my other half got into debt as he fell ill..

March2012

should he go bankrupt as it is additional stress. what are the benefits or disadvantages? the weird thing is if he had been a limited company he would not have had the same issues. any tips? thanks in advance. as these debts go back a couple or more years should he just wait few years and see if he gets better? we have been to citizens advice but one young canadian was telling him it is better to go bankrupt and he can depend on me. not sure if that is the best way either and not sure what he meant by depend on me! thanks everso.

Randvegeta

It really depends on the circumstances. Going bankrupt means your other-half would have to sell all their assets to cover as much of the debt as possible. If one has 0 assets and does not worry about living 5 years without any sort of credit, then hey it may very well be the way to go! Otherwise, it may cause more pain.. So it depends.

iquit

March2012, sorry to hear about your OH suffering poor health. The decision to go through with bankrupcy is usually a personal one. There are so many factors that you will need to take into account. An example being if you have any joint debt then the full amount becomes your burden when he goes br.
Please consider seeing another debt agency if you were not clear on what the CAB was advising. There are some very helpful links in the forum which would be very helpful for you and your OH:-
https://forums.moneysavingexpert.com/discussion/4271265
https://forums.moneysavingexpert.com/discussion/1056083

dojoman

Randvegeta wrote: »

It really depends on the circumstances. Going bankrupt means your other-half would have to sell all their assets to cover as much of the debt as possible. If one has 0 assets and does not worry about living 5 years without any sort of credit, then hey it may very well be the way to go! Otherwise, it may cause more pain.. So it depends.

Where did you come up with this advice? The only way a partner would become liable for their partners debts if they go BR, is if the debt was a joint one. I went BR nearly 4 years ago and have had a CC for 2 of those, so why infer that you cannot get credit for 5 years? Have a look at the links in iquits post, they are a good starting point.

March2012

only me the partner and i can eventually pay my bills fingers crossed!

Randvegeta wrote: »

It really depends on the circumstances. Going bankrupt means your other-half would have to sell all their assets to cover as much of the debt as possible. If one has 0 assets and does not worry about living 5 years without any sort of credit, then hey it may very well be the way to go! Otherwise, it may cause more pain.. So it depends.

zzzLazyDaisy

Sorry to hijack the thread, but can anyone tell me if tax arrears are also written off by bankruptcy? I know a self employed person who moved and didn't update HMRC or creditors with his new address - now he hasn't filed a tax return for years, and lives in fear of HMRC catching up with him as he has kept no records.

antrobus

zzzLazyDaisy wrote: »

Sorry to hijack the thread, but can anyone tell me if tax arrears are also written off by bankruptcy? I know a self employed person who moved and didn't update HMRC or creditors with his new address - now he hasn't filed a tax return for years, and lives in fear of HMRC catching up with him as he has kept no records.

Yes. In fact, a signifcant number of bankruptcies are initiated by HMRC.