Ask a StepChange (formerly CCCS) counsellor a bankruptcy question

Hi there

Thanks for posting on the forum.

I’m sorry to hear about the difficulty you’re experiencing after the change in your circumstances and I apologise for any delays in being able to get in touch with us.

It’s great that you’ve used the spreadsheet to work out your income and outgoings, this will be useful if you decide to contact us further.

Over the forum or over a private message, without the income and expenditure it would be difficult to say which option would be best for you, what I would recommend is to seek impartial advice to help work out which solution would help you manage the debts.

If you would like us to have a look at your circumstances, you can start a budget with us either online or over the phone and see what options we can suggest. We have a self-help tool called Debt Remedy which should allow you to reach your advice online.

You can find it here: https://www.stepchange.org/start.aspx and it’s available 24 hours a day.

I hope this helps.

Patience

OA456 wrote: »

Good Day,


I have a few questions regarding my debt.


I have had a change of circumstance and I am finding it very difficult to make my monthly payments.


I was wondering if you could be of assistance please ? The monthly payments are due next week.



I have filled out the Step Change "Income / Expenditure Spread" sheet (which I got from your website). When I tried contacting your organisation over the phone, I was not able to reach you. I was on hold for quite some time and I had to hang up and try and call again.



I am not sure what solution is best for me. That is why I require your advice, please.



So, would an IVA, DMP, DRO or Bankruptcy be an ideal solution for me ?


I am not able to contact you privately through the link on a previous page. How can I possibly do this, please ?



Thanks!!

Hello

Thanks for posting and welcome to the forum.

I’m afraid you’d have to contact Halifax / Bank of Scotland to confirm the correct postal address. If this debt existed before you went bankrupt, and was included in your bankruptcy application, then the debt shouldn’t still be on your credit file.

I recommend following their internal complaints procedure. If you're not happy with their response to the complaint or they don't respond in 8 weeks, you can escalate the complaint to the Financial Ombudsman Service (FOS).

• Phone - 0300 123 9123 or 0800 023 4567 (Monday to Friday 8am to 8pm or Saturday 8am to 1pm)
• Email – [EMAIL="complaint.info@financial-ombudsman.org.uk"]complaint.info@financial-ombudsman.org.uk[/EMAIL]

The FOS are an impartial service so there’s no guarantee they’d resolve the complaint in your favour. However, if your complaint is successful, they should be able to get the debt taken off your credit file.

I hope you’ve found this helpful.

Thanks


Joe

roadtorecovery wrote: »

Afternoon. I am 5 years post bankruptcy.
I completed the credit file clean up in May 2017. One debt remained on my Halifax. After using the template letters in this forum I got no response. I posted to Bank of Scotland Plc, The Mound, Edinburgh EH1 1YZ. (The other bank account listed in this letter was cleared). I know the letter was received as I had registered post and got a signature. At this time I referred it to ICO and they advised that they did not have to wipe the debt as it was before my bankruptcy. I found this all quite stressful at the time so parked it! I now what to relocate as my family is growing and my credit rating is stopping this.
Can you advise if I am using the correct address and what further can I do to get this stated as settled.
Thank you in advance.

Hi there

Thanks for getting in touch and sharing your situation.

If you’re both applying for bankruptcy, as the debts are joint you would need to include these on both your applications.

You should be able to continue your ongoing usage with British Gas, but it would be worthwhile checking with them directly.

I hope this helps.

Patience

Bcfc171081 wrote: »

Hi
Firstly sorry if this has been answered or am asking in wrong place. Me and my wife are currently setting up for BR. We have joint debts with BG, water and council tax. Do just one of us have to put them down or both? Also will we be able to carry on use British Gas after BR?

[FONT=&quot]Hello[/FONT]

[FONT=&quot]To answer your questions:
[/FONT]
[FONT=&quot]Paying the bankruptcy application fee[/FONT]

[FONT=&quot]You should be able to pay your bankruptcy fee using any savings or cash assets you have, such as a PPI refund. Once the fee has been paid and your application submitted, any other assets or savings you have left over will vest in the official receiver.[/FONT]

[FONT=&quot]Bankruptcy and your budget[/FONT]

The OR will calculate your surplus using their own budget guidelines. The OR will use their own set of guidelines when working out suitable living costs for you, to calculate an income payment agreement (IPA). It’s worth noting that if your income is made up benefits only, an IPA will not be set.

Expenses are divided into four categories:

• Essential expenses based on the amount you actually pay
• Essential expenses based on the OR’s maximum guidelines using ONS statistics.
• Costs which may be allowed if they are necessary. There are restrictions in the Insolvency Service Technical Manual on the circumstances in which these costs are permitted and how much will be allowed. Evidence may be required for some of these.
• Costs which aren’t allowable. These will be ignored when an IPA amount is calculated.

Based on this, you’ll likely be able to budget for school trips within reason: the OR may decide this is okay based on your situation. However, there’s no guarantee the OR will view this as an allowable expense, and they may not take it into account when calculating how much your IPA will be.

If you need any further advice and support, you can contact us on 0800 138 1111 Monday to Friday 8am – 8pm and Saturdays 8am – 4pm. You can also speak to the Insolvency Service on 0300 678 0015, Monday to Friday 9am – 5pm

I hope you’ve found this helpful.


Thanks


Joe

Bcfc171081 wrote: »

[FONT=&quot]Another couple of questions.[/FONT]
[FONT=&quot]I received £650 PPI 2 months ago that’s what I’m gonna pay my fees with. They the OR be ok with that or will they want the PPI as an assist.[/FONT]
[FONT=&quot]Also looking at my budget I have 5 children will I be able to put school trips etc down as an outgoing.[/FONT]