how does it actually work?

sunshine124

hi all,

Can anyone tell me where I can get the forms for bankruptcy (apart from the court) as I need to fill them in roughly for a freind before we do the actual copy. It seems all very scary and can someone tell me how does bankruptcy actually work? I mean it seems to easy when people say that all their debts are just written off - but who pays for all the actual debts?
Another question is, how long does the actual bankruptcy process take? My friend has her appointment in court on monday so what actually does happen in court? My friend is worried she will be asked all sorts of questions from a judge and is very scared.

Any advice will be appreciated

Beblong

Hi Sunshine

I did my forms online and it was quite easy. Maybe you could do this together with you friend - you can fill them in, make alterations etc until you submit the final version.

As for the process - I was in court at 9am last Friday for my bankruptcy. I took my forms and my fee to the counter, the clerk looked over the forms to check they were complete, I then had to swear an affadavit and the clerk told me to stay in the court building (she said that the Judge would tannoy for me if he wanted any info - but he never did) and come back to the counter in about an hour. An hour later she handed me a slip of paper with my bankruptcy order number on, told me the OR would contact me within the next 2 working days to arrange an interview and that was it.

I know all courts are different, but that's how it works in Nottingham.

Hope this helps you some.

Beb

sunshine124

thx beblong, so what happens in the interview?

fermi

These are the forms to download and print out if that's the way you want to do it:

Debtors Bankruptcy Petition:

http://www.insolvency.gov.uk/pdfs/forms/form6-27.pdf or http://www.insolvency.gov.uk/pdfs/forms/form6-27.doc

Statement of Affairs (Debtor's Petition):

http://www.insolvency.gov.uk/pdfs/forms/6-28.pdf or http://www.insolvency.gov.uk/pdfs/forms/6-28.doc

Statement of Affairs (Debtors Petition) (Guidance Notes):

http://www.insolvency.gov.uk/pdfs/forms/debtorsguidance.pdf or http://www.insolvency.gov.uk/pdfs/forms/debtorsguidance.doc

fiveyearplan

If your friend is going BR on Monday you need to get started on the forms. You will need to do an SOA (Statement of Affairs). That is just all income and expenditure. IF you post on here what the income and expenditure is we can help to make sure your friend claims for everything they are entitled to. Also be sure to let us know how many people in household etc.

Beblong

Haven't had my interview yet. The OR rang me a few hours after I had been to court, introduced herself, said that she would look over my forms and ring me back in the next couple of days and arrange to do a telephone interview (which she said would take about an hour or so).

I'm sure someone more knowledgable on the subject will be along soon to give you more info.

Beb

sunshine124

ok thx guys

this is the BASIC jist of things, she has a about £60,000 of secured and unsecured loans, she is on JSA and is under mental stress due to her debts so cannot think straight, and thats why i am trying to help her. Another annoying thing is she cannot remember all of her debts coz there are so many but the total we came up with is £60,000. She has a house with no equity in it (i dont exactly know what that means, but thats what she said) and we went to the CAB and they didnt really help her, they just said go to the court and get the forms and fill them out! So that is why i am on this site to try to get as much info as i can. I know it must be a drain, i know i feel drained, but she is worried that the judge might refuse bankruptcy coz of the total of her debts. can the judge do this?

fiveyearplan

I have to go out now but to put your mind at rest £60,000 is plenty of debt to go BR with.

I'll be back soo to give more detailed answer. In the meantime I'm sure someone else will be along soon.

Beblong

I don't think you can have 'too much' debt to go bankrupt!

If she cannot remember all her debts, she can get a copy of her credit report which should show them - that's what I did. Experian (the credit referencing agency) website might be worth a look - www.Experian.co.uk.

Can't help with questions about mortgages and equity I'm afraid, but Fermi or Richard_S may be able to help.

fiveyearplan

Okay Sunshine - you are a great friend to be helping her like this. Tell her not to worry, she'll be fine. If you can give a bit more detail it would help.

How much is her mortgage and how much does she think the house is worth.
How much is the secured loan?
Does she live alone or have a family (this will make a difference as to what her expenses are).
What are all her monthly payments ie
mortgage
secured loan
council tax
gas/electricity/water
car?
insurance
pets
housekeeping (food etc)
tv licence
phone (landline and mobile)

Ask how much she pays for all these things and anything else she pays for. I haven't written everything she can claim for but just a short list.

AS for not knowing how much she owes, don't worry, just take it slow and try to remember. If things come to light after the fact as long as they occurred before her bankruptcy date she will be fine. The OR will be able to find out about all bank accounts, credit cards etc.

Your friend will need thave her money (whether it is income from job or benefits) paid into someone else's account. Her bank account will most likely be closed. She should be able to open a basic account with the Coop or Barclays - does she owe either of them money?

Anyway thats enough to be getting on with. Post up her income and expenditure as above and keep asking questions. THere are loads of people on here who will help.

fiveyearplan

Oh I forgot to say - if she is going bankrupt on Monday she shouldn't pay any of her creditors except she needs to keep on top of council tax and mortgage (if she intends on keeping her house).