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 bankruptcy postbag for june
 will benefits money count in my BR

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T O P I C    R E V I E W
Beverley Posted - 23 June 2008 : 14:04:32
hi, three years ago, some1 made an allegation that 6yrs ago i was living with my boyfriend whilst claiming benefits, i havent been taken to court but they said i had 2 start paying the money back, they say i owe £40.000. my husband went BR last week and i am just filling in my forms 2 do the same, will the benefits money count in my BR. thanks for your help Beverley

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melanie_giles Posted - 23 June 2008 : 22:36:11
Overpaid tax credit should be included as a creditor in the bankruptcy, and should not affect future credits due.

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
Dee Posted - 23 June 2008 : 20:45:21
I take it this is different to overpaid tax credits because I was advised that these will be written off, they will continue to make the deductions for the remainder of this tax year only.

Dee
JulianDonnelly Posted - 23 June 2008 : 16:18:41
Good point Suzanne!

Regards

Julian Donnelly
Spokesperson for www.Bankruptcyhelp.org.uk
Suzanne Posted - 23 June 2008 : 14:59:16
Hi Beverley
The benefit money is a provable debt in bankrutpcy. However, if you continue to receive benefits, they will deduct this debt from future benefit monies.

Suzanne Stocker
Bankruptcy Manager
Jones Giles Ltd
JulianDonnelly Posted - 23 June 2008 : 14:30:07
Hi Beverley and welcome to the forum.

As long as it's an unsecured debt and not as a court fine, it should be written off in your BR.

Regards

Julian Donnelly
Spokesperson for www.Bankruptcyhelp.org.uk

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