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Mick
Junior Member
174 Posts |
 Posted - 21 May 2008 : 22:05:59
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Hi everyone,
Just wanted to say hello and what a great site.
I need help from people on here. At the moment I am unemployed and seeking work (so on benefits).
I have a number of debts, be they credit card debts and other credit agreements which I cannot afford to pay. The debt agencies constantly call day and night, I'm just getting sick of them. They won't accept that I can't afford to pay and offer payment 'plans' however with no money this can be a difficult 'plan'!
My question is, I sold my car 14 months ago (now use public transport), would the BR want to do a claw back on that or is it past the period laid down?
Also, I am the beneficiary of a Trust Deed on property. Can the BR claim this as an 'asset' when going BR? The trust deed was set up over 5 years ago. I have never owned property itself, but named as a beneficiary to it.
Your help would be most appreciated. |
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m and v
Average Member
United Kingdom
760 Posts |
Posted - 21 May 2008 : 22:29:13
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Hi Mick - welcome to the site!
I have been through BR myself recently but am afraid we need one of the forum experts to answer your questions about the property.
As far as the car goes - question 3.7 on the SOA asks if you have disposed of a car in the last twelve months so that makes me think anything beyond that the OR isn't interested in. Hopefully an expert will confirm that!
Don't worry one will be along soon.....most seem to come online at night!
Vicki x |
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Helpful Advice
Average Member
United Kingdom
646 Posts |
Posted - 21 May 2008 : 22:33:07
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Hi Mick,
Welcome to the forum,
They only tend to look at vehicles sold or transferred in the last twelve months so this will be fine, Also they are looking to see if the vehicle was transferred or sold at an undervalue if the vehicle was sold at the correct price even within the twelve months this also would be fine.
What are the details of the trust?
Who does the property currently belong and who is living there?
Kind Regards,
Brett England
Bankruptcy Specialist
England,Jackman & Spacey
WebSite www.ejands.co.uk
View my personal story & blogs at:
http://brettengland.blogs.bankruptcyhelp.org.uk/ |
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Mick
Junior Member
174 Posts |
Posted - 21 May 2008 : 22:57:22
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Hi again, thanks for the welcome :)
Brett, the property is in my sisters name and she lives there. I am on there as a beneficiary to the trust in which it is held. She the the 'owner' on land registry but as I paid some of the monies for it when purchased I am the benefactor to the trust. (She holds it in trust for me) Its over 5 years since the trust was done, does this mean it will not be pursued or can the OR/Trustee claim this as an 'asset'. I have spoken to my sister and she wants to know if its possible to buy my share out etc. |
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melanie_giles
Senior Member
1191 Posts |
Posted - 21 May 2008 : 23:03:35
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It would seem that your interest in the property would be claimed as an asset for the estate, but you will probably need to run this by a lawyer to be sure.
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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Mick
Junior Member
174 Posts |
Posted - 21 May 2008 : 23:06:43
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| I was of the understanding that if the money/property was gifted/given over 5 years ago then I would not have to disclose this as disposal of an asset? As I am only a beneficiary, I could in respect of this give up my right to the benefit of the trust? |
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melanie_giles
Senior Member
1191 Posts |
Posted - 22 May 2008 : 08:22:08
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This is a complicated area Mick, and you really do need to take legal advice. If the Trustee believes that there is an asset they are duty bound to recocer it for the benefit of the estate. The five year ruling is a guideline, but Trustee's can go back as far as they like if they feel that assets have been transfered to the detriment of creditors. What was your financial position when you gave your sister the money, and how much are we talking about?
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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Mick
Junior Member
174 Posts |
Posted - 22 May 2008 : 08:45:51
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Hi Melanie,
thanks for the reply. it was £20k, at the time I was okay in terms of solvency etc. |
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Helpful Advice
Average Member
United Kingdom
646 Posts |
Posted - 22 May 2008 : 09:46:54
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Hi Maick,
As Melanie says this is a complicated legal scenario.
It would very much depend on the wording of the trust and how you as a beneficiary would receive funds and when.
You need to be very careful about giving up your right to the trust or any other transaction at this point.
Your sister can purchase your share so long as this is done at the correct value, if you do go down this road you may then have an alternative available to you rather than going Bankrupt, but I do suggest you seek legal advice.
Kind Regards,
Brett England
Bankruptcy Specialist
England,Jackman & Spacey
WebSite www.ejands.co.uk
View my personal story & blogs at:
http://brettengland.blogs.bankruptcyhelp.org.uk/ |
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Mick
Junior Member
174 Posts |
Posted - 22 May 2008 : 20:35:03
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Thanks Malanie and Brett,
From what I understand the OR looks at monies within the last 5 years, where trusts are concerned? i.e where the bankrupt is the settlor.
Although I am a beneficiary, I have read that this is not open to attack by the OR?
Link here:
http://www.collyerbristow.com/Default.aspx?sID=88&cID=444&ctID=43&lID=0
What do you guys think of this? Not sure what to do!
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melanie_giles
Senior Member
1191 Posts |
Posted - 22 May 2008 : 22:12:38
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I think that I have already confirmed my opinion - that if the OR believes the transaction was carried out to defraud creditors then there is no timeline. As you have confirmed that you were not in debt when you gave your sister the money, this may be of no issue - but please seek proper legal advice to be sure.
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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Considering BR - Advice Seriously Needed
