Applying for Bankruptcy

beans89
beans89 Posts: 8 Forumite
edited 7 February 2019 at 7:09PM in Bankruptcy & living with it
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Comments

  • Craig1981
    Craig1981 Posts: 769 Forumite
    First Anniversary
    good morning

    no judging, but 12 months ago on previous posts you also had issues with gambling. has this been looked into and have you taken appropriate steps to stop online gambling? i suggest self exclusion on GamStop - they cover majority of online casinos, and soon should have all listed casinos on their site
    https://www.gamstop.co.uk/

    as small company you work for, speak to your boss to find out about DRO/bankruptcy and how this will affect your employment, if done. Or else speak to CAB, Step Change, Payplan or National Debtline to find this information out, and what insolvency is right move for you

    if it is only two credits cards like you say, then write to both of them, telling them you have financial difficulties, and they should freeze account and interest - come to a payment plan with them directly while you sort out what action you want to take ongoing. it could be that payment plan with them might be best thing for you.

    what is combined total of your debt? if under £20k and you meet some other criteria, DRO would be your best option
  • National_Debtline
    National_Debtline Posts: 7,998 Organisation Representative
    First Post First Anniversary Combo Breaker
    Hi beans89,


    It is important to get full advice on bankruptcy before going down this path. When you go bankrupt you will get a nil tax code, so that will make your employer aware of the situation. Plus the bankruptcy is published in the London Gazette (and possibly your local paper) as well as being on the insolvency register. If there is nothing in your staff handbook or contract about the bankruptcy it shouldn't affect your employment, but it is hard to say for certain, especially when you are in the financial sector.


    Bankruptcy can affect some private tenancy agreements if that is who you rent from, so you should check your tenancy for an insolvency clause. You will also need to produce a SOA and if you have more than £20 per month disposable surplus, then the OR can take all of this for up to 3 years under and income payment arrangement. This is why it is important to get more advice about your options in case a DRO, or DMP/IVA may be more suitable.


    Laura
    @natdebtline
    We work as money advisers for National Debtline and have specific permission from MSE to post to try to help those in debt. Read more information on National Debtline in MSE's Debt Problems: What to do and where to get help guide. If you find you're struggling with debt and need further help try our online advice tool My Money Steps
  • Willing2Learn
    Willing2Learn Posts: 6,294 Forumite
    First Anniversary Name Dropper First Post Photogenic
    Hi beans89,

    You know, gambling can sometimes be a coping mechanism to manage the stresses of life. Have you considered therapy? If not, then I respectfully suggest you try it and see. Ask your GP about talking therapies if you feel like it... :)
    I work within the voluntary sector, supporting vulnerable people to rebuild their lives.

    I love my job

    :smiley:
  • LeicesterT
    LeicesterT Posts: 19 Forumite
    First Anniversary
    Can a bankruptcy be rejected if all the debt is due to gambling? Anyone applied for bankruptcy having ran up debt from gambling?
  • fatbelly
    fatbelly Posts: 20,486 Forumite
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    LeicesterT wrote: »
    Can a bankruptcy be rejected if all the debt is due to gambling? Anyone applied for bankruptcy having ran up debt from gambling?

    Usually it's a Restriction Order or nothing

    Examples here

    https://www.insolvencydirect.bis.gov.uk/IESdatabase/viewbrobrusummary-new.asp

    pick someone with a 4-year BRO and you may well find gambling in there
  • LeicesterT
    LeicesterT Posts: 19 Forumite
    First Anniversary
    I don’t really understand this link - so does the restriction mean they can’t go bankrupt or they have gone bankrupt?
  • fatbelly
    fatbelly Posts: 20,486 Forumite
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    LeicesterT wrote: »
    I don’t really understand this link - so does the restriction mean they can’t go bankrupt or they have gone bankrupt?

    They've gone bankrupt and got a restriction order
  • LeicesterT
    LeicesterT Posts: 19 Forumite
    First Anniversary
    Restriction from what? (Sorry if this is tedious for you but why does a restriction order matter?)
  • fatbelly
    fatbelly Posts: 20,486 Forumite
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    You asked 'Can a bankruptcy be rejected if all the debt is due to gambling?'

    The answer is- it's not rejected but you are are likely to get a restrictions order. Google is your friend here.

    https://www.citizensadvice.org.uk/debt-and-money/debt-solutions/bankruptcy-2/bankruptcy-restrictions-orders/
  • ToxtethO'Grady
    ToxtethO'Grady Posts: 342 Forumite
    First Anniversary Name Dropper First Post
    Your debts are written off after the year however you are under the duties of a bankrupt and show on the insolvency register for longer, 2-15 years but it can be extended longer than that through the courts
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