Will connaught really make me bankrupt?

[jwasjluk]

I have 4 big debts, 1 with connaught, 1 with 1st credit and 2 with Thames Credit (one of which I dont reckon is mine)

 

Connaught now say they are to make me bankrupt, I live in a housing association house, I have no assets my car and computer are owned by my work I have nothing they can take away from me.... do you think I should let them make me bankrupt and get this 25k in total written off?

 

HELP PLEASE?

[tomterm8]

If you don't own your house, then they will not make you bankrupt. They are not going to throw £1,100 away for nothing.

 

On the other hand, it might be to your advantage to file for bankruptcy yourself.

[42man]

Bankruptcy is not a decision to take lightly....however if you have very little in the way of assets, then it MAY well be the right decision....I would read other threads on here about people who have gone through it....you wouldn't get any credit for at least 6 years, and any excess money you get out of your wages every month (outside your daily expenses and overheads) could possibly get taken to pay off your creditors.

[jwasjluk]

So shall I just keep on with the Banter of letters etc... and request credit agreements etc..... for as long as possible then?

[jwasjluk]

There is no excess money, my partner is disabled and with the CCCS income and expenditure sheet we put together ther is 70quid left at the end of the month which I have proportionately offerd to them all but they have all declined! Surely a court could only enforce the offer I have made as it is all I can afford?

[42man]

That is entirely up to you....Connaught tried to make me bankrupt (and actually did) but I had confirmation from the original banks (in writing) that they couldn't trace any accounts at all (3 banks) so they were making me BR on alleged debts that were completely unenforceable....I got my bankruptcy annulled and the petition dismissed....they didn't think I would challenge the BR, once I knew my rights and with the help of some incredible people on here, I fought them....

[42man]

The people on here can only relate their own circumstances, experiences and opinions....the final decision is yours to take....

[jwasjluk]

Thank you - I will give this some thought, if they wont make me bankrupt as I have no assets, I will cotinue to make the proportiionate offers I have made to each until they accept

Have a good day

[bevevans]

if you recently been made BR by a creditor( connaughts/1st credit) are you still able to ask for a CCA? to confirm debt owed? or is it way to late?.sorry to sound thick.

on another note a friend has a charging order on her property through HSBC CC or their DG solicitors(not sure which one at present), but HSBC CC have no record of the debt 'owed to them'. what would her options be?

any advice greatly appreciate. cheers!!

[tomterm8]

if you recently been made BR by a creditor( connaughts/1st credit) are you still able to ask for a CCA? to confirm debt owed? or is it way to late?.sorry to sound thick.

 

Now, that is a good question.

 

I believe the answer is that, since you no longer owe the debt (it becomes part of the bankruptcy estate), in effect the answer is no.

 

However, you are entitled to this info as part of disclosure in an action to annul the bankruptcy, and, if you didn't contest the bankruptcy the fact the debt was unenforceable is a grounds to annul.

 

on another note a friend has a charging order on her property through HSBC CC or their DG solicitors(not sure which one at present), but HSBC CC have no record of the debt 'owed to them'. what would her options be?

any advice greatly appreciate. cheers!!

Seek a set aside for the original judgement, assuming it was not admitted (i.e. a default judgement) or contested.

[jwasjluk]

I think the answer to this is yes..... The court should hold these details anyway as they will be the ones who will administer the debt. They should have all details of what you owe to 1st Credit. However under the data protection act you are entitled to know what information is being eld about you etc...... you have to apply in writing and there is a fee - Goole data protection act and this will tell you how to request all of the information about you and your debts frm the creditor

[zazen.warrior]

If you don't own your house, then they will not make you bankrupt. They are not going to throw £1,100 away for nothing.

 

 

Does this apply for all DCA's; I would certainly like to take this one off my worry list as a renter with no assets not even a car?

[jwasjluk]

Does this apply for all DCA's; I would certainly like to take this one off my worry list as a renter with no assets not even a car?

 

I believe it does...... if they take you to court, the judge has nothing to take away from you to repay the debt, If i were you you should make them a reasonable offer (which still allows you a life) and keep making it. If this then goes to a CCJ hearing you can show the judge that you have made offers and their sheer BULLY tactics have stopped them from accepting it!

 

Hang in there...... I was not sleeping until the other night when I realised that I have more rights than they will ever have..... REMEMBER they are only just operating within the law and they will slip up! Diarise EVERYTHING!!!!

 

Good luck

[Belaflat]

The other thing to consider is if you have a surplus of £70, the official receiver will only take a proportion of this and for a period of around 3 years normally I believe. DCA's will take all of it until paid and somewhere along the line may get a CCJ against you which will shoot your credit for another 6 years as well as being enforceable past the 6 years limitations act.

Financially, in the long term, bankruptcy may be cheaper for you but that is just my opinion.

[tomterm8]

Does this apply for all DCA's; I would certainly like to take this one off my worry list as a renter with no assets not even a car?

 

It applies to private debts; the state (i.e. inland revenue) will often file a bankruptcy petition even if there is no financial incentive, as a deterant.

