Bank Account & expenditure question

FixitM

Hello. I just found out that my basic bank account with TSB (which I opened when IVA began) will be closed when I go bankrupt. I know there are some bankruptcy friendly accounts listed on here somewhere, but do you need to choose one from an institution that isn't one of your creditors? Also, do you have to have it open & ready to accept any payments you receive, before you go bankrupt?

Also, when we went through income & outgoings with CAB, it was commented on that we probably spend more on food than we should. Is there any kind of guide to how much is 'allowed' or rough guide to what kind of budget you should be following for income & expenditure for bankruptcy? There are 5 of us, so is there an amount per person you should go by for food, etc?

Thanks in advance.

nervousandready

Hi,
I opened an account with Barclays the day before I went BR and told them what was going to happen. As it happens, Barclaycard were one of my biggest debtors but this didn't matter to them. The account was basic, a debit card, no cheque book, no overdraft, to internet or telephone banking, but I have to say the branch staff were wonderful and couldn't have been more helpful. Good luck -

nervousandready

I transferred all my standing orders on that day and it went fine - I had a DWP payment due in which went into the old account but I was allowed to withdraw that amount.

FixitM

Thank you. It's going to be tax credits & child benefit that go in, so wondering how far in advance I will need to instruct them?

owlet

Get it all set up with your new payments going in & direct debits going out well in advance if you can. It makes the whole process much easier.