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kerrie collingwoo… (Bankruptcy Assist…): Would the courts have to …kevin (Bankruptcy Advice…): what are the bankruptcy r…
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+ 4 - 4 What is an IVA?
Posted at 14:08 on 02 05 09 in
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An IVA is an Individual Voluntary Arrangement. Individual Voluntary
Arrangements were introduced by the government in 1986 as part of The
Insolvency Act. An IVA enables you (the debtor) to make a proposal to
the people (the creditors) that you owe money to and come to a
settlement. The proposal will need to be accepted by the majority of
your creditors for an IVA to be approved. An approved IVA will then
stand as a contract that binds all parties and will prevent any further
action against you, the creditors that didn’t accept the proposed IVA
will also be forced to enter the IVA if the majority have approved.
An IVA is a legally binding contract between you and your creditors and due to its formal nature it is supervised by an insolvency practitioner. IVAs allow you to offer a larger repayment towards your debts than would be expected if you were to be made bankrupt.
What do you need to do?
You will be required to make a monthly payment over a 60 month period and after that whatever debt is left will be totally cleared, leaving you 100% debt free. An IVA is available for individuals, sole traders and partners who are struggling with their debts. An IVA is particularly used by individuals who own their own property and want to avoid the possibility of losing it through bankruptcy, an IVA is also usually the choice of individuals whose employment is of a professional status that would be affected otherwise through bankruptcy.
An IVA is a legally binding contract between you and your creditors and due to its formal nature it is supervised by an insolvency practitioner. IVAs allow you to offer a larger repayment towards your debts than would be expected if you were to be made bankrupt.
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+ 4 - 3 Avoid bankruptcy?
Posted at 14:07 on in
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Disadvantages
- You lose control of your assets (house, savings, expensive car (over £2500)
- You cannot obtain credit for over £500 without the declaring that you are bankrupt..
- You cannot take any part in the promotion, formation or management of a limited company (LTD) without the permission of the court.
- You cannot trade in any business under any other name unless you inform all persons concerned of the bankruptcy.
Occupations affected
- You cannot act as a company director.
- You may not practice as a Charted Accountant / Lawyer.
- You may not act as a Justice of the peace (JP).
- You may not become an member of parliament.
- You may not become a member of the local authority.
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+ 4 - 2 Scottish residents - Bankruptcy and Sequestration
Posted at 14:05 on in
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Personal bankruptcy for Scottish residents is called Sequestration.
To be sequestrated you must owe at least £1,500 and either:
- one or more of your creditors must have taken you to court to enforce or demand you repay a debt or
- you must have been on a debt payment programme under DAS that has been revoked and one of the creditors in the DPP have been to court and obtained a decree on one of the debts.
This situation is termed Apparently Insolvent.
Apparently Insolvent
If either of the following apply to you then you are apparently insolvent:- If you have not paid within 14 days notice of obtaining a ‘Charge for payment’.
- If you have not paid within 14 days notice of receiving a summary warrant against you to recover rates, Council Tax, other taxes etc.
- If you have not paid within 21 days notice of being served a Statutory Demand for Payment.
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+ 8 - 4 Bankruptcy Advice
Posted at 11:38 on 13 02 09 in
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The stress and worry that comes with mounting debt only persists if you try to ignore the situation, but by doing this the consequences are much worse. You could even find yourself in a position where bankruptcy is forced on you by your creditors. By filing for bankruptcy voluntarily you remain in control of the situation, and have a bankruptcy company on your side to assist you every step of the way.
Despite the myths that surround bankruptcy, you can keep the tools of your trade, bedding, clothing, furniture, your car (if under £2500) and other household goods. Once you declare bankruptcy there is NO threat of bailiffs coming round. Once bankrupt, creditors can no longer contact you for the debt as you will no longer be responsible for it.
Going bankrupt will give you the chance to wipe off your debt and have a fresh start. Within 12 months a first-time bankrupt can be discharged, and the restrictions lifted.
If you don't own your home, and if your occupation isn't affected, then bankruptcy is an insolvency option worth your time considering.
Despite the myths that surround bankruptcy, you can keep the tools of your trade, bedding, clothing, furniture, your car (if under £2500) and other household goods. Once you declare bankruptcy there is NO threat of bailiffs coming round. Once bankrupt, creditors can no longer contact you for the debt as you will no longer be responsible for it.
Going bankrupt will give you the chance to wipe off your debt and have a fresh start. Within 12 months a first-time bankrupt can be discharged, and the restrictions lifted.
If you don't own your home, and if your occupation isn't affected, then bankruptcy is an insolvency option worth your time considering.
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+ 7 - 6 The Truth About Bankruptcy
Posted at 11:35 on in
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Unless you need to protect any assets or equity, the worst thing that can come out of bankruptcy is an Income Payment Agreement or an Income Payment Order.
