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Yes, you will be allowed to have a basic bank account with no overdraft facilities.
All assets of value can be taken by the Official Receiver in bankruptcy.
Concerning your home, if there is equity in your property then you may have to sell the property to release the equity. If the property is jointly owned then 50% of the equity will be paid into the bankruptcy and the remaining 50% paid to the joint owner.
However if a family member or friend is willing to buy your share of the equity in your property and this is paid into the bankruptcy then you will be allowed to stay in your home. If your home is in negative equity i.e. the mortgage and/or secured loans total more than the property is worth, provided that you are living there you may be allowed to keep the property.
If you have a car that is valued over £1,000 and you wish to keep your vehicle, you will have to show the official receiver that either it is necessary for your personal use in your employment, business or vocation; or to meet a basic domestic need of you and your family. However even if it is agreed that a vehicle is essential, the Official Receiver may sell it and provide you with a suitable cheaper alternative. If this does happen, then the official receiver will provide the money for the replacement vehicle from the sale proceeds. You will then have to provide evidence to the Official Receiver, within 21 days, that you have purchased a replacement vehicle.
If there was a third party able to pay the net value of the car then this may avoid selling the car and buying a replacement.
The Official Receiver will look at all your income and expenditure to assess whether you have any surplus income. If they decide you have surplus income they can ask you to make income payments into your bankruptcy estate for up to 36 months.
The following debts are excluded:
Usually you are discharged from bankruptcy after 12 months.
If you are living abroad then please contact us for more information.
You will be allowed a basic bank account with no overdraft facilities.
This depends on your income and expenditure but you will only be required to pay what you can afford and we will help you calculate this.
If you have equity in your property then you may be asked to release some of it in the 5th year to pay into your IVA. If you have any valuable assets then this will be dealt with on an individual basis. If you require your car for work or essential use then usually, depending on the value, you will be able to keep your car.
An IVA usually lasts for five years if there are monthly payments out of income, but it is also possible to complete it in a shorter period, especially if you can produce a partial lump sum to offset some of the monthly payments. If it is a lump sum payment IVA then once the payment is made the IVA comes to an end and your debts are paid in full and final settlement.
You can be a director of another company, provided that you are not subject to a disqualification order, have given a disqualification undertaking, are an undischarged bankrupt or are subject to a bankruptcy restrictions order or undertaking. Please contact us for further information.
A director cannot be held liable for company debts unless:
Unless any of the above apply, a creditor cannot make a claim against you or your assets.
The length of the liquidation will depend on the circumstances of the company. Once the process has been completed the company will be dissolved and no longer exist.
Can’t find the answer you are looking for? Then contact us, your call or email will be treated in the strictest of confidence. We look forward to hearing from you.
