Tawnyowl -slow acceleration to bankruptcy

[tinkerbell20]

This is possible but you need to be VERY careful that you aren't acting in a way that a director would at all - that means you don't touch finances, and can't be seen to be involved in the "management or promotion" of the company.

 

Otherwise you can be said to be a "shadow director", and then liable to prosecution for acting whilst disqualified.

 

 

Yes you need to distance yourself from the decision making.

[Tawnyowl]

Sounds like the best thing to do will be to give business to son and he can immediately start new business and employ them and maybe me as well but personally feel its time to stop the 7 day weeks and give to son and just go self employed and take the slow lane-am beginning to feel the strain -only got one life-business is ok but so hard to keep paying wages -usually end up with next to nothing anyway for self.Am absolutely exhausted whats the point best to work for myself afterwards.Son is well trained and good at job -just dont have the energy to run it all anymore.Not at right age-having said that have new idea for business-maybe this is the one that may do well-nooooo better calm down .Thanks for the help and info coming on here.Feeling somehow like getting some sort of quality of life.Maybe one day will.Tawnyowl

Edited October 4, 2008 by tawnyowl

[Goldlady]

Tawny that is the story of self employment in the 21st century I'm afraid. Pay the staff, they think you are loaded and the reality is that you have a few pence left in your pocket. In a good week. But then you just never know what is round the corner. Gordon Brown is going to get money for small businesses allegedly. From our experience the money is never available for the right sort of small businesses - if you do web design or marketing there have always been grants, but manufacturing and hands on work always gets ignored.

 

What I meant to say was I am subscribing to this new part of your life:D. Onwards and upwards!!

 

Goldlady xx

[Tawnyowl]

Tawny that is the story of self employment in the 21st century I'm afraid. Pay the staff, they think you are loaded and the reality is that you have a few pence left in your pocket. In a good week. But then you just never know what is round the corner. Gordon Brown is going to get money for small businesses allegedly. From our experience the money is never available for the right sort of small businesses - if you do web design or marketing there have always been grants, but manufacturing and hands on work always gets ignored.

 

Such a nice post-tell you one thing Goldlady having tommorow off and sleeping in maybe allday usual day up 5 bed 12ish.Are you in business gold lady have a feeling you are or have been.Anyway thanks for the reply have a nice weekend whats left of it.Tawnyowl

 

What I meant to say was I am subscribing to this new part of your life:D. Onwards and upwards!!

 

Goldlady xx[/quote

[Goldlady]

Yes tawny been self employed for 16 years - some good times, many bad times, but still at it. I work long hours, then I chill out by coming on here. Very occasionally I watch TV. I will sleep well tomorrow morning too - then back to it all on Monday.

 

One day it will all work out. Have been following your story and was so close to being in same situation - perhaps still could be if the recession gets any worse.

 

Enjoy the rest in your safe house;)

[Tawnyowl]

Certainly not taking Bankruptcy lightly but feel it would certainly help many people.Have put this link on here just in case someone may be interested.Maybe to late for me but am sure will help people in future with fees.When you go bankrupt in my case anyway there is no other realistic option,when all other options have been considered-and you are on knees nowhere to go this would be your start to a new life hopefully never to be repeated again.And do i feel guilty-well i believe the govt bale out to banks will cost 20000 pound for every man woman and child in this country-would like to know how this will be paid back -be ready for payback time.I feel guilty yes but last option.

http://www.consumeractiongroup.co.uk/forum/formal-solutions-bankruptcy-administration/152641-one-click-bankruptcy.html

[blue4ever]

Certainly not taking Bankruptcy lightly but feel it would certainly help many people.Have put this link on here just in case someone may be interested.Maybe to late for me but am sure will help people in future with fees.When you go bankrupt in my case anyway there is no other realistic option,when all other options have been considered-and you are on knees nowhere to go this would be your start to a new life hopefully never to be repeated again.And do i feel guilty-well i believe the govt bale out to banks will cost 20000 pound for every man woman and child in this country-would like to know how this will be paid back -be ready for payback time.I feel guilty yes but last option.

http://www.consumeractiongroup.co.uk/forum/formal-solutions-bankruptcy-administration/152641-one-click-bankruptcy.html

 

Hi Tawnyowl The one click bankrupcty will be arriving in April 2009 and this will be the cheap way to go bankruptcy.People need to know about these changes

