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OUR TEAM ARE AVAILABLE NOW TO HELP WITH COMPLEX INSOLVENCY ISSUES

 

When is my name removed from the Insolvency Register?

Your bankruptcy is completely removed from the Insolvency Register 15 months after you entered into bankruptcy or 3 months after discharge. The Insolvency Register (Google it) is a public record of all those persons currently involved in Debt Relief Orders, Individual Voluntary Arrangements and Bankruptcies i.e. court sanctioned arrangements.

You are automatically discharged after 12 months and in some cases people are even discharged before the end of the 12 month period.

These include persons whose circumstances are unlikely to change viz. pensioners, people on DLA, etc. It is important that you obtain a certificate of discharge when you have completed the 12 month period and submit copies to the three main credit reference agencies, as there can be delays before information is updated. There is a charge for the discharge certificate, but it’s worth paying.

Bankruptcy UK specialises in taking people through the bankruptcy process in a straightforward manner. We will assess your circumstances then submit the bankruptcy application online. Court appearances are no longer required for bankruptcy. Call us for a chat about your circumstances on 01425 600129.

Will I still have to pay Council Tax arrears if Bankrupt?

Council Tax may generally be included in a bankruptcy, but there might be complications if a Liability Order has already been issued and an arrangement with Bailiffs has been made e.g. £150 x 6 payments. Under these circumstances, you might be obliged to complete the arrangement despite having gone bankrupt and the Official Receiver might not intervene.

It is therefore very important that you make an arrangement with your Council before they issue a Liability Order. A Liability Order is the seventh and final stage a Council will take to recover outstanding council tax. You would have had plenty of notice that trouble is coming and it can be avoided by simply offering a low, affordable amount.

Bankruptcy UK specialises in taking people through the bankruptcy process in a straightforward manner. We will assess your circumstances then submit the bankruptcy application online. Court appearances are no longer required for bankruptcy. Call us for a chat about your circumstances on 01425 600129.

How do I apply for bankruptcy? I have around £25k debt and mortgage arrears

The former Debtors Petition and Statement of Affairs have since been replaced by an 8-part online form which you can access by entering ‘Apply for Bankruptcy’ into Google and following the prompts on the Insolvency Service’s website. You will initially be asked to provide some basic information, at which point a 12-digit security code will be emailed to you. Once you have this, you may proceed.

Care needs to be taken when completing the income and expenditure section as, if it is found that there is surplus income, you could be placed in an Income Payments Agreement (IPA) for 36 months. We were very surprised to find the Insolvency Service generously inviting us to claim costs for things like hairdressing, social clubs, alcohol, tobacco, entertainment, newspapers, magazines and gifts – but guess what? These things are not allowed!

We counted around 18 separate items that would definitely not be allowed and if you happened to include any of these in your income and expenditure, you would have unwittingly painted yourself into a corner. If you consider that an IPA of £250pm will cost £9000 over three years, we recommend you speak to our advisors. We are very aware of the importance of the income and expenditure and know exactly what may be claimed and for what amount.

Please note that entering into bankruptcy will not directly affect your property (you mentioned arrears) but if you intend giving up the property, any shortfall will also be included in the bankruptcy. We have found cases where people are in hopeless negative equity and really struggling with high monthly payments on mortgages / secured loans – in these cases, it might be best to surrender the property and go into rented.

Bankruptcy UK will assess your circumstances, prepare the necessary paperwork, then submit the bankruptcy application online. Court appearances are no longer required for bankruptcy. Call us for bankruptcy help on 01425 600129.

If I am an accountant how will bankruptcy affect me?

I am an accountant thinking of going bankrupt – how will it affect me? I have personal guarantees that I cannot meet. I am a partner of a licensed practice and looking for help with this debt. What should I do?

If you have unmanageable debt and need a fresh start, bankruptcy could be the answer. You didn’t mention whether you are a Director of the company; if you are, you will need to step down from that role, but can reapply after 12 months. Likewise, there may be restrictions on practicing as a Chartered Accountant during the same period, though lesser roles might not be a problem.

