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T O P I C R E V I E W
Trish Maley
Posted - 18 November 2010 : 09:20:57 Hi All
After having had a DMP with CCCS for several years and then losing my job due to ill health, I now rely solely on IB, DLA and IS for my income. It is unlikely that I will return to work (I am 57 and still have ongoing health issues)and CCCS have now suggested I declare myself Bankrupt.
My questions are as follows:
1) I have a catalogue debt of £500 which was not included in my DMP. Do I declare it as another Debt?
2) Because my mobility is so bad, I want to use my DLA to acquire a car through the Motability Scheme (hopefully before I am discharged from BR). Would I discuss this with the OR?
Any advice/suggestions would be gratefully received as I am New to this!
Thanks
Trish
4 L A T E S T R E P L I E S (Newest First)
Blackie
Posted - 19 November 2010 : 08:26:15 Hi Trish
Thanks for the clarification. It looks then as if bankruptcy may be your best option. It may cost you £450 however - you should be able to waive the court fees of £150.
The catalogue debt that you mention should be included and it will not jeopardise your Bankruptcy Petition. Any debts incurred prior to bankruptcy can be included.
The second part of the letter that you received from Motability has caused slight concern because the Trustee or OR will not be able to confirm that any debts incurred during the agreement will be met. Any debts incurred after the date of bankruptcy are your responsibility.
All the best
John Blackadder
Trish Maley
Posted - 18 November 2010 : 17:17:56 Thanks for the suggestion - but my debts are over £15000. What I meant about including the catalogue debt in the petition is that I thought I should pay it off before I petition for bankruptcy as it is a new debt and I thought it may cause my petition to be thrown out? As to Motability, I have asked them about bankruptcy and advised as follows: "I am pleased to advise this will not affect your application in any way. We would require a letter from the Bankruptcy Trustees confirming they have no objection to the agreement. Also you need to confirm that the Trustees will meet any debts incurred during the agreement while you are still declared as bankrupt."
Regards
Trish
Richard P
Posted - 18 November 2010 : 11:08:33 Hi Trish
All of your debts need to be included in the petition. yes agree with blackie research DRO.
I think that you would have to speak to the motability scheme, the small print may enable you to have a mode of transport before declaring BR especially if medical requirement. with motability scheme they remain the owners of the car. discuss with them is it a loan or monthly rental of the car !
The bankruptcy guidelines say an owned vehicle should not be valued above £2000.
Richard
Blackie
Posted - 18 November 2010 : 09:47:00 Hi Trish
Bankruptcy may be your best bet but not your only debt relief procedure. There is another way if your debts are under £15,000 - including the catalogue mentioned, you do not have any assets and your disposable income - cash left at the end of the day once your bills have been paid - is under £50 per month.
Do come back to the forum as there will be some good advice offered.
