Outgoings query

skivy71

Hi,

I owe around £43 in debt (breakdown below), but from my initial investigations (assuming BR being the best option), I have a query regarding how my figures will look, for the application.

My outgoings are...

Rent £90 weekly
Mobile £4 monthly
Child £200 monthly
Old council tax £150 monthly
Food etc. £50 weekly

total £914 month

So, I'm looking at approximately £1000 a month to live, but I'm unsure how the OR will interpret the child maintenance I pay (by amicable arrangement) and the old council tax bill.

Do they allow for me to pay toward the looking after of my child (i sure hope so)?

The council tax debt is in joint names (with my ex) and I don't want transfer this liability to herself.

We (jointly) owe Anglian Water around £600, so I'm curious how joint debt's are handled? Again, I do not want this to be transferred to my ex, she has enough outgoings already.

Kind regards,

N.

TheGardener

I take it you mean £45,000?

If the child maintenance is not on a court order you may have problems - might be worth you ex looking at doing that. DO the children spend time with you in the week - you are quite rightly able to include food, clothing etc if the children spend time with you.

Council Tax - jointly and severally liable, the council will expect the whole CT debt will be paid by your ex I'm afraid. Unfortunately this will also apply to the Water bill.


We would be able to offer more assistance if you did a full SoA - there is a good one here http://www.stoozing.com/calculator/soa.php that you can format to post on this board.You can certainly increase your food budget.

skivy71

well its closer to 43k, but I realised that my ex will become liable for the outstanding council tax and water, so I'm trying to get funds together, as to clear both of those prior to going pop.

I do not wish to spend money formalising an amicable child payment arrangement. Are the OR not human being enough to realise that as a parent, I have an 'obligation' to help financially, regardless of an expensive court order?

TheGardener

To be honest, your understanding of the BR process seems a little sketchy and in BR no account of what you 'wish to do' is involved - I would advise you to speak to one of the free debt advice organisations: StepChange, CAB or Debtline. They will be able to advise you.

If you treat some creditors 'preferentially' by paying them before you go BR - then the OR can simply ask those creditors to give them the money back to be distributed equally to other creditors.

It is highly likely that the OR will refuse the request to pay towards the children if there is no court order however as I said in my previous post - if you can do an SoA and post it on here we may be able to help. Some child expenses can be included in your budget.

Of course OR's are human - but they have a job to do and they have to follow the rules and comply with the law.

luvchocolate

I find the best planned B.Rs are the easiest to deal with, please read everything you can all the stickies on here also the I.S website , speak to one of the debt free charities.
Research and read everything you can to give you a better understanding of the procedure.

skivy71

Well, if ignore those joint liabilities and pass over both debts to my ex, she'll not be able to pay them, will freak out and likely stop me seeing my daughter... so i'm trying to do the right thing here

MEM62

skivy71 wrote: »

Well, if ignore those joint liabilities and pass over both debts to my ex, she'll not be able to pay them, will freak out and likely stop me seeing my daughter... so i'm trying to do the right thing here

Trying to do the right this is commendable. However, when insolvent, you are lot allowed to favour one creditor over another so clearing joint debts immediately prior to your BR and leaving just the debt solely in your name unpaid is likely to give you problems with the OR as it is unfair to your creditors.

When you have financial connections or associations such as you have with your ex, it is almost impossible to protect them from some fallout resulting from your bankruptcy.

luvchocolate

There are strict rules to follow, which is why I suggested you read up on B.R

Minkym00

Most people have informal child maintenance payment arrangements. It doesn’t have to be court ordered to be an allowable expense.

fatbelly

Your ex has debts that she cannot pay too - so could she be eligible for a DRO?

skivy71

@Minkym00 - that's good news, I did seem a bit poor that I should not be allowed to include amicably arranged child support based payments.

@fatbelly, yes if I do not clear the council tax and water (which were both joint), as the remaining party in this debt, she'll be liable for around £2200 of debt.