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

Moderators: TalbotWoods, JaneClack

By granthar
#3373 Friends are being bankrupt having built up debts of £240K over two years from trying to run a business.
They don't seem that bothered about the BO, basically bragging that they will be debt free after 12 months.
I know that a lot of the expenditure has been spent on living the high life etc, doesn't this mean they could get a Banruptcy restriction order?
I am working to pay off my own debts which will take 18 months, how is it fair that they can get awya with that amount of debt owing nothing. Their court case is in Feb.
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By Nicky
#3378 They will have to justify where the money went that they had to the Official Receiver and it is the Official Receiver who decides about restrictions regarding the Bankruptcy Order.

I wouldnt worry about it too much, just concentrate on your own situation and what your doing to repay your debt.
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By JaneClack
#3383 ....and just think - you will be debt free in 18 months without a six year bankruptcy notice on your credit file. :lol:

For some people bankruptcy is the best option so they can start again but for others repaying the debt is the best solution.
ByDavidc
#3385
granthar wrote:Friends are being bankrupt having built up debts of £240K over two years from trying to run a business.
They don't seem that bothered about the BO, basically bragging that they will be debt free after 12 months.
I know that a lot of the expenditure has been spent on living the high life etc, doesn't this mean they could get a Banruptcy restriction order?
I am working to pay off my own debts which will take 18 months, how is it fair that they can get awya with that amount of debt owing nothing. Their court case is in Feb.


Good for you granthar......I am glad to hear that you have a sufficient income to clear all of your debt within the next 18 months.......and with regards to your friends......may I ask why, unless you are a creditor you consider it to be any of your concern?
David
Last edited by Davidc on Fri Jan 28, 2005 8:57 am, edited 1 time in total.
By JC
#3396 So are these business or personal debts ? who is going bankrupt the individuals or a company ? If it can be proven that they acted reckless and are culpable for thier debts a BRO could well extend beyond 12 months (upto 15 years) and a public examination of thier accounts and actions could be made.

Bankruptcy is not about living the high life with the knowledge that you can petition and then be debt free after 12 months as the chap who was jailed for it late last year found out to his cost.
BySonic
#3420 Hello

I know it seems 'unfair', but as others have said those who get into debt problems then go bankrupt 'living the high life' generally get caught out and will be punished.

You are doing the right thing paying off your debt, and deservedly will have things that people such as your 'friends' will never have..eg decent rate on your mortgage, decent debit card, no restrictions on the type of career you can have...just for starters