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liney30
Junior Member
193 Posts |
 Posted - 27 June 2008 : 16:35:54
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Having struggled for months to meet minimum payments i have now decided to declare bankrupt. Just need to clear a few things up first if anyone can help it would be very appreciated.
Firstly, some of my debt (about a quarter) is from gambling will this affect the length of time before i will be discharged?
Secondly, I purchased a fridge and bed from a catalogue on a buy now pay later but if i go bankrupt of course i will have to declare the debt. Seeing that the purchases are only a few months old would the OR be likely to cease them? Total value about £550.
Thirdly, i am in the process of opening a co op cash minder account (Who by the way were fantastic even knowing that i am going to go BR), what will happen to this? I assume i will have to declare it but it is for my wages and tax credits to be paid into so will i not be able to access it or will the OR not freeze it?
Please if anyone can help i would be very grateful.
Many thanks
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 28 June 2008 : 00:05:12
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| Hey liney30, welcome to the forum. An expert will be along shortly to advise you so please hang on. Viki X |
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Trolly-Dolly
Average Member
591 Posts |
Posted - 28 June 2008 : 16:58:16
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Good questions!
A lot of my debt is fairly new too (May 2008). It was only when a 0%apr credit card suddenly became 16.9% that I realised I was in deep doo-doo. Within the space of 4 weeks, I went from spending to deciding to declare BR. Not sure how the OR will react to that, but its the truth and if I get told off then so be it.
As for the account. I THINK it gets frozen as the OR assesses what they will take. If there is just a few hundred quid, then this will probably be left to cover your cost of living. If its thousands, then bye bye!
I would also like to know if this can happen. Judge declares BR, then OR disagrees. Can it be overturned? Or can I celebrate after court? |
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liney30
Junior Member
193 Posts |
Posted - 28 June 2008 : 18:04:46
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Thanks for your replies vicki and drowning mummy.
I am just really scared that the OR will look and say well this debt is fairly new at a time when you knew you couldn't probably repay therefore it is fraud or something.
Majority of debt has been around for many years and have good reason for it (if there is such a thing), but gambling debt is pretty new and was a reaction to be so depressed. |
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Trolly-Dolly
Average Member
591 Posts |
Posted - 28 June 2008 : 18:31:10
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Thats my concern too Liney, but in all honesty I thought I could pay it and was just trying to tread water. I have this fear that the OR will be angry with me and refer me back to the judge.
I dont know about the gambling side of things (hope you are okay and have had some help), but the OR must understand that this was an addiction to you and you were not in a right state of mind to control your finances correctly.
When are you planning on going BR?
I'm just filling forms out now, scary!
Going to start selling things on ebay next week to raise the funds. |
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liney30
Junior Member
193 Posts |
Posted - 28 June 2008 : 20:03:26
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Hoping to go BR over next couple of weeks. Gambling is now under control, blocked gambling on computer and joined gambling awareness group.
Just need to start forms.
Not all debt is gambling, majority of it is from being thrown out of home with a 3 month old baby(seven years ago) and trying to set up home with no money, so loans and credit cards got bashed and even though i now have a job (for last 2 years) debts just don't go down and became very depressed and turned to gambling. This of course made the situation one hundred times worse.
Just want a fresh start. |
Edited by - liney30 on 28 June 2008 20:05:07 |
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Skippy
forum expert
United Kingdom
3290 Posts |
Posted - 29 June 2008 : 14:20:51
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The gambling debt won't affect your discharge, providing you co-operate with the OR (and I'm not suggesting you won't!!!). You will still be discharged after 12 months, but you may recieve a Bankruptcy Restriction Undertaking (BRU) which would mean that you are subject to the restrictions of BR for up to 15 years. This means that you couldn't borrow more than £500 without declaring your BR, couldn't work in certain professions etc.
I wouldn't worry too much about the fridge and bed - these are classed as essential items and the OR isn't going to see you sleeping on the floor! I paid the deposit for a new sofa on my credit card and it wasn't mentioned.
It's not the OR who freezes the bank account, it's the bank themselves. You shouldn't have a problem with the Co-op Cashminder account as it's designed for 'people like us'! You will need to ask the OR to contact the bank ASAP to confirm that they have no interest in the account and you should be fine.
BTW, well done for getting your gambling under control, and good luck for the future x
Tomorrow is a mystery, yesterday is history, today is the present, a gift to make the most of.
View my blog at http://skippy13.blogs.bankruptcyhelp.org.uk/ |
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liney30
Junior Member
193 Posts |
Posted - 29 June 2008 : 14:44:53
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Thanks Skippy for your reply. I feel a lot more positive now. I thought that restrictions would probably be applied and no doubt i deserve them, in some ways glad won't be able to get credit - never want credit again!!! I'm just going to live to my means in future and start afresh.
Thanks |
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Helen030166
Junior Member
United Kingdom
212 Posts |
Posted - 29 June 2008 : 15:27:15
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just read this thread, and it is similar to MY situation except it is my partner with the gambling problem not me! Does this mean if we go Bankrupt together and he had this BRU put on him it effects me as well or is the bankuptcy individual and he will get it put on him and mine will be the usual 1 yr???
Helen x
Thanks for your Help,Helen x |
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 29 June 2008 : 19:29:11
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| Hey Helen, I can see you are really worried about this, I'm not an expert but I'm pretty sure that you will both go BR seperately and only your partner would get a BRU for the gambling. However, he has to give up the gambling and seek professional help for his addiction, not just for the judge but for him and YOU. Please wait for an expert to advise you, I'm sure one will be along shortly. Thinking of you. Viki X |
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melanie_giles
Senior Member
1191 Posts |
Posted - 30 June 2008 : 00:16:47
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That's correct Viki - a BRU will only affect the person who has gambled.
For an informal chat about any financial difficulties, or advice as to the options available, I can be contacted via my website - www.melaniegiles.com |
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Advice needed please!!
