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Bankruptcy and Mobile Phone Contracts

aivisi07
aivisi07 Posts: 1 Newbie
in Bankruptcy & living with it
Hi There.

I am just about to file for my own bankruptcy but i took out a mobile phone contract with O2 just less than a month ago for a 12 month contract.

I will have to cancel this contract but what will happen? will ihave to pay them anything? i hcant pay them so then what will happen?

can i expect to see bailiffs?

Thanks

Comments

  • CCCS_Matthew
    CCCS_Matthew Posts: 922 Organisation Representative
    Part of the Furniture Combo Breaker
    Hi there,

    Are you hoping to keep the contract on a monthly basis once you've gone bankrupt? In most cases the official reciever would allow you to maintain a mobile contract during your bankrutpcy.

    If you however feel that you cannot afford the contract then the best thing to do is to explain to O2 you wish to end the contract which will result them in billing you with the outstanding months in the contract that you have yet to pay. You could then add that debt into your bankruptcy.

    There is no need to worry about baliffs as no creditors have the legal power to send baliffs.

    Hope this helps
    CCCS
    I am a Debt Counsellor that works for the CCCS and have specific permission from Martin, to post on these boards to try and help those in debt. Read more information on the CCCS and what it does in the Debt Problems: What to do and where to get help article.

    CCCS is a registered charity, and there is no charge whatsoever for any of the services we provide to our clients. We take great pride in offering first class help and advice, but we only offer this where we have been able to fully explore and understand your circumstances with you. We want to help you understand these choices and their possible implications but not make them for you.
  • NekoZombie
    NekoZombie Posts: 1,664 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    From another point of view, bear in mind that this is an expense you may be able to afford once you no longer have expensive credit to service. A contract mobile phone could be a good way to rebuild your credit post discharge, and they are very difficult to get post bankruptcy so consider very carefully if it is something you want to include in your petition.
    BCSC Member 70:j
    .
  • rog2
    rog2 Posts: 11,650 Forumite
    10,000 Posts Combo Breaker
    I would try talking to O2 - you can always change to PAYG, but my own experience was that O2 want to keep you as a contract customer. In my case I was offered a new contract, with 100 free minutes, for £7.50 a month - in addition they credited my account with a 'loyalty' bonus of £75. I have only just (yesterday) started to pay them as my account has been in credit since last October.
    I am NOT, nor do I profess to be, a Qualified Debt Adviser. I have made MANY mistakes and have OFTEN been the unwitting victim of the the shamefull tactics of the Financial Industry.
    If any of my experiences, or the knowledge that I have gained from those experiences, can help anyone who finds themselves in similar circumstances, then my experiences have not been in vain.

    HMRC Bankruptcy Statistic - 26th October 2006 - 23rd April 2007 BCSC Member No. 7

    DFW Nerd # 166 PROUD TO BE DEALING WITH MY DEBTS
  • Conor_3
    Conor_3 Posts: 6,944 Forumite
    I had no problem keeping my contract through BR.
This discussion has been closed.
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