BR adverts to cease!

[ladyc]

Thanks sjw. I hope I didn't go over the top but when you read the desperate posts on here from people at their wits end, plus knowing the feeling yourself. You really don't need to be referred to as debt avoiders by the very people that are being paid handsomely from a business that earns it's money from these very debtors and it is these people who you think understand your desperate situation and truly want to help you.

[sjw]

totally aggree ladyc i dont think anyone believes br is an easy option and can certainly do without the hummilation of it being advertised in the paper.

[chris.g]

Both me and hubby filed br a month ago and by no means did we make the decision lightly. My hubby felt a complete failure and I felt that our whole family structure was threatened. Yes, we had signed on the dotted line and agreed to the credit we had but we hadn't, as many others in our situation, hadn't figured on falling on hard times......
Although br gives us a 'walk away' solution to our debt problem we do lose a lot aswell as knowing that everyone who may look at the public notices will know our financial troubles.....
I do agree that people who are in IVA's are on a very tight budget and think that sometimes this may contribute to them giving up and declaring bankruptcy.
Not only do I think that bankruptcy's shouldn't be made public but also IVA's expenditure allowances should be more realistic and financially less demanding, allowing a fair standard of living which sometimes doesn't seem the case of some of the posters on here.

[jpj]

The adverts are virtually a modern day form of public flogging!! :o0

Do the adverts really notify your creditors?? most creditors know they are owed money,and as the debtor is protected from the creditor after entering BR why would the debtor have a need not to advise the creditor of the BR and list them as owing them money.

I wonder how many creditors actually find out through a newspaper that a debtor has gone BR without them knowing about it..i bet its not many!.

I had 2 customers go BR on me a few years back,in the end it simply wasnt worth spending hours filling in forms,digging out proof,and getting myself in a state about it all for a few pence in the£ ! I binned the forms,put it down to experience...and got on with my life!

[ladyc]

I get constant phone calls from India I believe, it says International on my phone. They know all about my debt and say they want to discuss it with me. I, of course tell them I don't discuss finances on the phone and that they've got the wrong information anyway, although I know that what they are saying is the correct information.
How do they get this information? Does anyone know??
It's about time we got privacy over debt. It's a hard enough time as it is.

[ianmillington]

I have only just logged on.

Firstly, I would sincerely apologise if anyone has been in any way offended by my last post. That was not my intention. I don't believe I labelled anyone going bankrupt as a "debt avoider" - The question of how to deal with debt is clearly a personal and difficult choice for anybody going through the trauma. Whether anyone actually sees the adverts? I don't know.

The Insolvency Regime is, however, about balancing the rights of debtor and creditor. Whether this measure has any effect on the balance of the insolvency regime, as I stated in an earlier post, it is too soon to say. It will be very interesting indeed to see how the credit industry reacts. Perhaps it will result in lenders adopting much stiffer lending criteria. Whether that will be a good or bad thing at this point, is a moot point, given how delicate the economy is at the moment.

I do find it a little odd though that this measure is included in the budget which I thought was primarily about public spending. Can't get my head round that one.

By the way I agree with Chris that one way of restoring the balance might be to make IVA income & expenditures more sensible.

Ian

[Reviva UK]

Ian

I suspect it is in the budget to save a govt department many thosands of pounds in advertising expenses?

[ianmillington]

A very valid point Paul, and a worthy cause. So why didn't they just say that I wonder?

Ian

[Reviva UK]

cos they are in politics and can't sepak english!!!

[ianmillington]

I'll grant you that one my friend and will now bid you goodnight [:)]

Ian

[Reviva UK]

It is amazing that 845 people have now read this thread!

I wonder if the adverse publicity has a massive impact upon the debt solution chosen. as Andy said perhaps without the advert he may have considered Br as an option more seriously.

[ianmillington]

Maybe Paul, but probably not for traders who will be closed down whether or not the bankruptcy is advertised. Only time will tell what the impact will be on the overall landscape.

Ian

[wen]

Firstly, as some will know I myself am bankrupt. I do however agree to some extent with Melanie and Ian.

There are no two ways about it, bankruptcy is the easiest option. There are many genuine people out there like myself and Skippy who have either attempted to take out an IVA or even follow one like Skippy, but things didn't work out. I myself could not even afford my secured debts, and having lost my business, unless Wendy and I could both walk into high paying jobs tomorrow, then an IVA was out of the question.

However, perhaps the way forward should be when actually declaring bankruptcy to have a full I & E review prepared, and if it is clear that the debtors could make a reasonable playment to an IVA of 25p/£ minimum, that they are put on a temporary BR order and then referred to an IP to put an IVA proposal together. If the proposal is then rejected then the BR order stands as of the day of the original order, and at least then creditors will definatley know it is the proposal or BR.

Making the IPO 5 years instead of 3 rather than reducing an IVA to 3 years (as you wouldn't then be reducing the creditors return on an IVA), and making IVA allowances a bit more reasonable may make IVA's much more attractive and BR less of a soft option for those looking for the quick exit.

Now the question of promoting new trade/business by removing the name from the paper. I myself was not bothered about my name being published, however the thought of going anywhere near running a business again in the forseeable future could not be any further from my mind. We've had a horrible experience and a lot can be said for knowing you will be paid every week/4 weeks and knowing pretty much exactly what money you have coming in to meet everything going out!!

[size5]

A couple of very interesting points in there, however I am of the opinion that raising an IPO period to 5 years may be, politically, a price too high to pay for the powers that be.

[wen]

I suppose increasing the IPO time to 5 years may also defeat the purpose of reducing the actual standard bankruptcy to 1 year from 3. I suppose looking at it the other way, if you have been negligent you will be restricted by bankruptcy through a BRU for longer anyway, but if you have been ruined by outside factors and meant well in your actions, that maybe being allowed to just get on with your life after 1 year is the right thing too.

I don't know, too many ifs, buts, maybes, and god knows! [8]