How to proceed with creditors when no income?

DonutMonster

fatbelly wrote: »

Debt advisers will always warn about beneficial interest to cover themselves but I've personally never come across an actual case in 18 years of debt advice.

Stepchange are great if you want a fee-free debt management plan but that's not on the cards here.

Token offers are (literally) a waste of time. If you are going bankrupt, get on with it. If you want to check that you haven't missed anything (though the application process is now frighteningly simple) run it past National Debtline.

enthusiasticsaver's take on this seems good to me.

I've heard the application consists of 40 pages!

With regards to the house, we now live in a smaller one worth considerably less and her equity has been reduced by ~£140k over the past couple of years due to her taking on me as a financial responsibility. How an OR can view that as me having a beneficial interest would astound me as I'm a liability and have not contributed towards her solvency, but impacted upon it.

DonutMonster

Suseka97 wrote: »

Anyway - whatever route you choose I wish you luck and applaud your resolve to lift yourself (and your family) out of the situation.

Thank you Suseka, that's very kind of you to say. Some of my similar 'I don't give a monkeys about my creditors'-type comments I've made on another forum have resulted in harsh criticism like 'lack of morals' etc, but it's water off a duck's back now and I can handle it for the sake of my family.

DonutMonster

It might seem like a daft question, but as I'm the sole director of my business that only has debts to myself, is it possible to resign from it and/or sell out to the other shareholder (non director) or does the business go to the OR too?

There is potential there, but it's hugely volatile and losing the business will really throw a spanner in the works and makes me think again. It's the sole reason I've been trying to maintain payments as I believe I can work my way out of it - eventually.

sourcrates

DonutMonster wrote: »

It might seem like a daft question, but as I'm the sole director of my business that only has debts to myself, is it possible to resign from it and/or sell out to the other shareholder (non director) or does the business go to the OR too?

There is potential there, but it's hugely volatile and losing the business will really throw a spanner in the works and makes me think again. It's the sole reason I've been trying to maintain payments as I believe I can work my way out of it - eventually.

National, or Business debt-line, will be able to answer questions such as this, you need facts, not opinions, give them a call.

pmlindyloo

I really do think you should be taking some professional advice before you go bankrupt.

I have just read this article:
https://www.yourcompanyformations.co.uk/blog/bankruptcy-and-your-business-can-i-run-a-business-while-bankrupt/

Others will comment on its validity.

If the article is correct and you lose the company what are you going to do then?

ciderboy2009

I would also advise taking advice before declaring yourself bankrupt - if you're married then your wife will be financially linked to you. Depending on the length of the marriage then it could be decided that you also have an interest in "her" property.