Failing IVA Vs Bankrupcy

alastairq

The car is hp and is in my name (not my partners who is the one going BR). However it is the only car in the household and we both use it.

In which case, the car is your responsibility.

In any event....even if your partner had a car on HP, retention of the HP account would be down to the HP company's rules.

Do not be confused by what you see as rules-of-the-game.....and...assets.

An asset has to be owned by someone.

The OR will only be interested in any assets owned by...in this case, your partner.

Assets which belong to you yourself, will not [& cannot] be touched.

So, even if you yourself owned the car outright...[and have evidence to prove your ownership....which would be, receipts, or a financial paper trail somewhere......not whose name is on the V5c]....it would not figure in your partner's SOA. However, there will be a case for including expenditures to do with the car....if that car is used, for example, to get to work.

Where you are confused is with the mention in the IS rules about cars, and BR?

If the BR owns a car, it is an asset in the bankruptcy.

And as such, may be taken by the OR, to realise whatever value it has.

If, on the other hand, the Bankrupt can show a need to retain the car [as per the rules], then the car can be 'exempted-as-an-asset'.

There is a limit to a car's value, when exempted as an asset....currently circa £1000. If the car is of greater value, the OR can take the car to dispose of, and return circa £1000 to the bankrupt to purchase a replacement.

These rules are, as ever, subject to negotiation between the BR and the OR....being only Insolvency Service rules & guidelines to ORs.

tigerfeet2006

shell_21 wrote: »

Thanks again for the replies.

The car is hp and is in my name (not my partners who is the one going BR). However it is the only car in the household and we both use it.

If I remove my personal expenses (haircut/ contact lenses ect) This would mean that my contribution (partners contribution ) would need to be lowered. Then that's what you need to do do. Though the OR will expect you to pay a fair % of the joint household bills compared to your respective incomes. If he thinks you are not paying enough then he can ask for your SoA and you may have to prove some things to him but he can say I expect you to pay this % and will reflect this in your OH SoA and he will get an IPA.

My partner does not post on the forum.

All the best.

owlet

Can you re post your SOA with the changes? We can see how it looks up to date