

Been there and done that as well.

I don't think we're alone either!

Mike_St_Helens

user55 wrote: »

ETA - alarmingly I actually still have several thousand pounds credit available to me across several credit cards. Anyone fancy a curry tonight? Only kidding, honest!

You wouldnt be the first !!

Make sure that if there are any essential items that you need.. get them before the accounts are handed over. Only essential ones mind !

NekoZombie

Guess what my essentials were? A course of six bikini waxes at my beauticians

Still waiting to see if the OR will notice that one!

user55

NekoZombie wrote: »

Guess what my essentials were? A course of six bikini waxes at my beauticians

Still waiting to see if the OR will notice that one!

Well he can't reposess it can he :rotfl:

I'm on the horns of a dilemma actually. My husbands business is down the pan - his incomings aren't enough to cover the business overheads, he has people including HMRC chasing him for debt. So he wants to go back to the franchise he used to have (driving school) but they require an upfront payment of £300, for which they then deliver him a shiny new car and an appointment book of pupils.

But of course, the £300 would have to come off a credit card. Mine. And that's as well as the bankruptcy fee. Even I think it's dodgy, but it would be to enable him to make a living and hopefully even enough of one that he might be able to contribute a bit to the household pot.

And another thing, I'm !!!! scared of not paying any of my debts, because 2 of the largest ones are owed to the bank I have my current account with. I'm scared they will just help themselves, leaving me unable to pay rent and utilities etc. But if I open a new bank account, the OR will freeze that one too.

!!!!, why can't I win the lottery, right NOW!

allofadither

User55....you can open a new basic account with another bank now, move your essential DD's etc to it, and if you tell the OR it's a basic one they usually ask the bank not to freeze it. The OR understands you have to maintain those essential living expenses. That's what I did and I had no problems. Personally I would get the basic account up and running asap, but's that's just my personal opinion.

fermi

allofadither wrote: »

User55....you can open a new basic account with another bank now, move your essential DD's etc to it, and if you tell the OR it's a basic one they usually ask the bank not to freeze it. The OR understands you have to maintain those essential living expenses. That's what I did and I had no problems. Personally I would get the basic account up and running asap, but's that's just my personal opinion.

I agree with this, but with a note of caution.

In 99% of cases, the OR will agree to write to the bank stating that they are happy for the account to remain open and used by the bankrupt.

And, in the vast majority of cases the banks agree to this. Both in advance, and post BR. However, I have seen enough accounts of people having their accounts shut by the bank despite all this, to say that there is no guarantee. That is why most of the formal advice you can find strongly advises opening your account post BR.

See this post:

http://forums.moneysavingexpert.com/showthread.html?t=449923

Mike_St_Helens

User55 - Can you not withdraw the cash for a 'freezer' ?

user55

I don't think I'll have time, the 2 SO's for the bank loans go out almost as soon as I have been paid, and I can only withdraw £300 a day. I might able to grab enough for the rent, which inconveniently goes out 5 days *before* pay day, but not enough for living on.

Wonder if it's a convenient "28th is a Sunday so you get paid early" month. Just looked. No it's blooming not!

Ignore me, my head's whizzing in all directions just now, I'll probably feel steadier later today after my appointments.

wherediditallgo

I agree with Fermi - be very careful about opening new accounts before going BR, as every bank account has to be disclosed on the SOA & there's no guarantee you'll get to keep it. My bank (Alliance Leicester) was one of those that froze my basic account at close of business on the day they heard I was going BR, & subsequently closed it. This was a bank I didn't owe a penny to. I couldn't even check my account online to see what had or hadn't been paid, & I had to argue to get my last statement from them. :mad: If I hadn't had the foresight to spend/remove virtually every penny before telling them, I'd have been well & truly stuffed, because they said they couldn't release any funds from the account until they heard in writing from the OR & it was their policy anyway to close accounts of any customers who go BR. I asked the OR to send a "No Objection" letter by fax to the bank (the letter that says the OR has no objection to you being able to use the account) but it didn't make any diference, because the OR can't make the bank keep the accounts open if their policy is to shut them - all the OR can do is say they have no objection to you being able to use the account.

