Bankruptcy and frozen account

beckiramp7

Hi, I will be completing the online application for bankruptcy this week. I’ve done lots of research and wondered if anybody could answer my query around my Barclays Bank account which has my wages paid in and my direct debits and child benefit paid in monthly. I know my account is frozen once I complete the application- what happens to my direct debits, should I be moving them? I know I should open another new account but this would also be frozen wouldn’t it? When is the best time to do this? 

I don’t want my payments stopping to pay my bills etc. I also will need access to my wages and £80 child benefit each month, should I move these to another account? What have others done please? 

Any help appreciated. Thanks

luvchocolate

It needs to be a basic bank account. 
A normal current account will be closed. 
Sometimes a basic account is frozen..mine wasn't. 
The OR will contact them and tell them they have no interest in the account and it will be opened. 

sourcrates

Being prepared is the key, if you need money, make sure you have enough cash to hand, pay bills in cash at the post office if you can, best to wait until after you are paid, before clicking the button, withdraw the money to live on, its all about preperation for worst case senario.

If your prepared for that, then the reality won`t be as bad.

sammy32683

They won't freeze your account when you submit your application it generally takes a week or two if they do.

I opened a nationwide basic bank account the day I was declared bankrupt stating on the application I was bankrupt. They sent me a debit card and I had my wages and everything transferred over before my main bank account was frozen. 

george9071

I would definitely open a new account as soon as it does have to be basic best to go for would be nationwide or Santander, get all of your income moved over as well as DD's always be one step ahead just in case. Hope you get all sorted, good luck! 

Mark_b

I had 3 Barclays accounts before I went BR.Business/Loan/Basic.Just had a letter stating that all accounts are closed with the exception of the Basic one.This was requested by the Insolvency Service to help me post BR

beckiramp7

Thanks everyone. 

Once I submit the bankruptcy application, when do I apply for a new basic account with nationwide/starling etc? Before I do it? Just after? Wait for them to tell me I can? 

I’ve read that the best time to complete the bankruptcy application is literally straight after pay day so I have enough time to get sorted, is that correct? I plan to withdraw the money out of my account to use and keep safe I think...

I’m worried about being paid and paying bills and no account to do this with.
any help please......
thanks
becki 

george_112

I applied for the basic account as soon as I’d been granted bankruptcy, for me this was the morning after submitting the application. 

74leeboy

After my wife applied for bankruptcy Barclays wrote to her and said they will keep her current account open for her, due to the situation with covid. But with no overdraft or cheque book. 

ToxtethO'Grady

Best time to do it is after all your priority bills are paid that month either by direct debit or whichever way you pay. After my payday that usually takes about a week as some only come out on certain dates. Council tax with my council is 5th days of the month for some reason! 

Take out enough money to last a week, it's usually shorter than that, better to be safe than sorry. I usually advise that you just note that on your application that you've withdrawn X amount of £'s to last the week.

jak

I was told to open a basic bank account Then go bankrupt. It worked as well as these things can in your situation. I had one with Barclays but if you have debt with them then open one with so will e you don’t have debt with. The bank lady I saw gave me a cup of tea, a box of tissues and a hug cause I couldn’t stop crying. She was lovely. These things happen and it does work itself out xxx