How do you go bankrupt?

[Chop 10]

JJ.

 

Can you give me some indication why as a home owner with a job who was made bankrupt in his absence back ( never received documentation telling me I was due in court ) in 2005 over an unpaid bill amounting to £1001 I was charged over £8k by the OF appointed trustee, who inturn charged me just short of £2k themselves for services that I believe would be reported to the office of fair trading if it wasnt a goverment appointed office in the first place.

 

Oh, and charging me VAT on top of all this as well really did put the icing on the cake.

 

217/2005.

[MrNM 10]

DaFoot, if your debts are too much even on a good wage, can't you negotiate a settlement with the creditors? A friend of mine did this a couple of years ago, agreed a figure and timescale and then it was all over and done, without too much damage to self-esteem.

 

You'll find their credit rating is totaly f***d for the next 9 years or so!

[jumperjohn 10]

Jumperjohn - simple and great post!

 

However, I was under the impression that whatever you earn after you've declared bankruptcy maybe taken into account - so for 3 years you might end up apaying a big amount out of your wages??

 

The idea is that by declaring bankruptcy you surrender all assets to help clear the debt. If you earn £400 a week and debt payments are £600 a week then there is no reasonable way that the debt will be cleared. Once a person is bankrupt an official receiver is assigned to the case. It is the Official Receiver’s, ‘OR’, duty to secure as much money as possible to pay the debt back to creditors. It is bankruptcy law that says the OR can include a payment order for up to 36 months to recoup some of the debt. For e.g. a person earns £400 a week and outgoings are now, after bankruptcy, £150 the OR may well want a payment, say £60 a week. Even though legaly after the bankrupt person has been discharge that person no longer has the debt the payments continue for the full term.

Anyone on benefits or low income, however, usualy do not have a PO atachment.

[boutiquechoc 10]

Yet again, another one who thinks the world owes them a living.

 

Use other peoples money to buy what they want and then expect someone else to pay for it.

 

You should be made to pay what you owe.

 

I'm probably going to get abuse for this post but you all know deep down, it's the hard truth that hurts!

 

Gosh what a horrid post!! People like you just get on my nerves!

 

So I take it you have no mortgage, overdraft, contract telephone or anything similar?

 

Thing is; this country shoves credit in your face, makes it seem like it's easy to just borrow until your wages arrive and no harm will ever be done. I can't blame people for borrowing, what I do blame is the credit companies that make it appealing to borrow. I dont think it's case of expecting someone else to pay, as I said above: it appears people get into a mess before they even notice what they have done....

In france - you can't borrow what you you don't earn and there is not this problem over there.

Being sucked into a spiralling debt must be awful!

[jumperjohn 10]

You'll find their credit rating is totaly f***d for the next 9 years or so!

 

Stays on your credit file 6 years then wiped off.

[Darbees 10]

How can anyone reply or comment to this great piece of advice. You do give a wondeful insight into your understanding.

Of course you should take out insurance, why should other paying customers have to take on the burden of someone elses debt because they were too tight/stupid to insure themself.

[MrNM 10]

Stays on your credit file 6 years then wiped off.

 

After paying it off in full which takes 5 years first..

[jumperjohn 10]

Of course you should take out insurance, why should other paying customers have to take on the burden of someone elses debt because they were too tight/stupid to insure themself.

 

The example was not about insurance or the lack of, it was to give instances of how people can get caught up in debt. Take out a mortgage, get insurance, yes of course it goes without saying, however, the original post was about bankruptcy and the person was asking for advice. Unfortunately advice such as get insurance, and the like doesn’t help. For example ‘I went skiing and broke a leg’, response ‘Ooh, you shouldn’t have gone skiing’. Can you not see how this response is non useful. How and why this person is in difficulty is not for us to judge.

[jumperjohn 10]

After paying it off in full which takes 5 years first..

 

No. Bankruptcy stays on your file for 6 years from the date that you are bankrupt it is then cleared from file.

IVA is an agreement which lasts 5 years, it is on your file for this time plus for an additional 6 years after the IVA has finished, therfore 11 years.

[ricky36 11]

After paying it off in full which takes 5 years first..

 

you are wrong the statute of limitations comes in and it is six years for debt

[Kat2008 10]

have you have gone banko, they can check, they dont. if you say you have not got a car, they will just accept you have not got a car. get in the real world pal stop reading books.going banko today is a paper excercise nobody checks nothing. only that the forms are filled correctly.

AND i dont like being told I am incredibly thick, I am extremetely resourceful, and I live in the real world. can you relate one instance where anybody in the last ten years that have been sent to prison for failing to decalare a car on a bankrupcy petition.I challenge you to give a link to such A THING HAPPENING

just a car mind nothing else. just one link and then tell me who is incredibly thick. been there done it worn the T-shirt.

And as far as going to the CAB what a useless piece of information the only thing they will do is tell you to set up a scheme of some sort and pay your debts off. KAT DOES NOT WANT TO PAY THE DEBTS OFF SHE WANTS TO GO BANKO. the CAB will only tell her not to do it as per usual and then she is paying a debt for the next few years that need not be paid going banko is no longer a thing to be afraid of.

it is the greatest and best way to clear you debts and get rid of the millstone round your neck. dont tell me the legalities etc I know them. AND EVEN BETTER how to avoid them

 

Thanks i will let you know how i get on

[punk 10]

Thanks i will let you know how i get on

 

<sigh> all the good advice on this thread and you took advice from the one person you shouldn't :S