The way I got round it was to withdraw loads of cash in the last few days before going BR (including on the day of my hearing) to cover bills that would normally have been paid by the direct debits, the day-to-day living expenses etc. I then paid those in cash at the post office or over the counter at another bank, & kept the rest of the cash at home until after my hearing, whereupon I opened the Co-op Cashminder account. I then arranged for my salary to be paid into it. I know it's a hassle waiting for the new account to be sorted out, but I honestly think you're better off having the cash at home or arranging for your bills to be paid through a friend/relative's account & then sorting out the new account after you're BR.

When I spoke to the OR about my IPA at the end of April, he asked if I had access to banking facilities, but that was the first time it had been mentioned since just after my hearing date almost a month earlier when I asked for the "No Objection" letter to be done, so I really wouldn't depend on whatever the OR says/does to keep the account. I've since found out that the account had only about £10 odd left in it by the time they closed it (I felt like a cartoon robber emptying the account of cash, plus I bought my new laptop just hours before the hearing ), so when I return the IPA form later today I'm going to ask the OR to ask the bank to release that money either to him or to me, because it certainly doesn't belong to the bank (I'll enclose a copy of my last statement to prove the balance).

Save yourself the aggro & get the cash out while you can - at least you'll have control of it. If there's one thing going BR has taught me, it's to keep control of my money in my hands & my hands only.

Mike_St_Helens

wherediditallgo wrote: »

I agree with Fermi - be very careful about opening new accounts before going BR, as every bank account has to be disclosed on the SOA & there's no guarantee you'll get to keep it. My bank (Alliance Leicester) was one of those that froze my basic account at close of business on the day they heard I was going BR, & subsequently closed it. This was a bank I didn't owe a penny to. I couldn't even check my account online to see what had or hadn't been paid, & I had to argue to get my last statement from them. :mad: If I hadn't had the foresight to spend/remove virtually every penny before telling them, I'd have been well & truly stuffed, because they said they couldn't release any funds from the account until they heard in writing from the OR & it was their policy anyway to close accounts of any customers who go BR. I asked the OR to send a "No Objection" letter by fax to the bank (the letter that says the OR has no objection to you being able to use the account) but it didn't make any diference, because the OR can't make the bank keep the accounts open if their policy is to shut them - all the OR can do is say they have no objection to you being able to use the account.

The way I got round it was to withdraw loads of cash in the last few days before going BR (including on the day of my hearing) to cover bills that would normally have been paid by the direct debits, the day-to-day living expenses etc. I then paid those in cash at the post office or over the counter at another bank, & kept the rest of the cash at home until after my hearing, whereupon I opened the Co-op Cashminder account. I then arranged for my salary to be paid into it. I know it's a hassle waiting for the new account to be sorted out, but I honestly think you're better off having the cash at home or arranging for your bills to be paid through a friend/relative's account & then sorting out the new account after you're BR.

When I spoke to the OR about my IPA at the end of April, he asked if I had access to banking facilities, but that was the first time it had been mentioned since just after my hearing date almost a month earlier when I asked for the "No Objection" letter to be done, so I really wouldn't depend on whatever the OR says/does to keep the account. I've since found out that the account had only about £10 odd left in it by the time they closed it (I felt like a cartoon robber emptying the account of cash, plus I bought my new laptop just hours before the hearing ), so when I return the IPA form later today I'm going to ask the OR to ask the bank to release that money either to him or to me, because it certainly doesn't belong to the bank (I'll enclose a copy of my last statement to prove the balance).

Save yourself the aggro & get the cash out while you can - at least you'll have control of it. If there's one thing going BR has taught me, it's to keep control of my money in my hands & my hands only.

Sound advice wdiag ! :T