Cheers B4E

[blue4ever]

hOPE YOU DON`T MIND ME ASKING WERE YOU ABLE TO GET THE GRANT FOR B/R

B4E

[Tawnyowl]

hOPE YOU DON`T MIND ME ASKING WERE YOU ABLE TO GET THE GRANT FOR B/R

B4E

Hi im not going for a grant as soon as house is repossessed i will go bankrupt.I am saving as much as possible towards this.Got to do this.Will work and work to pay for it.Do not want to put anyone to any trouble.Feel perhaps their are better cases than mine that need these grants more.I feel i can save this money.Perhaps one of my creditors may feel generous and bankrupt me before i do.But thanks for information.Tawnyowl

[Tawnyowl]

hOPE YOU DON`T MIND ME ASKING WERE YOU ABLE TO GET THE GRANT FOR B/R

B4E

Hello again under post 47 on the link you gave me -said council tax arrears are cleared as well.Did not realise this was so-could anyone clarify this.Here is the post.

Congratulation for receiving the full grant i wish i had it too lol !

your council tax arrears will be wiped off too when you are declalred BR, mine was and i t was very straight forward . i sent my BR order and they told em straight away my arrears have been wiped off ( i had well over 4 K council tax arrears !)

Don;t feel too scared about BR it can give you a big chance to start afresh and with no worries about your creditor and so on .. the difficult part is too live within your mean and not to rely anymore on overdraft, CC etc.. i at the end of the day u owe money not your life

Edited October 13, 2008 by tawnyowl

[blue4ever]

You worry about other people,there`s not many people like yourself these days. Grants are available to all,

Good Luck B4E

NEVER TALK TO A ---D.C.A ON THE TELE[PHONE UNLESS YOU`RE D.M.D

GET EVERYTHING IN WRITING

 

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If i have helped in any way please feel free to click my scales

Thank You blue4ever:grin:

[blue4ever]

HELLO Just checked that out it doe`s appear thats correct

i would PM Phat256 and ask for more info

Cheers B4E

[Tawnyowl]

Another thing i have discovered and is true believe me,Some people go bankrupt on purpose after hoarding tens of thousands of pounds of materials hidden away.Sad but they are happy.Talk about abusing the system.Wonder how widespread this is or has been.

[Goldlady]

You are so right tawny so in your situation you have no reason to feel any guilt. And I think that it is true about the council tax too.

 

A new start.......

[Tawnyowl]

You are so right tawny so in your situation you have no reason to feel any guilt. And I think that it is true about the council tax too.

 

A new start.......

Feel i had better get moving with things.Feel like Custer did at the Alamo-Indians closing in on me kind of feeling.

[Tawnyowl]

Latest on bankruptcy

1-Seems so time consuming-go to work try to keep things going come home try to get on with paperwork-what usually happens fall asleep at computer.

2-Decided instead of filling forms online to go to courts and get forms.No trouble everyone helfull including solicitor who said fill them in bring them in suggest tuesday to Friday as monday is so busy and i will go through them with you.

3 -Phoned accountant who said bring forms in i will help you fill them in -no charge -thankyou much appreciated.

4-Resigned as director of company-mmm got slight tinge of sadness doing that.Son has taken over now and kept himself and worker on as well as now paying me a small wage.

5-Transferred car to daughter who i originally bought from but as i couldnt keep payments up she asked for it back but kindly kept me as named driver.So at moment have no assets at all to offer official receiver-i know they want to see vechicle transfers made in last 2 years but all above board so nothing to fear in that dept.Thats it at the moment.

-Now up to the stage of filling debts and answers to questions in and hopefully will be done by 11th of november when house is reppossessed.Next day bankrutcy-i hope-Tawnyowl

[gizmo111]

Seems you have everything in order Tawny, it will seem a very sad time of loss and regrets as well as frustrating for you at the moment, but remember you still have your family to support you, and in a very short space of time this will be like a distant nightmare as you move onwards and upwards with your life.

 

take care and ask anything you are unsure of.

[Tawnyowl]

Well now its seven days to repossession and 8 days to bankruptcy everything is cool except not got bankruptcy money yet-but one things for sure am going to beg borrow or -noooooooo -dont do third option-i am sure all things will come right am eternal optimist-money will arrive for bankrutcy like snow from sky falling gently onto tawnys wing and will then give willingly to official receiver or his or her representative.Anyone want to lay odds on somehow getting money for that date.7 days at work this week will raise a tenner only 400 and odd to go-watch this space it will be done.Maybe-CAUSE IT WILL NOT WAITING ANY LONGER.168 hours left and counting down.New start afterwards.Years of hell on way out-subrimers provident characters and all others baliffs etc can go back to their rat holes.Of course i caused all this myself but sure didnt see end result coming at time.Wish everyone well who is going through the long procedures of debts and worry with mortgages etc and possible shortfalls and bankruptcy worries and maybe when this is all over will be able to help with advice and become one of the wise ones.Hope so.-Tawnyowl:grin:

[**Tilly**]

Hi Tawny

 

How fast has that come come round like you say another week and all will be over

maybe them lottery numbers will come up

will be thinking of you on the 10th been there done that, believe me the feeling of relief when it finally happens and gawn is ? well you will see what i mean, wish you all the best

you will come through it,

 

 

 

 

Tilly x

 

[Tawnyowl]

Am having second thoughts about going bankrupt straight after repossession am perhaps going to wait for month or two.perhas one of DCAs i owe to may make me bankrupt who knows.Will give me time also to see how house sale when happens pans out.Have nao assets so dont see why i cant wait and gather thoughts.Also going to have a go at claiming housing benifit and council tax benefit as have never claimed or tried to claim it before-as only on small wage may as well try nothing to lose.

[gizmo111]

Hi Tawny,

 

You have nothing to lsoe by waiting a little while before declaring bankrupt, it is however unlikely that a DCA will make you bankrupt as you have no assets and they will gain nothing from doing so.

 

Check here Start Calculation for an idea of the amount and what benefit you may be able to claim.

 

Good Luck.

[Tawnyowl]

Hi Tawny,

 

You have nothing to lsoe by waiting a little while before declaring bankrupt, it is however unlikely that a DCA will make you bankrupt as you have no assets and they will gain nothing from doing so.

 

Check here Start Calculation for an idea of the amount and what benefit you may be able to claim.

 

Good Luck.

Well filled out forms and took them to council and turns out i am entitled to some rent benefit and council tax benefit so thanks gizmo-made a big difference or will do when final calculation comes through-cheers Tawnyowl.

[Tawnyowl]

Allthough creditors are chasing hard i am thinking of trying to hang on till new bankruptcy online comes into force will be cheaper option.One-click bankruptcy sparks concern

 

 

Fears are growing over new bankruptcy procedures that could allow those in debt to write off their obligations with a click of a mouse

 

 

 

Moves to open up insolvency methods ­ called debt relief orders ­ will mean individuals could begin bankruptcy proceedings for themselves or others online. There are concerns individuals may use the scheme against people they have a grudge against.

Mike , insolvency partner at , believes people may ‘get sloshed’ and think it is a ‘good idea to start Bankruptcy proceedings’. ‘One of my concerns is that you don’t have to go to court, you could actually make someone like your old headmaster bankrupt. No-one will know until they receive a letter,’ he said.

Although the policy will reduce the burden on courts and costs the debtor £100 compared to the current £500 to file proceedings, there is a fear that personal insolvency will be taken too lightly.

The Insolvency Service is currently working on the plans, expected to be introduced in April 2009.

 

what you think of this??

Took this of Blue For Evers thread-THANKS.

Edited December 4, 2008 by tawnyowl

[blue4ever]

Hi TAWNYOWL Here`s the rest of the post

 

 

DEBT RELIEF ORDERS

FREQUENTLY ASKED QUESTIONS

The following is correct as at March 2008 but note that processes and legislation are currently under development and the details below may change.

When will debt relief orders (DROs) be available?

It is anticipated that debt relief orders will come into force in April 2009.

Who might DROs be suitable for?

People with relatively low liabilities, little surplus income and few assets and who are currently unable to access other forms of debt relief.

How can I get a DRO?

By seeking financial advice and then if a DRO appears appropriate, an intermediary will complete an application. The intermediary may be the same person that advice was originally sought from, or may be a further advisor that you are referred to once it is considered a DRO is appropriate.

What are the requirements of applying for a debt relief order?

The requirements will be detailed in the secondary legislation, which is not finalised, but the following are anticipated to be the criteria. An applicant must:

Be unable to pay their debts.

Have unsecured debts of less than ｣15k.

Have assets of less than ｣300.

Have surplus income of less than ｣50 per month, as defined using common financial statement (1).

Be domiciled in England or Wales, or for the last three years have been resident or carrying on business there.

Not have an existing Bankruptcy Order, Bankruptcy Restrictions Order or Individual Voluntary Arrangement or have had a Debt Relief Order in the last six years.

 

How will a DRO be made?

DROs are applied for online, with an approved intermediary completing the application on behalf of the applicant.

Upon receipt of the application and payment of the fee, an Official Receiver is able to make the order, administratively, without the involvement of the court. The Official Receiver will make the order if it appears that the applicant meets the requirements.