We would also need to establish what assets you have and whether these might be under threat. For example, if you owned a property with negligible equity it wouldn’t be under any immediate threat. You could argue, however, that even if there was, say, £30,000 equity and the personal guarantees totalled £150,000, it might still be in your best interests to proceed. Until we have a complete picture we can’t say for certain and we therefore ask you to call in when you have time.

Bankruptcy UK specialises in taking people through the bankruptcy process and submitting the bankruptcy application online. Court appearances are no longer required for bankruptcy. Call us for an informal chat on 01425 600129.

Bailiffs | Will Bailiffs remove my furniture if I go bankrupt?

Bailiffs

We are often asked the question Will Bailiffs remove my furniture if I go bankrupt? The answer is generally no but peoples circumstances  can vary enormously. However if you have high value items such as vehicles, antiques and an abundance of assets that you may have collected which are known to your creditors then theres a good chance that items that fall outside the perimeters of you basic needs then yes.

 

I’ve received conflicting information about two things recently: cars and household goods in bankruptcy. Is there any official directive about whether the value of cars that may be kept and whether household goods are safe in bankruptcy?

Yes there is, but few people know about them. At the risk of sounding bookish, paragraph 30.145 on the Insolvency Service’s Technical Manual (you can find this online) clearly states that the prescribed limit for cars is £1000, provided they are needed for work or for care work. However, this figure is not set in stone and this number is often stretched according to circumstances. For example, a Senior Manager or company rep might need a slightly better car in terms of company policy and the Insolvency Service can’t make any decision that might result in the loss of a job.

Regarding household goods, these are safe in bankruptcy. paragraph 31.10.11 on the Insolvency Service’s Technical Manual says, and we quote: Such clothing, bedding, furniture or household equipment and provisions as are necessary for satisfying the basic domestic needs of the bankrupt and his/her family do not form part of the bankrupt’s estate. Amazingly, we’ve heard about Debt Advisers saying that household goods are attached in bankruptcy, but nobody comes to the house at any point in bankruptcy.

Bankruptcy UK will guide you seamlessly through the bankruptcy process as we have been doing since 1998. We will avoid jargon and confirm all discussions by email within 30 minutes. Call us for a chat about your circumstances on 01425 600129.

Considering Bankruptcy As An Option

 

All financially active people can end up considering bankruptcy at some point in their life.

Most individuals choosing bankruptcy as an option is the last resort.

Our clients consist of professionals and ordinary people with over £25k debts. They are ordinary folk who have jobs and lives to manage and have simply ended up in financial positions that they would never have been able to foresee that they would have ever been in this position.

Who considers bankruptcy as an option

Its not just ordinary householders that consider bankruptcy as an option. Its Barristers., Doctors, Dentists, Estate Agents, Independant Financial Advisors, Builders, architects all manner of professionals as well as Tradespeople, Property Developers, Traders, Online Gambling or Forex traders.

Ordinary people living ordinary lives with ordinary financial commitments where a change has happened that influences everything.

Retired people who have tried Debt management Plans, or have entered an IVA which has failed or is failing.

Recently divorced or separated where one or the other has accumulated debts and now has monthly payment commitments where the income just isn’t sufficient so service living cost monies and minimum repayments.

People who have entered an IVA and who realise that actually they have no assets ton protect, they have agreed that the payments are to increase and subsequently cannot mange these higher payments because there are costs that weren’t foreseen or included at the time the IVA was arranged, or they have received an annual statement only to find that no monies have been paid to the creditors at all and all monies paid over have gone to pay the IVA company’s fees.

Self Employed individuals who have run into difficulty with HMRC and its usually a demand for payment or a bailiff visit or letter that triggers them to take action.

Company directors who have ended up in a position where future trading seems impossible because of something that has happened.

These reasons usually consist of.

