- Mon Mar 20, 2006 2:26 am
bcroller wrote:Can anyone advise me please if it is a straightforward matter (or not) to seek your own bankruptcy/sequestration (live in Scotland) ?
Or must a person wait until a creditor goes to the court for a bankruptcy.
In my own case of having a 19k unsecured debt , no assets, rented council home and sole income of benefits only (illness) many have advised sequestration/bankruptcy. While I realise the future implications of this and do not consider it at all lightly , I feel I could consider it more clearly if I knew if I could request my own bankruptcy and get it over and done with.
Is this practical in Scotland?
Trust Deeds DMPs etc have not been advised due to sole income being benefit payments only now since having to end working.
Assets are none.
It just seems so endless no matter what you do being hounded and harrassed by creditors who have no interest in the situation other than to keep harrassing pressing and pushing.
If bankruptcy ended that then perhaps it would be the best answer. BUT if I had to wait until one of them decided to opt for sequeatration the strain of that waiting is a real worry.
May I finally ask if it IS practical to request your own bankruptcy in Scotland can you advise the time scale please from time of signing a form onwards..
Also would you advise doing this via the likes of C.A.B. or through a solicitor. Legal aid should be available I think.
In short- the answer is NO- you can not file for your own personal sequestration in Scotland. The laws are changing-I posted a link to the new laws on a thread further down to the changes.But at the moment, you have to wait till a creditor takes you to court, gets a decree against you and Serves a Charge for Payment of Money.Once the 14 days have expired, you can then submit a Bankruptcy application to your local Court. THere are other methods, such as a Failed Attachment Schedule and a Creditor serving you a Statutory Demand-but these are lesss common.
I agree with the problem of having to put up with Creditor phone calls et al. When I get a client who has decided on Bankruptcy, I have to warn them that they will have to put up with demands rom Creditors.Its an unfortunate fact of life in Scotland that you have to turn yourself from someone who actually wants to deal with their debts-into someone who looks like a Can pay, wont pay. I advise people to be strong and shut the door in pepole's faces, hang up on creditors and tell them that they arent paying a bean. If someone has definately decided (with advice and a good look into their circs) that Sequestration is their chosen option I reuse to write to their creditors.If they think that a Money Advice Agency is involved-then they think that some money is imminent so they wont take client to court. With the clients approval, I will even write to the creditor (if I have already been in touch) and say that I havent heard from the client. It sounds like shady practices but what choice do people have-we want a resolutiion to their problems and without the creditor taking then to court, they are in a debt "limbo".If the creditor has an inkling that the client is on Benefits-they wont start Court Action. You must remember that many English Creditors do not understand our laws up here, and think that they CAN file for their own Bankruptcy.
Some MOney Advisors have contacted Creditors and asked them to pursue for a Clients Bankruptcy-but with very limited success. Many will not pursue this option unless they are confident that the debtor has assetts.
I really understand wher you are coming from.I have a drawer full of clients in your position (as do most Money Advisors in Scotland).We are hoping that the new laws may help.Meanwhile, best advice I can give you is be as rude to your creditors as you dare, and refuse to pay a bean and divulge your circumstances. I know its hard. If you want to post your Creditors, I can advise who is likely to take you to Court.
Can I say-You dont need a Solicitor.Most Solicitors are not that great in Money Advice and really dont know whats going on at the front end (I say most-not all) Any CAB ,Local Authority or Advice Agency Money Advisor can do your Bankruptcy forms.
The only thing I am not 100% sure of is whether you qualify for legal Aid for the £63 court fee -which is free if you get IS or Income Based JSA.