Bankruptcy - what will they take from my house and what to expect?

[Tawnyowl]

You are allowed to keep:

“tools, books, vehicles and other items of equipment as are necessary to the bankrupt for use personally by him in his employment, business or vocation” in addition to “clothing, bedding, furniture, household equipment and provisions” necessary for satisfying the basic domestic needs of you and your family.

 

However there are conditions and those conditions centre around how valuable the property that falls into the above groups can be. A rule of thumb that is frequently used is £500. So if you have a car that is worth more than £500 that you use for work, chances are you’ll need to see it and get one for £500 or less and give what’s left over to your trustee. If your trustee tries to bend these rules push back – hard! Tawnyowl-wish you all the best.Keep posting,we will give you all the help and advice you need.Many have and are going through bankruptcy in here.Many famous people have gone bankrupt,made me feel slightly better when going through it.2 links for you.

The Insolvency Service Website Bankrupt! 65 Famous People Who Lost It All Best wishes

[Tawnyowl]

No interest at all.So no worries about yours and your husbands PC.And anyway if they wanted it which they wont,the hammer that would remove the hard drive would make it worthless anyway.How are you going to finance your bankruptcy,some have written to different organisations and i believe got the funding.Have you had any advice.Best wishes,Tawnyowl.

[Tawnyowl]

Will help you tonight as im going to work while its still there.Dont worry you will be ok.Got plenty of ideas.Others will advise as well,For now do you want to check your credit report,no credit card bank details required.Allways handy to have correct details when filling bankruptcy petition in,Link here-bye for now Tawnyowl, Free Credit Report now and every year - annualcreditreport

[Tawnyowl]

As i see it as you are on benefits and renting your house there is no need to rush into bankruptcy.Have you got a shortfall from a house you previously owned.Are your creditors putting pressure on you.Have you CCJs,have you reduced any to token payments.Have you asked any of them for a copy of your CCA.Now when after taking proffesional advice you decide this is the best option,you accept there is no other way to go you will move to petitioning for your bankruptcy.At the moment i feel you are at the seek proffessional advice stage-2 links follow Bankruptcy | Debt Advice | Payplan CCCS - Free Debt Advice from the UK's Leading Debt Charity They will ask at court if you have taken advice when petitioning for your bankruptcy,maybe time to do this,they are friendly.Best wishes to you at a difficult time in your life.Now after such deep thoughts,i do like to lighten things for you,i hope you like this tune.

Best wishes Tawnyowl.

[Tawnyowl]

I understand your circumstances fully,and believe apart from making token payments,you may be making the correct decision to go bankrupt sooner or later.Tell us what the cccs councellor says and we will then talk again.Lottery,mmm you never know.You may find this interesting,http://www.insolvency.gov.uk/pdfs/guidanceleafletspdf/howtopetition.pdf it answers a lot of questions Others may advise as well,best wishes Tawnyowl.

[Tawnyowl]

Will be back tonight got a few ideas for you in your situation,Tawnyowl.

[Tawnyowl]

I think antartica with your circumstances,i would be tempted to send this letter to your creditors.Another to follow which you may also want to consider,Tawnyowl.

The Loan Company

Company House,

Church Street,

Newtown,

Kent,

R1 7HG

 

Dear Sir/Madam

 

Re Account No/Reference No:− xxxxxxxxxxxxxxxx

 

Since making that above agreement with you, our circumstances have changed.

 

We cannot now afford to agreed monthly payments because ... [your paragraph added here]

 

We enclose a Personal Budget sheet which shows our total income from all sources, and the total outgoings of our household. As you can see we have no money left to make offers of payment to my creditors.

 

In view of our circumstances, would you please accept no payment at present to be reviewed in six months. If interest or other charges are being added to the account, we would be grateful if you would freeze these so our debt does not increase.

 

Should my circumstances improve we will contact you again.

 

Thank you for your assistance. We look forward to hearing from you as soon as possible.

 

Yours faithfully

Mr A N Other

[Tawnyowl]

Ask creditors to write off the debt due to your circumstances

 

1 High Street,

Newtown,

Kent

R21 4RH

 

June 28, 2006

The Loan Company

Company House,

Church Street,

Newtown,

Kent,

R1 7HG

Dear Sir/Madam

 

Acc/Ref No 4563210025897412

 

Further to our recent letter, we enclose a copy of our Personal Budget sheet which gives details of our present financial circumstances.

