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Lila? Scotland help

de_li
Posts: 12 Forumite
Hi I am looking for some one to advise in regard to going bankrupt in scotland I have spoken to national debt helpline scotland, cab and an insolvency practitioner but still really confused.
my situation is this i cannot afford to pay my debts, my house has already been repossed last year or year before cant quite remember. have had a child within last few years and have put all my attention on them. I am single parent. I work part time but contract ends in july as the company are just up in this area to carry our specific works.
I should have applied for br in 2010. but found out i was pregnant and just never got round too it. last couple of years have been hard trying to provide for my dd and finding employment etc as had to leave my job due to working hrs / childcare and they wouldnt come n go.
anyway sorry for rambling what i need to know is... I have received a letter to attend or reply to court as 1 of my creditors is taking me to court. I do not have the fees at present to apply for br.
i am to reply to court by 7th feb and to appear on 17th if required. q. will i still have to attend even if i let court know i am applying for br. I will have the fees by end of feb. or should i try and get fees prior.
cab has advised that arrestment of wages will go ahead prior to br . I only earn £166 per week. cab advised £51 of this would be taken from my wages. i advised if this happened i wouldnt be able to attend work. he said wouldnt matter would still go ahead.
ndls - advisor advised i should ring the court and explain I am applying for banruptcy and will have the fees by end of feb and they would suspend the court action.
can you advise what is correct?
insolvency practiotioner advised to me to ask my creditors to make me bankrupt. would they?
I have 10 creditors - the creditor taken me to court is arrow global for cc debt of £700 .
my biggest creditor is northern rock - shortfall etc from house and ge money who i had a second mortgage with on the property that was repossed.
also I have tax credit debt - due to hmrc not calculatiing info given to them at the time which a proportion comes off my tax credits every week. can this debt be included in the br? ( dont believe it could be as it hmrc) ?
I have read aib website etc but still very confused on what to do as i need to send the paperwork back to court asap.
much help would be greatly appreciated i am not sleeping for worrying but know its time i faced up to things and got it sorted out.
my situation is this i cannot afford to pay my debts, my house has already been repossed last year or year before cant quite remember. have had a child within last few years and have put all my attention on them. I am single parent. I work part time but contract ends in july as the company are just up in this area to carry our specific works.
I should have applied for br in 2010. but found out i was pregnant and just never got round too it. last couple of years have been hard trying to provide for my dd and finding employment etc as had to leave my job due to working hrs / childcare and they wouldnt come n go.
anyway sorry for rambling what i need to know is... I have received a letter to attend or reply to court as 1 of my creditors is taking me to court. I do not have the fees at present to apply for br.
i am to reply to court by 7th feb and to appear on 17th if required. q. will i still have to attend even if i let court know i am applying for br. I will have the fees by end of feb. or should i try and get fees prior.
cab has advised that arrestment of wages will go ahead prior to br . I only earn £166 per week. cab advised £51 of this would be taken from my wages. i advised if this happened i wouldnt be able to attend work. he said wouldnt matter would still go ahead.
ndls - advisor advised i should ring the court and explain I am applying for banruptcy and will have the fees by end of feb and they would suspend the court action.
can you advise what is correct?
insolvency practiotioner advised to me to ask my creditors to make me bankrupt. would they?
I have 10 creditors - the creditor taken me to court is arrow global for cc debt of £700 .
my biggest creditor is northern rock - shortfall etc from house and ge money who i had a second mortgage with on the property that was repossed.
also I have tax credit debt - due to hmrc not calculatiing info given to them at the time which a proportion comes off my tax credits every week. can this debt be included in the br? ( dont believe it could be as it hmrc) ?
I have read aib website etc but still very confused on what to do as i need to send the paperwork back to court asap.
much help would be greatly appreciated i am not sleeping for worrying but know its time i faced up to things and got it sorted out.
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Comments
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I am not surprised that you are confused with all the conflicting information!
Have you tried a Money advisor at your local council as you may find them a bit more helpful.
1st you should download the debtor application pack from http://www.aib.gov.uk/publications/debtor-application-pack-0
There is guidance notes but if you need help to complete the form try a council money advisor. You will need £200 and there is no need to wait for legal action to be taken against you, this is very old information you have been given!
You can post the form to the AIB or attend their offices in person - you can make the payment over the phone or send a cheque or postal order with your application.
I suggest the sooner you do it the better to avoid those court proceedings, is the court hearing for a decree, a charge for money or for a wage arrestment?0 -
Hi de_li
I'm sorry to hear that you feel confused by the info you have received from various sources, including us. Let me see if we can simplify things a little.
It isn't 100% clear to me what stage the court action is at, so I have the same question as anondebtadvisor above.
For a wage arrestment to kick in (as CAB have suggested will happen), Arrow must first of all have obtained a decree against you, then obtained a charge for payment, then sent you a Debt Advice information pack at least 12 weeks before serving the wage arrestment. If they haven't already done all three of those things by now, I doubt that they will be able to move quickly enough to set up a wage arrestment before you go BR.
If the court paperwork you have is simply a small claim summons ("small claims" being anything up to £3K), then Arrow are only at the start of the court process and I don't see how they'd be able top do anything to enforce the debt against you in time.
On a separate note, you ask whether your tax credit debt can be included in your BR. The answer is yes.
If you can check back in and tell us a bit more about those court papers it will be really useful.
Regards
Dennis @NDLWe work as money advisers for National Debtline and have specific permission from MSE to post to try to help those in debt. Read more information on National Debtline in MSE's Debt Problems: What to do and where to get help guide. If you find you're struggling with debt and need further help try our online advice tool My Money Steps0 -
hello,
thank you both for the replies, i will download the pack asap. I am hoping to have the br money of £200 by end of feb which will be past the court date if i can get hands on before then would be good. money advisor at the local council is cab/ or carf as they are known here. who had advised me that my wages would be arrested.
Dennis it is a small claims summons i have received, which i have to either complete with a soa and send back to court and agree debt is mine by 7th feb or attend court on 17th of feb.
I am not sure of difference but it does state can be an arrestment of wages or agree a payment.
goods news i can include hrmc i really didn't believe i could.
.0 -
Remember (almost) all debt you owe will be included in BR, this includes tax credits, gas, electricity, council tax etc
Student loans are usually not included.
You could use money from council tax towards BR costs, but it may be more beneficial to let Arrow make you BR
Most important is to take advice- your local council should have a debt advice / welfare rights contact0 -
thank you. i will contact them again but didnt find them helpful 1st time round.
this may be a silly question but re: the court letter do i just complete agreeing its my debt and offer a token payment until i get br money together?0
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