The Official Receiver is able to refuse to make an Order or can choose to delay the decision pending further information from the applicant.

Further, the Official Receiver is able to investigate, either on his own account or as the result of an objection from creditors and is able to revoke the order if the debtor is found to have understated assets or income or does not meet the entry criteria or if the debtor doesnt co-operate.

What are the effects of a DRO?

During the period an order is in force, the debtor will:

Be protected from enforcement action by the creditors included in the application (those creditors would need to seek leave from the court to pursue their debts).

Be free from those debts at the end of the period (12 months from Order)

Be obliged to provide information to and co-operate with the Official Receiver

Be expected to make arrangements to repay their creditors should financial circumstances improve

As with other forms of personal insolvency, credit rating will be affected and there will be civil and criminal penalties for those who abuse the system.

What restrictions will be placed upon a person who has a DRO?

For the duration of the Order, the debtor will be subject to similar restrictions to bankruptcy and their details will be on the Individual Insolvency Register on www.insolvency.gov.uk

Furthermore the Official Receiver will be able to apply for a Debt Relief Restrictions Order, similar to the bankruptcy restriction order, which will extend the period of restriction for up to fifteen years for debtors who are dishonest or culpable.

I am a creditor and have information to indicate that the debtor does not meet the criteria, what should I do?

Provide that information to the Official Receiver who will consider every valid objection and is able to revoke a DRO if appropriate.

Arent DROs just an easy way for people to run up debts then get them written off?

DROs are aimed at people with no assets and a low income with no other access to debt relief and no prospect of the situation improving. If people do have assets or there is a possibility of an improvement in financial circumstances, a DRO is not an appropriate solution and other debt remedies are available.

Whilst the official receiver will not automatically investigate cases, he or she is able to do so. Investigations may lead for example to a revocation of the order or an application to court for a restrictions order, the effect of which is to extend the restrictions placed upon a person under a DRO for a period up to 15 years.

What is an intermediary?

A trained debt advisor who has been approved to act as an intermediary by a competent authority.

It is anticipated that the intermediary will have completed basic checks on the information provided by the debtor, such as considering paperwork and evidence of income, liabilities. If it is considered that a DRO is suitable in the circumstances detailed by a debtor, the intermediary will complete the online application upon the debtors request.

The role of the intermediary is not yet finalised. A working group consisting of representatives from the advice sector has held regular meetings to work out the detail. Minutes of these meetings are available on the insolvency service website.

How can I become an intermediary?

By application to a competent authority. It is expected that intermediaries will already be trained money advisers.

What is a competent authority?

A body designated by the Secretary of State as being able to authorise intermediaries. It will be a matter for the competent authority to determine the suitability of each intermediary that they authorise and to ensure those intermediaries have, for example, appropriate training, experience, complaints procedures, equal opportunities procedures.

How can I become a competent authority?

By application to the Secretary of State. The process is not yet finalised but it is anticipated that it will include evidence to support the requirement that a competent authority will satisfy itself as to the suitability of the intermediaries it authorises.

What stage are developments at?

The primary legislation received Royal Assent in July 2007 and the detail is being finalised, both the secondary legislation and the processes, including development of an IT infrastructure.

New legislation generally comes into force in either April or October of each year. It is anticipated that debt relief orders will come into force in April 2009.

Where can I get more information?

The primary legislation, the Enforcement Courts and Tribunals Act 2007 is available on www.opsi.gov.uk (http://www.opsi.gov.uk/acts/acts2007/ukpga_20070015_en_1) Debt relief orders appear at clause 108 and are detailed in Schedule 17, page 266 onwards.

Once the secondary legislation is in draft form, it will be available for public viewing on The Insolvency Service website as part of a public consultation.

The original consultation document entitled Relief for the Indebted An Alternative to Bankruptcy is available from www.insolvency.gov.uk under the section entitled I am interested in insolvency law, policy changes and evaluation and consultation, then follow the link to the consultation register.

The minutes of the Intermediaries Working Groups are available from www.insolvency.gov.uk under the section entitled I am interested in insolvency law, policy changes and evaluation and consultation.

Further questions at this time may be addressed to Sarah OSullivan, Senior Policy Advisor, The Insolvency Service telephone 0207 291 6766

Edited December 4, 2008 by blue4ever

[Tawnyowl]

Read the other day in the sun that one of the top television debt advisors has gone bankrupt.Nobodys immune all it takes is a change in circumstances.Good luck to all facing this prosect tawnyowl.