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joe90
Junior Member
United Kingdom
176 Posts |
 Posted - 11 June 2008 : 08:31:44
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| Many thanks for the answers to my previous questions, brilliant and much appreciated advice, here's another!. My largest debtor has sent me a statutory demand under the insolvency act for the sum of £9,323.79 (unsecured). I have decided bankruptcy is the best option for me so am wondering what happens after the 21 day dedline. If they are going to make me bankrupt does that mean they will pay? (would be nice!), or will i be made to make myself bankrupt and have to do it myself, basically, what happens next?, many thanks, joe90 |
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melanie_giles
Senior Member
1191 Posts |
Posted - 11 June 2008 : 08:37:46
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A statutory demand is usually the first step a creditor will take when instigating bankruptcy proceedings against a debtor, but it is not guaranteed that they will follow that route. Often statutory demands are merely used as another method of debt collection, as they cost nothing to serve. It will cost your creditor about £2,000 to make you bankrupt, and they may not want to waste any more of their money - but you could be wise to sit things out and see what happens.
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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joe90
Junior Member
United Kingdom
176 Posts |
Posted - 11 June 2008 : 16:57:59
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| Thanks for your response. should they not wish to spend £2000 then what are the consequences of me ignoring the letter in the future, can i expect a knock at the door by the baliffs?, thanks |
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m and v
Average Member
United Kingdom
760 Posts |
Posted - 11 June 2008 : 17:09:26
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Hi Joe90 - a bailiff can't turn up at your door without a court order. Now at what stage they get this, or whether they go straight for bankruptcy I'm not sure - we need an expert to tell us the process they go through.
Hopefully one will be around soon
Vicki x |
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Reviva UK
Advanced Member
United Kingdom
2452 Posts |
Posted - 11 June 2008 : 20:58:07
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Hi Joe
As Melanie says the statutory demand is the first formal step for a creditor petitioning for your Br.
There are no bailiffs involved because bailiffs follow a county court summons and judgement being awarded againt you. I am not sure of the percentages but I would be surprised if more than 5% of statutory demands completed into creditor petitions.
The main difference is the paperwork. Being made Br has much more onerous paperwork than doing it yourself.
The other thing that is important is the dognity and control element. If you have decided that Br is the right solution it is much better to do it in your good time on a day that you are ready for and then you have control.
Paul Johns
Assisted Bankruptcy Specialists
Reviva UK
www.revivauk.com |
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what happens next!?
