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

Moderators: TalbotWoods, JaneClack

By Freddyfish
#219597 Hi all
I have a letter from a solicitors (Restons) demanding immediate payment for a credit card debt by the 17th. Failing which a summons will be issued for the full balance. i am intending to apply for bankruptcy in march, trying to keep the kids in their current school until easter as moving to a new area.

Will they be able to do anything to me in that timescale and what? Im worried that a ccj might happen and that will still apply after bankruptcy.

Should i contact them?
With gratitude, Thankyou.
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By JaneClack
#219607 They can go for a county court judgment and you should respond to it making an offer of payment per month. If you do not own a property - which sounds the case as you are already thinking of bankruptcy - then they can then do nothing more. Restons do tend to apply for charging orders if people own properties.

Now, the good news - when you go bankrupt any CCJ will go into the bankruptcy. A charging order would be secured so excluded but any beneficial interest in a property belongs to the Official Receiver anyway and this would either have to be bought back from him or if the property is going into the bankruptcy as you are not staying there then the charging order would go into the banktruptcy.

It is the bankruptcy which is the last thing that should go on and that sits on your credit rating for six years.
By Freddyfish
#219616 Thanks for that Sarah.
I do have a property that is in negative equity. I have told that to Restons and they know the property is up for sale . What are their other choices can they get bailiffs?

Am i better not giving them info?
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By JaneClack
#219617 They can only send bailiffs if when and if you get a CCJ from them, you do not pay it. So fill in the admission form and ask for time to pay ie in instalments of £1 per month - your budget should reflect you have no money, put down your other creditors - but make an offer. If you make a nil offer the court will grant a forthwith judgment which means pay it all in one fell swoop!