Bankruptcy for the 2nd time

bloomsberg78

Hi all,
My wife is on the verge of a 2nd Bankruptcy. She was first made bankrupt in December 2005 and discharged in July 2006.

She has just come off the phone to CCCS today and they are recommended BR for the second time.

The first time was unbelievably easy, too easy really, which I suspect is part of the reason she's ended up back in a hole. This time she has no assets of value and we live in rented accomodation and are not financially linked in anyway and certainly don't intend to be or need to be in the next few years.

The lady we talked to at the CCCS said it would be longer this time and more detail would be required during the process.

Has anyone had any experience of a second BR and what the key differences are between the first and second time?

malestrom07

It's only longer to help the bankrupt sort their financial affairs out and get used to living without credit and not depend on it. It's not neccessarily a punishment more of an extra protection for creditors. More details are required to ensure that the 2nd bankruptcy was not orchestrated or arranged. If a bankruptcy restriction order or undertaking is arranged, details of the case will appear on the insolvency web site see http://www.insolvency-service.co.uk/ddirector/brobrusearch.htm.

The OR has to satisfy himself that there was no fraud etc, it's not unusual to expect more detail or a longer bankruptcy to be handed down. Have a read of the cases on the site and it will give you a flavour of the content.

kitchen_buff

Very Very irresposible, I think someone needs a slap

fermi

I was under the impression that after the EA2002 coming into effect in April 2004 that second bankruptcies are also a year only. A BRU/O might be imposed, but that is a different thing.

From: http://www.insolvency.gov.uk/freedomofinformation/technical/techmanvol1/Ch13-24/Chapter21/part1/part1.htm

21.1EA Discharge of second time bankrupt

Where a bankruptcy order is made against an individual on or after 1 April 2004, he/she is discharged , and a subsequent bankruptcy order is made against him/her, he/she will be automatically discharged from the second/subsequent bankruptcy one year from the date of the second/subsequent bankruptcy order.

The bankrupt may be discharged earlier if the official receiver follows the early discharge process (see Chapter 22 part 2) or later if the court makes an order suspending the bankrupt's discharge following an application by the official receiver or trustee (see Chapter 22 part 4).

EDIT: Now double checked this, and because the first BR was after 1/04/2004 etc...... (see above) the BR will be 12 months or less. BRU/O likely though and a very close look at the BR's affairs between the two.

wok_boy

kitchen_buff wrote: »

Very Very irresposible, I think someone needs a slap

Do I have to keep pointing out the announcement sticky at the top of the forum. NO JUDGEMENTS!!!! :mad:

malestrom07

I agree, no judgments, I deal with clients who go br for many reasons the first time never mind the second time. Many have resorted to suicide rather than bankruptcy. I don't see many Creditors dropping dead through bad debt.

PixiePie

kitchen_buff wrote: »

Very Very irresposible, I think someone needs a slap

Sweetie, you may be, but we don't want to know about it, and no-one deserves a slap, not even you - violence solves nothing you know

rog2

kitchen_buff wrote: »

Very Very irresposible, I think someone needs a slap

This one's for you, kb:

http://forums.moneysavingexpert.com/showthread.html?t=443692

Perhaps you could read it BEFORE you make any further posts on this board.

Thank you

Broken_hearted

I know it's wrong to judge ROG but it does make those of us paying back our debts:mad:. She needs to get some help to find out the underlying problems before going bR again.

fermi

Broken_hearted wrote: »

I know it's wrong to judge ROG but it does make those of us paying back our debts:mad:. She needs to get some help to find out the underlying problems before going bR again.

That's understandable, but it's also the tone and implied judgment in the previous comment that is offensive.

You've just proved the point can be made constructively.

aaroncaz

Sorry to be dim, but how can you get into debt, so soon after going bankrupt?? though you couldnt get any credit for 6 years??