Need advice About Bankruptcy or naw?

salman85

Hello I really Need some advice about bankruptcy

I owe around 10k from my university times and I'm really struggling to pay them back.
I'm pondering if i should really declare bankruptcy or not. the negative is that I need to tell my employer about the bankruptcy and they properly will sack me for it. or if i should contact step change about a monthly installment. which i already been informed that i will be paying 145.00 per month for the next 6 years.

I'm inclined to go for the bankruptcy direction and start a new life with a new job.


what do you guys think?

tigerfeet2006

Do you qualify for a DRO at all?

Roughly what job do you do?

salman85

Hi sorry how do I see if i can get DRO?

I get around £1100.00 per month I'm a hotel receptionist

mwarby

You've no need to tell your employer about a DRO bankruptcy or IVA. I'd think even if they did find out, they wouldn't be allowed to sack you just for this

National_Debtline

Hi salman


No need to throw the baby out with the bathwater here. Like the other commenters above, I see no reason why you would need to inform your employer, and equally no obvious reason why they would be entitled to sack you.


What part of the UK are you based in? Some of the options referred to above are available in England and Wales but not in Scotland, where different laws apply.


For more on Debt Relief Orders and the criteria you need to meet, read this:


https://www.nationaldebtline.org/EW/factsheets/Pages/37%20EW%20Debt%20relief%20orders%20(DROs)/Default.aspx


Dennis
@natdebtline

salman85

Its in my terms and conditions of agreement with my employer. If I dont tell them, that would be a sackable offence. You think no1 would contact my employers example the bankcruptcy interviewer if he asks me about my employment?

mwarby

They might see a tax code change(which might make them suspect), but they won't be told. A bankruptcy\IVA\DRO will be shown on the insolvency register, which is available to the public, if they search it you would appear there.

I can't see what grounds you would have for being sacked, but you might want to take independent advice on it. I'd say they can put certain things in the terms and conditions, but would leave themselves open to unfair dismissal if it ever got to an employment tribunal.

Looking at the bigger picture though, formally insolvency is the last resort.You've been to uni and I suppose hope to find better work and your current job doesn't seem to be fantastically well paid. It might be your better off going for the right debt solution, seeing what your employer actually does and then deal with any fallout.

National_Debtline

Hi again Salman


Maybe the employer feels that there is some aspect of your job that would be severely compromised by a bankruptcy order? Unusual, but not unheard of.


I'd suggest that you have a chat with ACAS http://www.acas.org.uk/index.aspx?articleid=1410 for some general advice on your rights. Employers can put any number of conditions and clauses in their contracts, but that's not to say that they would all stand up to deeper scrutiny.


Dennis
@natdebtline