BRO / BRU's - how common?

fudge59

Just curious as to how common these are that the courts give them to people who have gone bankrupt.

I know they say if they feel you've been dishonest they can impose these on you - should I be concerned that part of my debt was 2 consolidation loans (which we did pay other creditors off - but didnt close the accounts, reduced the credit limits, but just not close them, so the debt then increased). I think the last consolidation loan was taken out about 3 years ago

Merry_Gentry

I think BRO or BRU's are handed out if you have gambled or being majorly irresponsible with money - holidays abroad two days before going BR, that sort of thing! (hopefully one of the experts will be along to confirm/deny).

fatbelly

Hi Fudge

This is a bit out of date but...

'From 1 April 2004 to 30 September 2006, a total of 1,609 bankruptcy restrictions orders (or undertakings) have been made. This represents 1.3 per cent of all bankruptcy orders made over the same period (the total number of bankruptcy orders made in this period is 121,648).'

So they're not common. I haven't come across one yet and I recommend around a dozen of my clients to petition for bankruptcy each year.

It doesn't sound to me as if you've got a problem. Have they indicated anything to you yet?

'naughty' conduct is defined as:

incurring debts that you knew you had no reasonable chance of repaying

giving away assets or selling them at less than their value

deliberately paying off some creditors in preference to others

gambling or making rash speculations or being unreasonably extravagant

failing to keep or produce records that would explain a loss of money or property

fraud or fraudulent breach of trust

causing your debts to increase by neglecting your business affairs

failing to supply goods or services that have been paid for

carrying on a business when you knew or ought to have known you could not pay your debts


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philnicandamy

Bit of a read here

http://www.insolvency.gov.uk/pdfs/guidanceleafletspdf/bro.pdf

summary of some cases & why they received BRO/BRU

http://www.insolvency.gov.uk/databases/ddirector/viewbrobrudetailssummary.asp?gnnregion=south%20west

fudge59

Hi,

Thanks for your replies - very helpful!

I dont think I'd have an issue (well I suppose you dont know till you've been told no there isnt an issue) as I certainly havent given assets or money away to people, nor had holidays using credit, the only thing they might say is that as I didnt close the accounts that I'd paid off for the consolidation loans (and then spent the money availble on them) they might say that I'd gained debt without being able to pay it off ... but I'd probably guess that most people in my situation try consolidation loans to get out of a problem, but fall into the trap of not closing the account. I'm on a good salary (21k) so not as if I'm unemployed or on benefits - fingers crossed my OR are nice!

I'd been paying my creditors token amounts for about 21 months - as that's how long it's taken me to get to this point - till I went BR on 9 May - so I'd hope that the fact I'd stopped spending on the cards would look good for me in that case.

Had my interview with them on 13 May (2 weeks ago), and havent heard anything back from them - I hope that's a good sign!

I was listed in our local paper last Friday - asked the two chaps at work who were aware of my situation and they didnt spot me - so I hope that's a good sign - havent had any 'odd looks' at work yet lol

G-G_4

philnicandamy wrote: »

Bit of a read here

http://www.insolvency.gov.uk/pdfs/guidanceleafletspdf/bro.pdf

summary of some cases & why they received BRO/BRU

http://www.insolvency.gov.uk/databases/ddirector/viewbrobrudetailssummary.asp?gnnregion=south%20west

I have an unhealthy facination for reading the BRO/BRU boards

philnicandamy

It'll probably go very quiet now after your OR interview for some considerable time now so Iwouldnt worry too much about it....as far as a BRO/BRU is concerned it sounds to me like you've no need to worry

I searched for ages to try & find my BR listing....I never did find it!

philnicandamy

G-G wrote: »

I have an unhealthy facination for reading the BRO/BRU boards

Glad i'm not alone

Gerberus

Yes, I've been quietly fretting about this issue. I went bankrupt a month ago with debts of abut £45k. I'd done that thing of moving money from card to card to card and back again and have freely admitted this to the OR.

My wife also did an IVA for about £25k and part of our pattern of survival was moving money between hers and my CCs.

To be completely frank, there were definitely one or two "oh sod it" purchases on those cards over the 18 years it took to get into the mess that led to bankruptcy. None recently though and never anything in the thousands. The last few years were just maintaining the cards to keep them quiet, but without any chance of paying them back properly.

All I've had in one month is a letter asking for two years' trading figures, which I understand is perfectly normal. However, last year, I had an unprecedented self-employed year which resulted in a mammoth tax bill and ultimately triggered my application for bankruptcy. I've explained this to the OR too and they will see from my tax returns that this was the case.

I wonder, will I get BROed for not being ready for the tax bill? For the continuous shuffling around of credit from card to card? For not doing whatever it was I ought to have with the big year last year (we used it to fund an IVA application and to live on for the next six months when the takings were much lower).

What I also really want to know is, what is the likely pattern of communication from the OR? I'm finding it very hard to calm down for dread of them writing again. Not sure why, just very twitchy about things.

Hope someone can advise me. The debt helpline I spoke to said the OR's actions so far sounded bog standard.

GettingHopeful

I have got pretty scared too from reading those BRO/BRU situations as I keep reading bits that are much like what my situation was. I haven't heard anything. I became BR on11th June.

blueopal5577

philnicandamy vbmenu_register("postmenu_11232849", true);


Thanks VERY helpful.

I knew there was an insolvency list, but didnt realise u cud find the actual information concerning. Feels a bit like picking over the ruins of someones life but very interesting as BRO is something im worried about, so want to know if im likely to recieve one.

Thanks for the links


Having read a couple of the instances of those BRO links. Can anyone advise me if I'm likely to recieve a BRO due to the fact that for 10 months I have not paid any payments to creditors. I have been trying to save for BR + suffer from mental illness and buried my head in the sand. Ive got a letter from my consultant to support the latter. Because ive seen it as so out of proportion, ive just buried my head in the sand. I spent 2 yrs writing letters to creditors, calling, negotiating, CAB did so too but I would make token payments and still get the late fee, interest and so on added on, and i was making the token payments at the expense of paying my rent. I changed this 10 months ago when I was nearly evicted from my housing association flat (i really cannot afford to rent privately) so i prioritised this over my debts. Would i be likely to get a BRO?