Bankruptcy Friday - Bank Account / Payroll Issue?

colmac71

Hi All
I have my BR hearing on Friday
I get paid at the end of every month
I've just tried to change my payroll details so it will go in to my mothers account (just for end of April wage then I plan to set up a co-op account after Friday)
My company payroll said my salary has to be paid in to an account with my name on it

I have a sole current account at Abbey - there is no overdraft facility

Won't my account be frozen after Friday - any ideas what I can do?

Thanks

Waspeze

I'd open your coop account now .. it might get frozen briefly but the OR won't be interested in it so you should be all right using it.

Quite a few people on here opened there coop account pre BR and haven't had any problems ... just make sure you tell them you want the basic cashminder account as they will probably try and get you there main one.

philnicandamy

Bit of a daft rule with work...hmm i'd do what waspy suggested before anything..sort a cashminder account now

if you cant open a cashsaver co-op account till after your BR,there's no guarantee your account with the abbey will be froze..but probably likley....its not the OR that would do this but the bank once they're informed...what you need to do is speak to your payroll again if they still insist then once you have your hearing on friday they will give you contact details for the official receiver...give them a call & they can easily arrange for funds from the abbey account to b e released.....dont be tempted after your BR hearing to draw the cash yourself as once your declared BR the OR takes control of your finances till discharge

and GOOD LUCK with everything friday

Rosey321

Yes, some payroll depts are insistent that no third party accounts can be used for wages - this is normally for reasons for fraud avoidance.

Normally, if the wages fail to go in, your work will receive a BACS rejection notice - this used to be on paper but is now often electronic which speeds up the process a bit. The money then bounces back to the originator (your work)
Unfortunately, you will probably find that if the wages have been returned, the payroll/finance dept will not release them to you until they have physically received the cash back in their accounts - even if they know it is coming back. This can take a good week. After this, it will often be a cheque made out to you which will again take longer to clear, although sometimes they may CHAPS it if they are nice! Often though, they won't want to incur extra expense for something that they deem not their fault.
I would certainly try and get CO-Op one opened quickly if I was you - if you can't in time, you may need to speak with OR I guess as to how a cheque should be issued and paid (if applicable).
It's a shame the hearing isn't after payday - we are planning going BR the day after payday (May 2nd) - the Debtline man told us this was best as we could then clean out our account to use for living expenses for the coming month and then it would give us a bit of time to sort out the bank acct for the next month's pay.

Hope all goes well.

colmac71

Hi again

Phoned the co-op - the application for the cashminder account has been "referred" and I have to phone up on Tuesday for a decision - i explained the situation to them.

Any ideas what I can do next? I'm going to be really stuck if I can't get paid at the end of April!

Is the OR likely to give me permission to use the account I have (with Abbey) until i can clear the account?

Thanks

Waspeze

I got referred when I first applied for my cashminder... got it approved a few days later.

Will tuesday be too late to tell your payroll dept?

colmac71

Once I have ben to court on Friday - I might go to Barclays
Has anyone had any dealings with Barclays in setting up an account - how long it takes, what they need etc etc?
I could then wait and see what happens with the co-op, but at least I'd have some sort of bank account.

philnicandamy

colmac71 wrote: »

Hi again

Phoned the co-op - the application for the cashminder account has been "referred" and I have to phone up on Tuesday for a decision - i explained the situation to them. Try not to worry about that too much (easier said I know) I think the problem at the moment is co-op and barclays are the only 2 BR freindly places & they're getting a little swamped with new account openings, that & fraud etc checks they now have to do before offering an account...I consider myself lucky I rang & was given the green light the same day

Any ideas what I can do next? I'm going to be really stuck if I can't get paid at the end of April!

Is the OR likely to give me permission to use the account I have (with Abbey) until i can clear the account? The OR will give the bank permission to release funds from your account you'd just need to call the OR office to authorise...at the end of the day they'll not see you go without cash to live on & pay bills etc...what they wont do is let you run the account day to day as you did before BR..this is because abbey will most probably suspend your account..

Thanks

If you decide on barclays account its a pretty basic account cash card (unlike co-op visa electron) no internet banking etc (the co-op has) you'd need to take proof of ID passport driving licence & a utility bill at your current address..some members have had accounts opened the same day some have had to wait a few days so its no guarantee they would be any quicker than the co-op but worth a try

gettingthere12

Have you asked your payroll if they can pay you by Cheque? - you probably will have an account by the time the cheque comes. Part of the problem I had was that my work needed to know about 15 days before the payment where I wanted it paid because of their BACS processing but they are a big employer so it probably takes longer than some employers to do their BACS processing.

I was lucky and got my wages paid into my parent's account but my work would have paid me by cheque. I told them I was having a lot of problems with Natwest and had decided to open a different account while I sorted them out but that I wouldn't have the details of that account until after they needed the details for BACS.

I'd a) ask how long in advance they need details for BACS and b) explain the fact that there is nowhere for your wages to go so it would be easier for them to pay you by cheque.

Then you have 10 days to get everything in place. Hopefully Co-OP will ok the account on Tuesday and it will all be ok.

colmac71

Thanks again for all your help - feel free to add and comment further!
I'm "bricking" it at the moment thinking that the judge is going to look at my bankruptcy petition and say no
I'll definately post a message on Friday to let you know how it has gone, and what Barclays have said
Wish me luck!

dalip

Good luck col. Shame work is being a pain. I have wages paid into hubby's account as does daughter and saves a lot of bother but then everybody is different. It is never as bad as we all imagine(the court date) so try n toot get to uptight about it please.