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Michael.91
Starting Member
1 Posts |
 Posted - 14 January 2012 : 08:02:25
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| if you are bankrupt and have no money why are you made to pay to become bankrupt? |
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 14 January 2012 : 08:11:40
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Hi Michael,
Are you talking about the court fee to declare bankruptcy?
If you are struggling and on low income or certain benefits, you may be entitled to a reduction in the court fee.
I suggest you visit the CAB for advice or contact an expert on here.
Viki Warbrooke
Vincent Bond & Co
If you would like free advice on all options available and help with your bankruptcy petition please contact me at http://www.vincentbond.com/about_us_Viki_Warbrooke.asp
Please read my experience of debt via my blog at http://vikiw.blogs.iva.co.uk/ |
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xmas baby
Average Member
537 Posts |
Posted - 16 January 2012 : 16:18:45
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Hi Michael,
This is one of the wonderful quirks of bankruptcy, having to find money that you don't have in order to pay for the actual bankruptcy fee.... it's crazy I know. One of the ways in which you can raise this money is to stop paying any debts you have and pay it that way. Yes, it means the creditors will be phoning you non stop until you actually go bankrupt, but at least you can then pay the fee and get the ball rolling as it were. There may be other options if you can't raise the funds that way, although that is the route I took and it worked for me.
Good luck
xmas baby |
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debtinfo
forum expert
2826 Posts |
Posted - 16 January 2012 : 19:23:15
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although it may seem funny at first there are reasons
first bankruptcy is a service, you need offices, people, there are bills to pay, it all costs money to run and the IS has to make a charge for that.
(in fact they have to make sure they are solvent themselves which is why they are currently looking to close 15 offices and have been and will be making more people redundant)
there are only 3 groups of people that could pay for that charge
1) is the taxpayer, now the taxpayer does pay for a special section whose main purpose is to protect the public from rogue bankrupts and that is deemed acceptable as the service is to the public in general rather than the bankrupt, but the main part is to provide protection to and sort out the affairs of the bankrupt and basically clean up the mess that the bankrupt (whether though their own fault or otherwise) has got themselves in to, it has always been deemed unacceptable that the taxpayer should pay for that service
2. is the creditor, again if the creditor instigates the bankruptcy and requests the IS to work then they pay the initial sum but where they havenot requested it and in fact stand to lose much of their rights to collect their debt it would seem wrong to ask them to pay for it.
3. is the debtor who requests the protection of the bankruptcy court and so instigates the service being given and therefore bears the cost |
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Daniel Griffiths
Junior Member
United Kingdom
268 Posts |
Posted - 16 January 2012 : 21:10:04
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Debtinfo
An excellent detailed reply to a much asked question, you would have made a very good Barrister |
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debtinfo
forum expert
2826 Posts |
Posted - 17 January 2012 : 08:44:56
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| Ha ha, thanks, I am looking for a job, in insolvency though :) |
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Topic |
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If you have no money why do you have to pay to go bankrupt ?
