| T O P I C R E V I E W |
| Mark.cy |
Posted - 30 December 2010 : 18:24:51
Folks,
I am currently in Bankruptcy and have a question related to new legislation introduced on the 1st December.
My question is this;
I declared myself bankruptc on the 21st oct 2010. Following my OR interview, I then began employment which meant my original statement of affairs needed to change. By the time I had been contacted by the OR (who I advised of this employment change at the original interview) for a new statement, 1st December had gone.
I am now unclear whether I will be affected by the new legislation covering ALL surplus funds for an IPA as opposed to the previous 70%-ish levelas, although I went Bankrupt in October, I still have no IPA in place due to my new statement of affairs.
Can anyone advise whether I will be affected?
Kind regards,
Mark |
| 15 L A T E S T R E P L I E S (Newest First) |
| Skippy |
Posted - 01 January 2011 : 14:35:39
I agree Viki, and I would have thought that it would make it easier for the examiners as well.
I've always thought it wrong that BR is sometimes (and I know not always) easier than an IVA, and for a long time I've thought that ED shouldn't be an option.
View my blog at http://skippy13.blogs.iva.co.uk/
Only when the last tree has died, the last river has been poisoned and the last fish has been caught will we realise that we cannot eat money.
Last IPA payment made on 28th June 2010 - it's over at last! |
| Viki.W |
Posted - 01 January 2011 : 14:27:16
My personal opinion
(and I realise that the rules have always been there and there is no real change as such)
is that, the Insolvency Service should have announced that all of these changes were going to happen at a certain date and it would only be for people declaring bankruptcy after that date.
That way, a lot of people might have chosen a different debt solution such as an IVA, which would have safeguarded their home and wouldn't make them worry for nearly 3 years about whether their home would eventually be taken.
I don't think that it's wrong that bankruptcy will be harsh, and as RHB said, maybe they might change the AD time too, but I think people should have known what they were getting themselves into before.
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/ |
| RHB |
Posted - 01 January 2011 : 12:26:58
There has been mention of BR reverting back to 3 years until automatic discharge which tbh would stop people not taking a job because of the risk of getting an IPA. |
| Niobe |
Posted - 01 January 2011 : 11:29:01
Thanks Viki.
Buckle your seat belt Dorothy, 'cos Kansas is going bye bye.
Jan
xx |
| Viki.W |
Posted - 01 January 2011 : 09:17:22
If your house is in negative equity, they may wait for 2 years and 3 months and see if there is any equity at that point, if not, then it will revert back to you.
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/ |
| Niobe |
Posted - 01 January 2011 : 08:55:28
I didn't realise that they were stopping the buying out of BI. Does this mean that even if your house is in negative equity they can force you out of it?
Buckle your seat belt Dorothy, 'cos Kansas is going bye bye.
Jan
xx |
| debtinfo |
Posted - 31 December 2010 : 16:56:15
Of course part of the rason for the current predicament is the reduction in fees to £90 for a DRO for the ones at the very bottom, that was a huge loss of income for the IS, i wonder if they regret bringing that in now |
| Skippy |
Posted - 31 December 2010 : 15:46:40
I can't believe how much it's gone up over the last few years. When I went BR it was less than £500, so that's a big jump for people who have no money!
View my blog at http://skippy13.blogs.iva.co.uk/
Only when the last tree has died, the last river has been poisoned and the last fish has been caught will we realise that we cannot eat money.
Last IPA payment made on 28th June 2010 - it's over at last! |
| Viki.W |
Posted - 31 December 2010 : 14:55:25
I know, I completely agree with you Debtinfo.
I wonder if the £600 fee will increase much this year too?
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/ |
| debtinfo |
Posted - 31 December 2010 : 13:56:38
yes but someone has to pay for the process or people would not be able to take advantage of the protection that bankruptcy offers |
| Viki.W |
Posted - 31 December 2010 : 12:18:46
A pity really, as a lot of people who go bankrupt are happy to repay creditors through an IPA, maybe not so happy if it doesn't actually reach the creditors!
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/ |
| Bigal4787 |
Posted - 31 December 2010 : 11:54:48
Hi,
the IPA changes, withdrawal of the ability to buy out BI in property, laying off all their contract examiners,and now the possibility of them reducing permanent staff by 20% by April 2011, it's all about increasing fee income for the IS, getting a better return for creditors is secondary!
Big Al
Insolvency examiner with the Insolvency service from April 2008 - July 2010.
If you need help completing SOA's(statement of affairs) or PIQ's(preliminary information questionnaire) if you've been declared bankrupt, or anything else and you're within 30 miles or so of Warrington, then please contact me via my contact details in the expert page for futher details"
|
| debtinfo |
Posted - 31 December 2010 : 10:21:28
well, as they are increasing income to save the jobs of their own employees which they need to do fast, it is not really that strange, they must have calculated that ovell all this will raise income even if in some cases it means people dont work |
| Viki.W |
Posted - 31 December 2010 : 08:10:37
I do think it is strange that they haven't increased the allowances in line with IVAs, to include things like Sky TV, hobbies etc.
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/ |
| Cartway |
Posted - 31 December 2010 : 05:03:43
Thank you both for your replies, especially Viki who has been very helpful offline.
I appreciate also the fine point that guidelines have changed, not legislation. I do feel it is worth a discussion of my circumstances with my examiner to see whether there is any discretionary element possible, given I have recently taken up new employment. I don't expect there is of course, but the most mystifying thing about this to me is that there appears to be no incentive to work when Bankrupt. I would have thought Receivers would factor in support to employed bankrupts as ultimately staying in their job leads to more potential return for creditors. In my own case I see no value in remaining employed as I already receive a pension and falling back on that income source will probably result in no IPA...and no payments to creditors. As one who has always been prepared to surrender the majority of my income to repayments, I find it simply bizarre.... but then I am no expert on the finer points of Bankruptcy. |