  1. HMRC demands for payment for monies that are unavailable through the business. It may be that personal credit has already been put into the business and options are running out.
  2. Problems with an accountant who has caused the business a serious accounting problem.
  3. A dispute with a Landlord or supplier that seemingly cannot be resolved through attempts to negotiate.
  4.  Something has happened that wasn’t foreseen and the person simply doesn’t have the skill-set or knowledge to manage the situation that is ahead of them.

How can we help You:

Very importantly we are not an advice organisation. My philosophy after nearly 20 years in this industry is that anyone who asks us for help and assistance must understand that if whatever options are going to be taken are taken because the person will be asked a series of questions that they have never been asked before. The responses to these questions empowers the person with the right amount of knowledge to decide what they want to do on their own.

My experience with companies that advise is that it feels to the client that they are being sold a solution and they use words like, you must, you should.

My team are trained to ask a short series of questions that very quickly provides us with a complete snap shot of the persons circumstances, and very importantly How or what have been the contributory factors as to how they have ended up in the position that they are currently in. Its important to understand our clients needs at the very first phone call. It really doesn’t take long at all and virtually every client feels better than they did before they spoke with us. In managing services that we provide its always been so very important that a client journey is positive and that they aren’t just dealing with the problem they are dealing and finding positive solutions and new directions that will help them to move to safer ground and be in control. Our job is to empower our clients with the basic skill sets are are needed to move into the future with.

Our job is to provide the solution that works for you.

 

How long will my IVA stay on my credit report

All debts remain on your credit file for six years, which can be frustrating for those who have recently completed a 5 – 6 year IVA, as the ‘Footprint’ stays there for several more years. There are so many people who opt for IVAs ahead of bankruptcy, despite the fact that they have no assets such as property or businesses – the purpose of an IVA is to protect assets which might otherwise be lost in bankruptcy. This results in them being stuck in a completely unnecessary IVA for at least five years, when they could be in and out of bankruptcy in 12 months or less.

While on the subject, people should note that properties in negative equity are not lost in bankruptcy, provided mortgage payments are maintained. It should also be pointed out that if a property is involved in an IVA, it will run for six years and not five. This is because there is a so-called four year re-mortgage clause in these agreements which obliges the individual to release funds from their properties after four years. Since this will never be possible because of an impaired credit rating, the IVA remains in place for a sixth year.

It still troubles us how many ordinary people have been placed in IVAs when bankruptcy was  the correct solution. People in rented and holding down everyday jobs have no place in an IVA but this is big business for the IVA companies and they will place virtually anybody in one of these wretched arrangements.

Bankruptcy UK has been helping people with insolvency since 1998 and has the experience to get you the right result every time. We will avoid jargon and confirm all discussions by email within 30 minutes. Call us for a chat about your circumstances on 01425 600129.

 

When is my name removed from the Insolvency Register?

When is my name removed from the Insolvency Register?

Your bankruptcy is completely removed from the Insolvency Register 15 months from the date you entered into bankruptcy or 3 months after discharge. The Insolvency Register (Google it) is a public record of all those persons currently involved in Debt Relief Orders, Individual Voluntary Arrangements and Bankruptcies i.e. court sanctioned arrangements.

You are automatically discharged after 12 months and in some cases people are even discharged before the end of the 12 month period.

For those that for whatever reason have entered bankruptcy either voluntarily or involuntarily and have failed to cooperate with the Insolvency Service or trustee then there is a strong chance that they will have what is known as a bankruptcy restriction order against them. This can happen sometimes for innocent reasons such as moving home and not receiving letters from the Insolvency service. Or simply because there is sensitive information that is being requested that people either really don’t wan to answer or haven’t got or don’t know how to get information that is being requested. there is also the people who are just afraid and go into their shell and cant face what needs to be dealt with. Or they simply couldn’t find someone to assist them.

These include persons whose circumstances are unlikely to change viz. pensioners, people on DLA, etc. It is important that you obtain a certificate of discharge when you have completed the 12 month period and submit copies to the three main credit reference agencies, as there can be delays before information is updated. There is a charge for the discharge certificate, but it’s worth paying.

