Lila in scotland

tictaktoe

I have the 200 pounds from my family and ive wanted to go through the LILA process for the last 3 years.My problem is aim disabled on mental health grounds and this is really hurting me.None of the creditors will take things to the next stage of any court action or notice of intention i think its called.This would allow me to start the process.I feel that i am being harrased by the creditors as i have asked to be taken to court and they seem not interested.The debts have been sold on three or for four times.They are substantial at over 40,000 and i have no assets having been through the homeless to get my flat.What do the BR accountant do with benefit money,and is there any way i can petition the courts on health grounds to do away with a concurring creditor in favour of my health problems.Is there a letter i can use to let the creditors know im ill with no hope of paying any money and have a condition very similar to Bipolar with a few other things.Fighting these people with a full deck of cards is one thing but im totally scared and frightened the doowill go. Tictaktoe

longtermplanner

I suggest you call National Debtline. See their Scottish site: http://www.nationaldebtline.co.uk/scotland/

wildheart83

Hi Tictaktoe - first things first, don't worry, you're not the first person to go down this route and you certainly won't be the last.

Have you read the info on the AIB site? Mainly this page - http://www.aib.gov.uk/services/debtor-conditions

If you are solely on benefits and cannot prove insolvency then LILA is the route for you.

Please don't stress as it's probably counterproductive to your condition, rememeber, it's just a formality, nothing bad and you'll come out the other side a stronger person. good luck x

Anondebtadvisor

To apply for LILA you do not need to wait for legal action to commence.

You have low income and low assets (LILA) - this is a route into bankruptcy for people who cannot prove apparent insolvency or get creditor concurrence.
Low Income Low Assset route to bankruptcy

LILA is the route into bankruptcy for people who have low income and low assets.
Low income means gross weekly income of no more than the standard national minimum wage for a forty hour working week. This is equivalent to £247.60 a week. Any pensions or maintenance payments that you receive are also counted in with your income.

If you receive income support, income-based jobseekers' allowance or working tax credits you will be treated as meeting the low income test, even if your actual income is more than £247.60 a week.
When calculating your income no account will be taken of other social security benefits or tax credits you receive or any income paid to another member of your family. However, your income, pensions, maintenance payments, benefits, tax credits and the income of other family members may be taken into account when considering whether you should pay a contribution while you are bankrupt.
Low asset means that you have no single asset worth more than £1,000 and your total assets are not worth more than £10,000. In addition, it means that you must not own or jointly own a house or any other property or land.

National_Debtline

Hello there, as the others have mentioned it appears that you may meet the LILA requirements - which means that you wouldn't need ot prove apparent insolvency. You can start the ball rolling by calling the Accountant in Bankruptcy on 0300 200 2600.

Best wishes,

David @ NDL.

coolcait

Hiya tiktaktoe

There's lots of good advice already from the others. I'll just add a few things.

Have you been to talk to anyone about your debts, and wanting to go bankrupt? If you're in Kilmarnock, the CAB in John Dickie Street will be able to talk things over with you, and can probably help you put in the bankruptcy application.

East Ayrshire Council don't seem to have a general "Welfare Rights" team, but their website does say that people who use Social Work Services may be able to get access to debt services. It might be worth trying them too, if you do happen to be using Social Work Services.

You don't need a concurring creditor anymore.

Apart from LILA and Apparent Insolvency, nowadays you can also apply for your bankruptcy using a Certificate for Sequestration. If you go to CAB, they might be able to issue one for you.

And don't worry about going to court - you post your application to the Accountant in Bankruptcy, and they deal with it. If they've got any questions, they'll just phone you or write to you.

But, it really is best to go to CAB or the Council to get some support and advice in dealing with this - and get them to check over the application before you send it in.

Good luck!