Money abroad

StCyr

Hi all

My husband and I are considering bankruptcy. In 2004/2005 we sent money to France to help out my family. Would the OR will see this and if so will he/she look into my relative bank account in France?

peachyprice

How much are we talking about, and where was the money from, i.e was it from the sale of an asset?

tigerfeet2006

Was the money taken of a credit card and was it a great deal? If it shows up on any of your paperwork and you paid it to them to the detriment of your own creditors then the OR may look into it. He cannot access your reletives bank accounts, all he can do is ask if they will pay him the money. If they haven't got it they can say so. All that could possibly happen to you is you are given a BRU/O.

Information on BRO/U's
http://www.insolvency.gov.uk/pdfs/guidanceleafletspdf/bro.pdf

people who have BRO/U's
http://www.insolvency.gov.uk/databases/ddirector/viewbrobrudetailslatest.asp

StCyr

We sent a lump sum of £4000 and then £600 some months, I can't really remember. The money was coming from credit card or our current account

StCyr

Also we do not have statements anymore, will the OR ask for those or will he obtain those from the bank and/or credit cards companies?

peachyprice

Hi there,

If it came from a credit card there's not alot the OR can do about it, it's gone! It would be a problem if you'd sold an asset, like a house for example, then given the proceeds to a family member.

The OR can obtain copies of your statements, although it depends on your local office and how complex your case is as to how far back they go, some only go back a year, others 2 years, some even longer. But unless there's any reason to suspect foul play it's highly unlikely they'll go back as far as 2004/5.

StCyr

Thanks Peachy.

The other query I have, better give you an short history on how we got in to debts. OH purchased a house in 2004, the mortgage payment was £800 and then keep going up till it reached £1650 August 2007. During those years we used credit cards to pay off daily expenses and household bills and then took our loans to consolidate the CCs. Anyway we tried to remortgage the house but got declined so in a panic we sold the house to a private investor in Nov 2007 who now rents it back to us. the sale of house covered the mortgage and the secured loan.

I understand that we should have sold at its full value but the market was slowing down and the offers were getting lower. Also as we getting in arrears on the mortgage I wanted to have a roof over our head and mainly for our baby.

Would the OR say something about the fact we sold the house at a lower value even if we didn't get any profit out of it?

JPS29

The OR will ask have you disposed of any assetts for less than their market value, and if so you will need to explain why.

Can I ask how much was the house valued at when you sold it, and how much did you sell it for?

StCyr

The house was valued at £300,000 but we sold it at £245,000 which covered the mortgage and the secured loan. I justed wanted a quick sale as were getting in arrears and wanted to secure a roof onver my son's head. At the time, we were not thinking of going bankrupt; it is only now that we are thinking of it as it will take us more than our lifetime to repay all of our debts and want to be able to give my son a future!