Should I go bankrupt?

[Riz]

Re: Should I go bankrupt?

Rizzle, could you explain what a transaction at undervalue is, the house was sold on the open market for the best price I could get at the time and in line (although the bottom end) of the estate agents valuation. I have no connection with the purchaser.

When you give money to someone, and do NOT receive adequate consideration in return.

To take a extreme example....

Imagine you have £10K, but are about to go bankrupt anyway, and that £10k will not stop that. Rather than the OR/creditors take that, you decide to buy a boiled sweet off your cousin in return for the £10K.

Obviously in any reasonable terms, that is taking the pee, and is clearly a ruse to avoid the £10k being taken in the BR.

Insolvency law recognises that people try that sort of thing, and categorises it as a Transaction at undervalue.

Doesn't have to be so extreme or silly, but you get the idea.

In fact, a pure gift can be considered one.

The law then allows the bankruptcy trustee to look at such transactions within a reasonable time-scale, and if necessary take legal action to reverse them.

Now back to your sale......

I'm NOT saying the sale itself might have been a TUV.

I'm saying that giving your OH money from it might have been?

Or at the very least if there is no firm reason in law for her to be entitled to the money, the OR/trustee may take a very close look at it.

[Never-In-Doubt]

Re: Should I go bankrupt?

Niddy. I think it's reached a point where I may just bundle him into the back of my car and drive him to a Law Centre myself

We're getting there slowly

But and I mean this with the greatest of respect, it has to be Jon's call - last I spoke he was only 50/50.

I think what you're doing here is awesome but please no pressure, this is something that needs 100% concentration and last time I spoke to Jon it was evident he was not ready to take the plunge and I suggested he do nothing for a week and instead considers options, including speaking to 4 mods who have been through it.

Anyway, I only want what is right for Jon but for the same respect it must be his decision.

[PlanB]

Re: Should I go bankrupt?

Jon

So what's the latest then? Have you made any decisions or just enquiring...?

I notice you have your PA hard at work, make sure you pay her the bag of nuts at the end of the week

Niddy. I think it's reached a point where I may just bundle him into the back of my car and drive him to a Law Centre myself

We're getting there slowly

[Never-In-Doubt]

Re: Should I go bankrupt?

Jon

So what's the latest then? Have you made any decisions or just enquiring...?

I notice you have your PA hard at work, make sure you pay her the bag of nuts at the end of the week

[PlanB]

Re: Should I go bankrupt?

Thanks PlanB , Bham law centre can't hep as I live outside their catchment area. Goint to try Coventry law centre

Birmingham Law Centre may not see you but the Birmingham Legal Advice Centre doesn't have a catchment area policy and they just told me there is an appointment free on 10th July

[jon1965]

Re: Should I go bankrupt?

Thanks PlanB , Bham law centre can't hep as I live outside their catchment area. Goint to try Coventry law centre

[PlanB]

Re: Should I go bankrupt?

I believe you may go to Birmingham from time to time so try this Law Centre which gives free advice on debt and could refer you for charity funding for BR

http://www.birminghamlawcentre.org.uk/aboutus/index.htm

I've spoken to the Birmingham Law Centre and they have appointments available for debt issues next week so call them pronto to book a slot

Also try the Birmingham Legal Advice Centre which is part of the LawWorks network of clinics (I work in one in London) and they're dead good too

http://www.lawworksclinics.org.uk/bhamlac/index.php


Sorry to hear the CAB were useless this morning. It's not really their fault it's all about this rotten Government's austerity cuts

[PlanB]

Re: Should I go bankrupt?

In the case above, would it be crucial that the defendant is bankrupt BEFORE appearing in court?

I'm not a qualified lawyer but I would think that the optimum time would be to arrive at any final hearing as a BR so it doesn't look like a last minute avoidance strategy This could be months and months away or indeed never

[PlanB]

Re: Should I go bankrupt?

Well CAB were about as much use as a chocolate tea pot. I have an appointment in Coalville of all places on 17th July (Hinckley couldn't do one till August) with the debt advisor. As some of you know 16th July is another important day for me.


Also looking at the links that PlanB kindly put up, they all need support from some form of money advisor, am I going to have to wait for CAB or is there another avenue?

I believe you may go to Birmingham from time to time so try this Law Centre which gives free advice on debt and could refer you for charity funding for BR

http://www.birminghamlawcentre.org.uk/aboutus/index.htm

[jon1965]

Re: Should I go bankrupt?

Well CAB were about as much use as a chocolate tea pot.
I have an appointment in Coalville of all places on 17th July (Hinckley couldn't do one till August) with the debt advisor. As some of you know 16th July is another important day for me.

Rizzle, could you explain what a transaction at undervalue is, the house was sold on the open market for the best price I could get at the time and in line (although the bottom end) of the estate agents valuation. I have no connection with the purchaser.

Also can someone clarify that i would be liable to be paying monety towards the BR for a total of 3 years (assuming I get a job etc) and that within those three years were i to come into some money they would take some of it.

Also looking at the links that PlanB kindly put up, they all need support from some form of money advisor, am I going to have to wait for CAB or is there another avenue?


P.S. Masses of lovely post today,I had to open it all just to check there was nothing for my "normal life" but it is all in a pile waiting for another time, another day if ever. Shame there was no SD in there lol

P.P.S One of them offered me a discount so i asked Dx and he said it must be UE

[jon1965]

Re: Should I go bankrupt?

Thanks
Seems I still have a lot to learn
There was me thinking that it would all be over in a year but I see it goes on for 3.

Might have to have a rethink but lets wait and see what CAB say tomorrow.

[IF]

Re: Should I go bankrupt?

Forgot this link too:-

Income Payment Agreements & Orders

[IF]

Re: Should I go bankrupt?

Have a read here Jon xx

Income Payment Agreements/Orders.

• Changes for new IPAs from 1st Dec 2010 - Click here
• IPO / IPA (Income Payment Orders and Income Payment Agreements) (IS)
• Annex A – Assessment of real disposable income where the bankrupt's income is derived in part from state benefits
  Annex B - Guidance on the assessment of real disposable income where the official receiver seeks to claim a lump sum payment
• Income payment agreements (IPA)
  Spreadsheet showing average UK spending calculated from the Office of National Statistics publication ‘Family Expenditure Survey’
• IPA calculator Pre 01 December 2010
• IPA calculator Post 01 December 2010

[jon1965]

Re: Should I go bankrupt?

Hi
Just been eading FF's story. What is an IPA? he said he had BR for a year then IPA for 3?

[jon1965]

Re: Should I go bankrupt?

Well I am off to CAB tomorrow to discuss it all. Knowing the lot where I live I will know more than them!