Bankruptcy and Money Lent to Friend

BrokeandDesperate021

https://forums.moneysavingexpert.com/discussion/comment/81938307#Comment_81938307

Thank you for this (and for your kindness towards an anonymous idiot on the internet). I think it is what I will do.

Someone away from this forum suggested saying he had paid it back to me in cash and I spent it over the last few months on surviving, but I suspect that would be a terrible idea.

ManyWays

The OR has a wide range of powers, but also some discretion on when to exercise them. It is possible the OR may have little interest in trying to chase a small sum of money from someone who has no assets and a low income.

Calling this a gift or a loan makes no real difference to what the OR may decide to do.

BUT is there a reason you are looking at bankruptcy rather than a Debt Relief Order? Have you taken debt advice about bankruptcy?

3Commando

The OR won’t chase that. However, Manyways is spot on. A DRO is perhaps the better option, pending your situation.