Bankruptcy question

niccipoop

Hi,
This forum has been really helpful to me so far. I have a question about bankruptcy.
I am involved in a claim against my previous employer through a disability discrimination and injury claim.
I had to leave my job and now unfortunately cannot sustain my debts and am facing bankruptcy. If I am awarded any money - will it go into my bankruptcy?
Many thanks x

macbabypam

As far as I'm aware if you filed for BR after you received claim money the OR would have expected you to have paid money off your existing debts. If you recieved money after you were BR then this would be classed as an asset and would be taken from you. It would also be expected that you disclosed this potential claim to the OR at your initial interview.

I believe you are only allowed to keep benefit money so it would really depend on what your total earnings/ income is. Try posting an SOA for the experts to have a look at if you think it will help.

I'm sure the experts on this board will correct me if I'm wrong

niccipoop

Thanks for this, there is also an injury claim going along with it, do you think I could keep some of this?

longtermplanner

Have you discussed with your solicitor what sums of money could possibly be awarded to you if you win either the disability case or the injury claim?

If these are significant, then going bankrupt not is not a sensible option. It would be better to delay until the outcome of the case(s) are known. At that point you may be able to use the award to settle more of your debts through a full and final settlement.

At the moment, if you cannot afford any debt repayments, then you need to offer all your creditors a token £1 a month payment.