bankruptcy q's-help please

[rochelle123]

hello, i have a few questions regarding bankruptcy, i just want to consider all my options before anythings finalised. i have live in rented house, no kids etc so no real assetts. i have started the iva process and sent off all paperwork etc but i havent had my proposal or anything yet. ok q's


1. how long does bankruptcy take?
2. if you don't use your car for work everyday would you lose it- value prob £1500
3.i got new sofas 6 months ago, cost £600 and were on credit card- my partner paid half for this- would we lose them
4. same as above but for tv-over a year ago put £7[?]00 flat tv on credit card again aprtner paid his half- would i lose it- values drastically decreased on them now i think
5.with the monthly payments- do you pay all you can afford like in iva or is it just a set reasonable ammount
6.do you ahve to declare you were bankrupt for life or just the 1-3 years
7.are you allowed a savings account
8.are there any serious consequences accept not ebing able to get credit for a while
9.i work in an insurance company- its registered by the financial services authority- would my job be effedcted
10. as ive already started iva proxcess what would happen here



im not deff going to go the bankruptcy route but if iva did fail then i like to know all my options. appreciate any help with any of the questions(sorry theres loads) many thanks

[MelanieGiles]

It is good that you are considering all options available to you.

1 It really is in the hands of the Courts. Some cases could be put forward in under a week, others may take longer depending upon the Court list.

2 It would be unlikely that you would lose a car of that value if it was needed for work purposes.

3 That would depend upon whether they were bought on unsecured credit or hire purchase. And even on hire purchase it is unlikely that second hand furniture would be repossessed.

4 Unlikely - but at the discretion of the Official Receiver.

5 Generally you would be required to pay between 50 and 70% of your disposable income - again at the discretion of the Official Receiver.

6 It depends who is asking. If this is for a new credit application and you are asked have you ever been bankrupt you would have to answer that truthfully.

7 There is nothing to stop you having a savings account - at the discretion of your bankers.

8 It really depends upon your individual circumstances and the events which have led to your financial difficulties - and also whether you have assets which would be captured under the bankruptcy proceedings.

9 You would have to check the terms and conditions of your employment, or discuss this with your HR department.

10 Not sure what you mean here - can you clarify please?

[rochelle123]

thanks Melanie,

my tv and sofa were brought fully on my credit card then my partner paid his half to me in cash.

re iva proceedings- if i changed my mind and decided to go bankcrpt instead (only as a possibility not deff doing it) what would happen as company have all paperwork and have started working on it- would i just pay for their time or somthing?

Does your company assist with bankruptcy aswell as iva?

if i live close to work but choose to drive would my car be at risk?

re job if it doesnt mention it in my contract then it should be ok- is that how it works?

many thanks

[james.c]

I have said this many a time, at the time i went in to my IVA it was the right thing to do and a good thing.

But i had no assests and i think looking back from a money point of view i should of gone BR.

But you should decided on what your gut feeling tells you, and go with that

[rochelle123]

thanks James. i have no real assets so thats what im thinking- its a shorter time and seems like youd pay less each month. just very confused at the moment and before anything is finalised i want to make sure im 100% happy with it. but then iva is not as extreme and its good to try and pya back as much as poss. ooh dont know what to do. would feel bad as iva process started but then i have to live with this! [8)]

[james.c]

Hi Rochelle123

Melaine as always said if you have no assests etc, the reason to go in to IVA is cause of you moral obligition to pay money back, and she is right, but they have eraned their money out of us, but you know have debt problems, so the right thing to do, is what you feel is right

[Lisa2009]

Take your time making this very important decision. Ask as many questions as you need to but make sure the decision is right for YOU.

Good luck xxx

[MelanieGiles]

The decision is an important one and it is essential that you take the appropriate amount of time to arrive at the decision. Don't worry about any work already carried out by your IP - there will be no charges made if you decide that bankruptcy is a better option for you.

[rochelle123]

thanks. just to check if i did decide on br rather than iva would the courts frown upon it as didnt complete trying for iva or does it make no difference?

[kallis3]

I doubt the courts would know about it if you hadn't started an IVA. It shouldn't make any difference if that is what you want to do.

[rochelle123]

if i did decide on br would they need all the paperwork eg bank statments wgae slips etc- these have all been sent for iva application would i need to ask for these back?

also do the same sort of things as iva go into the expenditure?

does the or moniter everything you spend or would it be like iva where your free to use your budget as you lioke once its approved?

[kallis3]

I am rather hoping that Skippy13 will be looking in, as she is the best one to answer your questions as she is BR.

You could contact Paul Johns at Reviva UK for some advice as he is a bankruptcy expert.

[Skippy]

You really need to make sure you're happy with the choice that you make, so please take your time.

After I was made BR I had to supply bank statements, payslips, loan agreements and credit card statements. Anything I didn't have I presume the OR got from my creditors. There's no reason you shouldn't ask for your paperwork back if you decide not to go ahead with the IVA though. When mine failed I wrote and asked for everything to be returned to me, which they did.

My BR allowances were more generous than my IVA allowances (hence the failure) and I have listed both in my blog.

The OR doesn't monitor your spending. If you get an IPA you have to notify the OR of any changes in your income, but you are free to spend or save your allowances and surplus as you want.

[rochelle123]

thanks skippy that helps, has a quick look at your blog and it seems you ahve to list similar things to what you would in iva.

do you know where on internet i would find the online br forms to have a look at? how long do they take to complete usually?

if you court does the drop in option does the br go through the same day?

[kallis3]

Try this link, it might be a help.

http://www.insolvency.gov.uk/guidancele ... tition.htm