 

As you can see our outgoings are more than our income and we are experiencing extreme financial hardship. We would be very grateful if you would consider writing off the outstanding debt owing. We have always taken very seriously our financial responsibilities but unfortunately our circumstances are so bad that we cannot realistically maintain payments of any kind.

 

Please take the following special information into account when making your decision.

Paragraph outlining the special circumstances you have that you want the creditor to take into account.

 

As you can see our situation is very unlikely to improve in the future, and our continued high debt level may have a serious effect on our physical and mental wellbeing. We would therefore be grateful if you would seriously consider our request for the debt to be written off.

 

We would appreciate any help you can give us.

 

Yours faithfully

Mr A N Other

[Tawnyowl]

Maybe best to choose your own.Good luck Tawnyowl.http://www.consumeractiongroup.co.uk/forum/letter-templates/146154-creditors-dcas-letter-templates.html

[Tawnyowl]

I feel in your circumstances which hopefully will improve,its up to them.My last letter when you finally manage to save or hopefully get help with you and your husbands fee would be to split half ---360.00 divide it equally between you and your husbands creditors ,offer them,say 10 creditors-36.00 each take it or leave it in full and final settlement of my debt.The other half throw a CAG party.MMM-i dont know if i should have said that,any of it.Tawnyowl.

[Tawnyowl]

Yes,i understand,got a bit excited for a moment.Good luck-keep posting Tawnyowl.

[Tawnyowl]

12 Days from thinking about bankruptcy to going bankrupt.I am very impressed.Maybe now you can warm up Antarctica and perhaps change your name to Tropicana,mmm,time for me to shut up,Good luck and best wishes for the future,Tawnyowl.

[Tawnyowl]

Ive just noticed how long youve been a member Antarctica,that must put you as one of the first,even more impressed.

[Tawnyowl]

I also was very impressed with your husbands account of the bankruptcy day.A journalist couldnt have written it better.

[Tawnyowl]

Best wishes antartica and husband for your new start free of debt and worry.Tawnyowl.

[Tawnyowl]

Hi blondie 80, Been trying to track you down.If you are still around i will try to help you.The Which banks offer bank accounts to bankrupts?

A. If you have not yet been discharged the following bankruptcy bank accounts are available:

• Co-operative Cashminder bankruptcy bank Account
  
• Barclays Cash Card bankruptcy bank Account
  
• Nationwide bankruptcy bank accouny
  

Basic bankruptcy bank accounts were set up through a Government scheme to help poorer families and those who have problems opening a normal bank account. The scheme is aimed at everyone access to banking facilities.

Bit of info here on bankruptcy http://www.insolvencyhelpline.co.uk/bankruptcy/index.php Will try to help find some info on the house problem if you are still around.Best wishes Tawnyowl.

Edited August 12, 2009 by tawnyowl

[Tawnyowl]

Hi Regulas ,will answer the one on assets.Have a look around this link i am sending you ,may answer a lot of your questions What happens to your assets in Bankruptcy? | Bankruptcy | The UK Insolvency Helpline Sorry to hear of your unemployment.Something will turn up i hope for you soon. Will answer about the aftermath of bankruptcy next Good luck in finding a job. Tawnyowl

[Tawnyowl]

I suppose this is certainly possible and does happen.If caught i suppose they would get a good telling off and possibly face a bankruptcy restriction order.Tawnyowl.http://www.insolvency.gov.uk/pdfs/guidanceleafletspdf/bro.pdf

Edited August 12, 2009 by tawnyowl

[Tawnyowl]

True Antarctica,pcs,things of small value the OR wont be interested in.Its when things lets say above a thousand they might be interested in.Thanks for pointing that out.I will say this the OR has seen it all heard it all heard it all before and is not fooled easily,best to be completely honest i feel.That way you cant be tripped up.If you are genuinly going bankrupt,you usually have next to nothing left.Think i had better put this link in.Will explain more. http://www.insolvencyhelpline.co.uk/bankruptcy/bankruptcy-faqs.php#faq6 Tawnyowl.

Edited August 13, 2009 by tawnyowl