Banking advice

G192

Hi
I know there are several posts about bank accounts for bankruptcy but this one is just a little different.
As a married couple, we have a Barclays cash account. On Monday I will be starting the process of bankruptcy for myself but included with this will be a Barclays loan. I am adviced this will probably mean they will close the account.
Would it be sensible for my wife to open an alternative account with another bank account in just her name and have all the direct debit etc transferred?
I am currently been looked after by the local citizens advice bureau in this matter. It seems the time to get a court appearance is only 2 weeks but I know it could take time for the banks to arrange transfer of the account. I would like to start these banking arrangements on Monday if anyone could advise me if this is a good idea. I'm posting this here because the timescale won't allow the CAB to answer my query. It was kind of an afterthought!
I look forward to any thoughts on this.
Geoff

alastairq

Firstly, welcome.

Just because you have made an appointment with the Court, doesn't mean you have to keep it! [They probably would be quite pleased if you didn't.]

One cannot 'pre-book' a Bankruptcy.....it will only happen, at the hour, on the day.

The 'booking' systems at large courts are simply a way of managing the Court's time, for the various types of petition being heard [Bankruptcy, Divorce, etc etc]

You firstly need to get your 'house in order' before you consider booking a date in Court...[there is no rush, unless you own a property on which you think an unsecured creditor may try to place a Charge?].....close the joint account.

This will disassociate your wife from the future financial issues.

Bearing in mind you have personally decided to petition for BR, you have a choice as to which banks to open accounts with, a choice of two.

Co-op, or Barclays.

To open Co-op Cashminder accounts, you need to do this immediately.

Do not mention the possibility of BAnkruptcy at all to them.

Co-op will not open CAshminder accounts to an Undischarged BR

With Co-op, you will retain internet access whilst Undischarged BR.

Barclays, on the other hand, will open a basic account or two, once an Undischarged BR...but withdraw internet access for that period .

It is a good idea for your wife to open any sort of bank account with another bank, for herself.

However, if she goes for a Co-op Cashminder account [no charges]...then it would be easier for you to transfer funds to & from both accounts, [online]...

Once your accounts are up & running [best to stay away from BArclays for the moment, perhaps?]....and all DDs transferred, then..think about booking your hour in Court!

G192

Wow I never expected such a quick reply! Thank you so much.
I had not really explained my situation so I will quickly summarise.
Most of our debts are solely in my name, not my wife's. The CAB have all the details and paperwork and are starting the process on Monday and their estimation is that the date of bankruptcy will be roughly 2 weeks although they think it may possibly be a couple of days sooner going by someone else they have recently helped. I have the money ready and safe for the day. We just didn't think about the bank account because it was already a suitable one for bankruptcy. It was just because one of my debtors was a Barclays loan that made me think and did a little Internet research that suggested that the account may not be safe after all. If my wife opens another bank account, the thought is that our bills will still get paid, wages still get paid in and at least that side of things can carry on as normal except the fact I won't have personal access to the account, which although would be a nuisance, is still workable.
That perhaps explains a little better than I originally posted.
I am impressed with the speed of reply.
Thank you

alastairq

The CAB have all the details and paperwork and are starting the process on Monday and their estimation is that the date of bankruptcy will be roughly 2 weeks although they think it may possibly be a couple of days sooner going by someone else they have recently helped

Exactly what are CAB doing?

Are they taking you through the two bits of paperwork?

Bankruptcy, as I said, isn't something one can pre-book.

The build up to BR lies in the preparation of bank accounts, etc...and the completion of the forms.

The forms don't go to anybody prior to the day in Court..they are taken by the petitioner themselves, and handed to the Court admin clerks , who check them over for mistakes.

Some Courts [due to how busy they can be] have an appointment system...other Courts will simply say, turn up on the day.

It is important for you to realise, there is no rush for the petition.....once the decision to go down the BR route is arrived at, then the time factor is irrelevant...do everything you need to do first.....and then, however long it is down the road, go and make the petition.

The problem with Bankruptcy is, once the petition is granted, some doors are closed , and others are more difficult to negotiate....so prior preparation is vitally important.

owlet

As Alistairq has said, there are good reasons why you AND you wife should open individual co op accounts before BR. It will make your lives so much easier and you can transfer funds between you very easily.

Don't tell the co op you are considering BR though. Just say it's for budgeting reasons. The account will be quite safe after BR and you get internet banking too. You must open the account asap though and close your joint account. The account you need is cashminder.