[cashins]

Bankruptcy: When my debt situation got out of control 18 months, I had 5 large debts to finance companies (all unsecured), no job and no assets.

 

As I had been threatened with the same, I went to a lawyer that specialises in financial matters including bankruptcy and asked the same question.

 

He said without hesitation "They won't do that, they will get nothing"

 

When I asked if I should file he said

 

"Bankruptcy should always be regarded as a last resort and in your case you still have options"

 

These quotes are as exact as I can remember them.

 

He then went on to explain that if there is nothing to take and limited or no income, a county court won't really get them that far either as a judge will not order you to pay more than you can afford anyway.

 

His suggestion was: From what income you have, deduct reasonable living expenses and from the remainder, offer the creditors monthly payments, split between them on a pro-rata basis, (the largest debt, gets the largest amount, etc, and make sure they all know what you are doing).

 

Play one off against the other. Three of the companies agreed, the other still wanted more, to which I pointed out that can only be done by taking money from the others, who will certainly sue if that is the case. I obviously hope that it doesn't come to that, but I have no more to give and can't prevent it, if that is what you decide.

 

It worked for me but obviously it's up to you to decide what to do.

 

Keep your chin up

 

David

[renegotiation]

Any reason why shouldn't he go down the C.C.A. route? He doesn't even think one of the debts is his. At least he would have a chance of ending up dealing with the O.C.'s. What he then decides to do, after going down that route, is his decision. He hasn't actually requested credit agreements yet has he?

[tomterm8]

Any reason why shouldn't he go down the C.C.A. route? He doesn't even think one of the debts is his. At least he would have a chance of ending up dealing with the O.C.'s. What he then decides to do, after going down that route, is his decision. He hasn't actually requested credit agreements yet has he?

 

There is no reason he can't go down the CCA route, as long as these are consumer debts.

[spamheed]

If the very worst thing they can do to you is bankrupt you, then in reality, there is nothing they can do.

 

If you proceed along the negotiation route with your creditors, you will still have negatives on your credit file for the same period of time and will still be paying them for a long time to come.

 

If you are declared bankrupt, the same applies, but after the required period, you walk away debt free and there is nothing they can do about it.

 

It would appear to be a rare instance where the debtor is genuinely in the driving seat and the threats of the creditor carry no real threat

[renegotiation]

I have 4 big debts, 1 with connaught, 1 with 1st credit and 2 with Thames Credit (one of which I dont reckon is mine)

 

Connaught now say they are to make me bankrupt, I live in a housing association house, I have no assets my car and computer are owned by my work I have nothing they can take away from me.... do you think I should let them make me bankrupt and get this 25k in total written off?

 

HELP PLEASE?

 

What are these debts for? Credit cards, loans?

[jwasjluk]

What are these debts for? Credit cards, loans?

Hey guys thanks for all of the input here

 

The debts are for credit cards and Personal Loans - I am starting to believe that bankruptcy really is my best option here?????

[tomterm8]

If you are unemployed / in receipt of certain benefits, then before you go to bankruptcy, I would personally:

 

1. request the credit agreement for each creditor (they have to provide within 12 days it costs £1) and then, if they can't provide it, force the issue through a s142 application (consumer credit act 1974) f0or a determination of the rights of parties.

 

2. If the agreements are enforceable, then I would S.A.R. the original creditor, and start the process of reclaiming charges.

 

In the worst case, if you lose each case, you would end up with 4 enforeable agreements, and still have the option of a bankruptcy application.

[Having_A_Knightmare]

if they can't provide it, force the issue through a s142 application (consumer credit act 1974) f0or a determination of the rights of parties.

 

 

Tom

 

Good to see you back. Can you explain the above in more detail.

 

Cheers

 

HAK

[tomterm8]

Tom

 

Good to see you back. Can you explain the above in more detail.

 

Cheers

 

HAK

 

Hi, HAK, nice to be back.

 

Consumer Credit Act 1974 (c. 39) - Statute Law Database

 

Power to declare rights of parties.

— (1) Where under any provision of this Act a thing can be done by a creditor or owner on an enforcement order only, and either—

(a)the court dismisses (except on technical grounds only) an application for an enforcement order, or

 

(b)where no such application has been made or such an application has been dismissed on technical grounds only, an interested party applies to the court for a declaration under this subsection,

 

 

the court may if it thinks just make a declaration that the creditor or owner is not entitled to do that thing, and thereafter no application for an enforcement order in respect of it shall be entertained.

 

(2) Where—

(a)a regulated agreement or linked transaction is cancelled under section 69(1), or becomes subject to section 69(2), or

 

(b)a regulated agreement is terminated under section 91,

 

 

and an interested party applies to the court for a declaration under this subsection, the court may make a declaration to that effect.

 

In other words, you use the same arguments as in a defence, but you force the matter into the courts.

[Having_A_Knightmare]

So basically if the dont produce an agreement you can take them to Court.

 

What would happen if they cannot produce an agreement in Court?