Please Help - Bankruptcy next week making me ill

Lotty1_2

I am due to go bankrupt next week at the High Court London.I am in almost 40,000 Debt.Could anyone who has petitioned bankruptcy there give me some adviceon the following: What are the OR's like? If you are unemployed does the OR require the exact dates of your unemployment period? Do they see any application i made for a loan from the creditor?My reason for this is because a couple of years back i took out a loan and was very stupid to say i was self employed instead of unemployed - YES i know what a ridiculous thing to do.I do not have my own property neither do i have any assets,so without all the above my bankruptcy would be straightforward.I have seen a CAB adviser who stated that the only real thing the OR is interested in is if i have any assets - Which in my case is nothing.This whole situation is making me ill,the bankruptcy side does'nt really worry me that much but its seeing the OR.Please someone give me some idea of how i can work around this.I see the majority of people on this site seem very understanding.Thank You!!!!!!!

madmich666

I dont have any advice but just wanted to say that I hope it goes well. I remember the stress my family went through when my dad went bankrupt but he now says that it is the best thing that he has ever done.

Lotty1_2

Hi There, Thank you for replying, has i mentioned its not the bankruptcy i am scared of, i am just worried incase i could be done with fraud.Thats if the OR delves in that deep, I am all prepared to go for it next week butwhere i have lied it really is putting me off going.

fiveyearplan

Hi Lotty and welcome! I seriously doubt the OR will look at your application. What day are planning to go to the High Court? I may see you there, I'm going this week either Wednesday or Friday.

tigerfeet2006

I seriously doubt even the lender has the origanal copy of the loan and if they do it's probably lost in a big storeroom somewhere.

As the CAB has said all they want to do is sort out any assets you own.

Have a quick read through this
http://www.insolvency.gov.uk/freedomofinformation/technical/TechnicalManual/Ch1-12/Chapter11/part3/Part3.htm

Richard_S

Hi Lotty,

None of us can say for certain what will happen and in how much depth the O.R will investigate your previous loan applications. I tend to think that providing the loan wasn't taken out within 12 months of you declaring bankruptcy, or wasn't for an obscenely large amount, then you've not really got anything to worry about.

The worst case scenario is that you'll get a Bankruptcy Restriction Undetaking or Order, and whilst that's something you could do without, it's not the end of the world. It extends the restrictions of bankruptcy by a term decided appropriate by the O.R or a Judge if you disagree. You'll still be disharged after 12 months but the restrictions of bankruptcy are extended.

If you accept that as the worst case scenario then you'll almost certainly be pleasantly surprised after your meeting with the O.R. You haven't committed and crime; bankruptcy is a civil remedy for people who are insolvent. It's not meant to punish or intimidate.

I appreciate it's easy for me to say, but I'll guarantee after your interview you'll be asking "wht was I so worried"? Start to believe that now and you might just sleep a bit better, and money troubles are never worth making yourself ill over; life is much too short for that.

Best regards

Richard

Lotty1_2

Hi all, Thank you for being so understanding, I feel a bit better but not that much.If i decide to go ahead with the bankruptcy it will ne either next Tuesday or Thursday.The Loan i took out dishonestly was in October 2006.I have read threads before where it has stated that the if creditors find out they can inform the police, i can then be charged for a criminal offence.Apart from what i have done here, i am one of the most law abiding people you could find.When i said i was self employed,i did actually do a bit of temp office work hereand there,so i think has long as the OR does'nt ask for documents from the Job centre i think i maybe ok.I have never been so worried in all my life! Please, please, if anyone out there has been in the same position has me please let me know what happened during bankruptcy with the OR.

piggeh

I was only in a similar position in that you tend to worry about the worst before your interview with the OR. You can get BROs if it's shown you acted irresponsibly whilst racking up debts, which I guess almost anyone in a poor financial position has done at one point or another (personally I was very worried that the OR would delve into my behaviour whilst I was in debt as I acted quite irresponsibly most of the time, however they never delve in that far). I wouldnt worry about it - you can prepare an answer in case it comes up so you have something to say just in case, but in my opinion you are only doing what is natural in the situation and worrying about any such thing that could happen. Just go there and take it as it comes, it will probably work out much more positively than you are imagining.

Lotty1_2

Hi Ya, Thanks for that.Its just that when i have looked back at papers etc, i was unemployed for four months before i took out the loan.On the statement of affairs it says have you been self employed in the past two years, i cannot put yes because i dont have anything of proof,plus OR will no i was'nt working by my national insurance number.If OR dont question how long i have been unemployed for, i should be ok.But you never know do you, what they are delving into.I am so so scared.On my jobseekers letter it has the dates of my unemployment, i suppose i could say that in between those dates i did some temp work, and i classed that as self employed.Oh i dont know, so stressful.

iolanthe07

Honestly, Lotty, I wouldn't worry too much. Loads of people tell much bigger lies than yours when they apply for loans and get away with it. As you haven't any assets the OR will want to move quickly on to the next case.

Lotty1_2

Hi ya piggehI am not being nosey or anything but you said you were in a similiar positionto me, was you dishonest?Please say yes, will make me feel better. ha ha