Bankruptcy UK has been helping people with insolvency since 1998 and will guide you through the process step by step. We will avoid jargon and confirm all discussions by email within 30 minutes. Call us for a chat about your circumstances on 01425 600129.

Council Tax Arrears Bankruptcy-Need Help? Call

Will I still have to pay Council Tax arrears if Bankrupt?

Council Tax arrears bankruptcy? Council tax arrears may generally be included in a bankruptcy, but there might be complications if a Liability Order has already been issued and an arrangement with Bailiffs has been made e.g. £150 x 6 payments.

Under these circumstances, you might be obliged to complete the arrangement despite having gone bankrupt and the Official Receiver might not intervene.

Its a fact that quite a high percentage of bankruptcy orders are granted from applications that are from local government in relation to council tax arrears bankruptcy.

People often don’t seem to realise that if they are a homeowner and they are about to be made bankrupt for a few thousand pounds worth of council tax then it is going to have a damaging and debt escalation to a level possibly never seen before that will appear unfair and will result in action to obtain an order of sale against the house

If you are a bankrupt homeowner because of a council tax debt then don’t delay ad simply call us today. If you have significant equity in your property and have been made bankrupt or are under threat of bankruptcy then you should get immediate help to save time and escalating costs.

It is therefore very important that you make an arrangement with your Council before they issue a Liability Order. A Liability Order is the seventh and final stage a Council will take to recover outstanding council tax. You would have had plenty of notice that trouble is coming and it can be avoided by simply offering a low, affordable amount.

Bankruptcy UK has been helping people with insolvency since 1998 and will guide you through the process step by step. We will avoid jargon and confirm all discussions by email within 30 minutes. Call us for a chat about your circumstances on 01425 600129.

How Do I Apply For Bankruptcy- Call

How do I apply for bankruptcy? I have around £25k debt and mortgage arrears

The former Debtors Petition and Statement of Affairs have since been replaced by an 8-part online form which you can access by entering ‘Apply for Bankruptcy’ into Google and following the prompts on the Insolvency Service’s website. You will initially be asked to provide some basic information, at which point a 12-digit security code will be emailed to you. Once you have this, you may proceed.

Care needs to be taken when completing the income and expenditure section as, if it is found that there is surplus income, you could be placed in an Income Payments Agreement (IPA) for 36 months. We were very surprised to find the Insolvency Service generously inviting us to claim costs for things like hairdressing, social clubs, alcohol, tobacco, entertainment, newspapers, magazines and gifts – but guess what? These things are not allowed!

We counted around 18 separate items that would definitely not be allowed and if you happened to include any of these in your income and expenditure, you would have unwittingly painted yourself into a corner. If you consider that an IPA of £250pm will cost £9000 over three years, we recommend you speak to our advisors. We are very aware of the importance of the income and expenditure and know exactly what may be claimed and for what amount.

Please note that entering into bankruptcy will not directly affect your property (you mentioned arrears) but if you intend giving up the property, any shortfall will also be included in the bankruptcy. We have found cases where people are in hopeless negative equity and really struggling with high monthly payments on mortgages / secured loans – in these cases, it might be best to surrender the property and go into rented.

Bankruptcy UK specialises in taking people through the bankruptcy process in a straightforward manner. We will assess your circumstances then submit the bankruptcy application online. Court appearances are no longer required for bankruptcy. Call us for an informal chat on 01425 600129.

Accountant Bankruptcy | I am an accountant how will bankruptcy affect me?

I am an accountant how will bankruptcy affect me?

I am an accountant thinking of entering bankruptcy – how will it affect me? I have personal guarantees that I cannot meet. I am a partner of a licensed practice and looking for help with this debt. What should I do?

You have to think very carefully about these decisions. The answers are variable depending on circumstances. For example are you at the end of your career? because if you are in the middle of your career then bankruptcy would be the last thing you would want to do.

If you have unmanageable debt and need a fresh start, bankruptcy could be the answer buy as we say..Circumstances, and if this is going to wreck your future then avoid it if you can.

