Questions you have before making a decision to go Bankrupt and the Bankruptcy process

Moderators: TalbotWoods, JaneClack

By JACWAT
#1322 Does anyone know if I can be made bankrupt..... I have a letter from dlc, who say they could make me bankrupt and my property and goods taken away. They are intending to serve me with a Statuatory Demand under section 268 (1) (a) of the insolvency act 1986.
Can they do this on a debt which has been run up on a credit card and therefor is unsecured credit?
Please can anyone advise
Thankyou
Jack
ByDavidc
#1323
JACWAT wrote:Does anyone know if I can be made bankrupt..... I have a letter from dlc, who say they could make me bankrupt and my property and goods taken away. They are intending to serve me with a Statuatory Demand under section 268 (1) (a) of the insolvency act 1986.
Can they do this on a debt which has been run up on a credit card and therefor is unsecured credit?
Please can anyone advise
Thankyou
Jack


Anyone to whom you owe over £750 can petition for your bankrupcy. But they won't as it simply is not worth their while as after the cost involved in a simple bankrupcy around £5000 mean that chances are they will get nothing. There are many people who would love a creditor to take this action as then they do not have to find the fees required. It is normal to issue a statutory demand but the rest is simply bluster to scare you into making a payment. You can only pay what you can afford and should send them details of your income and expenditure and make them an offer pro rata together with your other ( if you have any ) creditors. If they do not accept it. Tough as if they take you to court that is all they will get anyway.
David