BR question

astra_man

Hi all,

I have a couple of questions about BR.

I am going to discuss with a debt counsellor tomorrow, but.

I have a vehicle which is about £4K. It is an adapted blue light vehicle, used for my job.

Will I have to sell this vehicle?
If I transfer the V5 into someone else’s name will this change the ownership? Vehicle was paid for outright by an insurance claim last year.

I have also recently bought a company van, my finances, company was going to be paying me back, again for use by my business. Will the van need to be sold?

Flyright

You asked a similar question to this (about 'hiding' a vehicle) a while ago in relation to a DRO. You cannot simply transfer a vehicle to someone else in an attempt to avoid it being included in your bankruptcy.

A vehicle of value up to £1000 is allowed in bankruptcy. As such you will likely have to find a third party to purchase the OR's interest in the blue light vehicle.

Is the van on a finance agreement? You mentioned that it was a 'company' van. Are you self employed or is the business a limited company?

astra_man

The van is purchased outright, I’m the director of a Ltd business which my OH is the other director. She will be staying as director and I will be coming off the books.

Flyright

You need to be very careful in relation to the limited company.

If you are a shareholder those shares will be an asset in your bankruptcy and whilst you will have to resign your directorship you cannot play any meaningful part in running the company or you will be committing a criminal offence. Is the company such that you are the person who mainly runs it?

astra_man

My OH deals day to day with stuff, but I am
The listed director.
When I started it 2 years ago there was only 1 share in the business, it started with very limited capital.

maxmycardagain

A BR cannot be a company director