If you think that bankruptcy is the option and you are a director of a company you will need to step down from directorship by resigning and informing companies house that you have ceased trading.  Likewise, there may be restrictions on practicing as a Chartered Accountant during the same period, though lesser roles might not be a problem.

 

You also need to establish what assets you have and whether these might be under threat. For example, if you owned a property with negligible equity it wouldn’t be under any immediate threat. You could argue, however, that even if there was, say, £30,000 equity and the personal guarantees totalled £150,000, it might still be in your best interests to proceed. Until we have a complete picture we can’t say for certain and we therefore ask you to call in when you have time.

Bankruptcy UK has been helping people with insolvency since 1998 and has the experience to get you the right result every time. We will avoid jargon and confirm all discussions by email within 30 minutes. Call us for a chat about your circumstances on 01425 600129.

 

Bankruptcy Options | Stay in control with your options

Bankruptcy Options

Is bankruptcy really the only way out?

Ordinary people often don’t understand the language used in insolvency or bankruptcy matters. People are afraid of the letters and are put off by the fact that they don’t actually think they can do anything about it.

We are expert Insolvency problem solvers and the first task conducted by us to to ensure that the person grasps the meaning of what is exactly happening and the implications if they fail to respond properly to action that is being taken against them.

Bankruptcy options
Bankruptcy options

Here is one example of the questions we receive. Please be sure to look through our other bankruptcy questions.

My husband has divorced me from his finances. I have been dependant on him for the last 3 years as I am a live at home mother. When I met him I had a £50,000 liability to Northern Rock for a 120% mortgaged property that was repossessed and I have been repaying the shortfall for the past 4 years.  I have two other debts which are credit cards totalling £7,000.00. I am just wondering if there is any other option.

We could try a full and final settlement with Northern Rock and then obtain a payment holiday with the possibility of freezing the interest payments and reducing the payment down to £1.00 per month for a period of 6 months. This would give you the opportunity to get yourself repositioned and placed where you have an income and can manage your debts independently without 3rd party assistance. In many instances we are able to negotiate positive solutions with lenders that people generally are not aware of.

However, this will require you coming up with some money and if this is not possible bankruptcy is without doubt the best solution, as the amounts involved are sizeable. A plus point is that you will not have to attend court as everything is processed online and over the phone.

Bankruptcy UK specialises in taking people through the bankruptcy process in a straightforward manner. We will assess your circumstances then submit the bankruptcy application online. Court appearances are no longer required for bankruptcy.We are available to speak to you now T: 01425 600129.

Will I have a monthly payment once bankrupt

Will I have a monthly payment once bankrupt – Income Payment Agreements

People generally are so intent on getting to bankruptcy that they don’t always pay sufficient attention to the costs of living and the real breakdown of the cost of living and existing.

This will depend on your current income and expenditure, and whether you have any surplus income after all your expenses. This is arguably the most important element of the service we offer, as it is important that you claim the maximum allowable limit for all expenses. These are known as Income Payment agreements or in some instances Income Payment Orders.

 

We know the limits and have an outstanding track record in helping people avoid having to pay anything after bankruptcy, known as an Income Payments Arrangement or IPA. If you are placed in an IPA it will be for 36 months and this can amount to a lot of money over the period.

The Insolvency Service has made things tough for those attempting their own bankruptcy, as all manner of non-allowable expenses have been included on the online application. For example, we were astonished to see things like tobacco, alcohol, entertainment and club subscriptions included in the form, as we know these are not allowed.

In fact, we counted around 15 of these non-allowable expenses and if you had included any of them in reducing your surplus income to zero, you would find yourself involved in an IPA. We have a few tricks of our own for avoiding excessive IPAs so call us if you need help.

Bankruptcy UK specialises in taking people through the bankruptcy process in a straightforward manner. We will assess your circumstances then submit the bankruptcy application online. Court appearances are no longer required for bankruptcy. Call us for an informal chat on 01425 600129.

 

 

Bankruptcy UK

Bankruptcy UK