In the majority of cases this still works out as a better option than an IVA or Debt Management Plan.
IVAs and Debt Management Plans are not well-suited for everyone, but creditors would of course still prefer consumers entering into these to avoid bankruptcy.
Bankruptcy is a legal solution to eliminate your debt, and one that should be explored.
Here's what the UK government Insolvency Service has to say about bankruptcy:
“Before you take any action to apply for your own bankruptcy, you should get your own legal or financial advice about bankruptcy and the other options available to you. The Insolvency Service and the courts cannot advise you on specific insolvency problems; for example, whether you should go bankrupt or your company should go into liquidation, or whether you should look at alternatives. You should get independent advice. You may consult a solicitor, a qualified accountant, an authorised insolvency practitioner or a reputable financial advisor.”
In the majority of cases this still works out as a better option than an IVA or Debt Management Plan.
IVAs and Debt Management Plans are not well-suited for everyone, but creditors would of course still prefer consumers entering into these to avoid bankruptcy.
Bankruptcy is a legal solution to eliminate your debt, and one that should be explored.
Here's what the UK government Insolvency Service has to say about bankruptcy:
“Before you take any action to apply for your own bankruptcy, you should get your own legal or financial advice about bankruptcy and the other options available to you. The Insolvency Service and the courts cannot advise you on specific insolvency problems; for example, whether you should go bankrupt or your company should go into liquidation, or whether you should look at alternatives. You should get independent advice. You may consult a solicitor, a qualified accountant, an authorised insolvency practitioner or a reputable financial advisor.”
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+ 4 - 7 Bankruptcy Assistance
Posted at 11:25 on in
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Filing for your own bankruptcy in the UK can be a daunting task. Having
a specialist company lead you through the process can not only greatly
increase your chances of your bankruptcy being accepted, but can also
dramatically lessen the risk of you obtaining an IPA with a correctly
balanced income and expenditure list.
If you don't have any assets, or own your own home and your occupation isn't affected, then bankruptcy is a debt solution worth considering.
A bankruptcy specialist will require you to provide details on your income and expenditure, some history detailing how your debt problem has come to be, who your creditors are, what you owe and some other related details.
From this they will complete your bankruptcy petition, which is the document you'll be handing over to the court on the day that you go bankrupt.
Your court date won't be held in an open court; instead you are required to hand over the documentation that has been prepared on your behalf to an administration room, whereas you'll usually be asked to come back after a few hours once they've reviewed your case.
You will need to pay £495 to the court on the day that you go bankrupt to cover their administration fees.
If you don't have any assets, or own your own home and your occupation isn't affected, then bankruptcy is a debt solution worth considering.
A bankruptcy specialist will require you to provide details on your income and expenditure, some history detailing how your debt problem has come to be, who your creditors are, what you owe and some other related details.
From this they will complete your bankruptcy petition, which is the document you'll be handing over to the court on the day that you go bankrupt.
Your court date won't be held in an open court; instead you are required to hand over the documentation that has been prepared on your behalf to an administration room, whereas you'll usually be asked to come back after a few hours once they've reviewed your case.
You will need to pay £495 to the court on the day that you go bankrupt to cover their administration fees.
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+ 6 - 4 Bankruptcy Help
Posted at 12:53 on 12 02 09 in
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If you are facing a financial struggle to make ends meet then bankruptcy may be a viable option.
Creditors promote the idea of a "bad stigma" being attached to bankruptcy, when in fact this is a notion that's fading fast as more people realise that bankruptcy can be the most suitable debt solution for them depending on their circumstances:
You are able to keep the tools of your trade, and if you have a car worth £2500 or less you can keep that too. You can keep all clothing, bedding, furniture and household goods.
In most cases, first-time bankrupts can be discharged within 12 months, and in some cases as early as 7 months providing none of your creditors object.
As soon as you are discharged you can start to rebuild your credit rating again and all of the bankruptcy restrictions are lifted.
Creditors promote the idea of a "bad stigma" being attached to bankruptcy, when in fact this is a notion that's fading fast as more people realise that bankruptcy can be the most suitable debt solution for them depending on their circumstances:
- If you have no assets.
- Live in a rented property or with family/friends.
- If your occupation is not affected.
You are able to keep the tools of your trade, and if you have a car worth £2500 or less you can keep that too. You can keep all clothing, bedding, furniture and household goods.
In most cases, first-time bankrupts can be discharged within 12 months, and in some cases as early as 7 months providing none of your creditors object.
As soon as you are discharged you can start to rebuild your credit rating again and all of the bankruptcy restrictions are lifted.
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If you're looking for assistance in declaring your bankruptcy in the UK you can contact us at contact@bankruptcyservices.co.uk.
We have several affiliates on our panel and will pass your details on to one of these firms. They will contact you to discuss in detail your situation.