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T O P I C R E V I E W
Not sure where to turn
Posted - 12 March 2013 : 14:02:00 Basically, I declared myself bankrupt June 2012. I had no way of paying my debts and the OR put in place a nil tax code until end of this financial year.
I was recently involved in a car accident (someone drove into the back of me), the other side has admitted liability and I am expecting my insurers to write off my car and I shall be receiving a settlement cheque for approx £800; this money will be used towards a purchasing a new vehicle as I need a car to get to work. The official receiver accepted that my old car was a necessity and allowed me to keep it. What is the maximum I can spend on a new car, a friend has offered to lend me some money to put towards a new car as I am going to find it difficult to find a reliable car for £800.
The other question I have is if I pursue a personal injury claim against the other side and am successful do I have to pay over the money to the official receiver? - I have been advised that I could possibly receive £2,000. Any advice would be much appreciated.
2 L A T E S T R E P L I E S (Newest First)
Viki.W
Posted - 13 March 2013 : 09:48:11 Hi,
You will need to notify the OR of the accident and the insurance and injury claim straight away. The OR will advise what will happen.
You should be ok to use that money to replace your car but run it past the OR to see if it ok to lend you some money and how much you can spend. You can normally have a car up to £2k but it does depend on the individual OR.
As regards the injury claim then I think it depends upon how the claim is made up - again it would be something to discuss with the OR at the time.
