The bankruptcy process is truly quite simple:
o Complete the declaration forms provided by your local county court.
o Provide a complete list of your assets and liabilities.
o Pay the court fee and administration deposit associated with your case.
A bankruptcy can be filed on the same day! But should you even contemplate it?
Following the preceding procedures, a Bankruptcy Order will be issued. Then, you must confer with the Official Receiver in your area. Their responsibility is to review your circumstances and ensure you satisfy the bankruptcy's requirements. This will require a discussion of your debts. After filing for bankruptcy, you will be unable to obtain any other debt relief options, such as debt management, a consolidation loan, or an IVA.
Typically, the duration of bankruptcy is one year. This was reduced from three years to two in 2004. Once your bankruptcy is discharged, you are able to start over debt-free.
It seems simple, doesn't it? Many believe that it is a simple option for those with significant debt. However, you must consider the negative, long-lasting effects of bankruptcy, as they can have a significant impact on your life.
You and Your dwelling
The trustee assigned to your bankruptcy has three years to dispose of your residence and other properties. During this period, the trustee may:
o Advertise your property for sale.
o Receive a debit order. This means that the trustee will receive any rental or sale proceeds from the property.
o Negotiate the parameters of your purchase of the trustee's interest in the property. These conditions can be negotiated with those who share proprietorship of the property.
Typically, the duration of your bankruptcy is one year [http://www.insolvencyhelpline.co.uk/bankruptcy/what-happens-after-bankruptcy.html]. Nonetheless, you are at risk of further action regarding your assets for an additional two years. Many people neglect that their home, or their share of it, remains in the trustee's possession after the expiration of their bankruptcy order.
This may result in the sale of your home regardless of your bankruptcy status. This may have devastating consequences for your family. As mentioned previously, this is also possible if you own a portion of a property.
Bankruptcy Restriction Order (BRO)
A BRO is a Bankruptcy Order extension that can be imposed on the insolvent at the conclusion of the bankruptcy terms, which are typically one year. If the Official Receiver determines that the debtor was irresponsible during the terms of their bankruptcy, a BRO is issued.
Examples of negligent conduct include:
o Accumulating additional debt during the bankruptcy period.
o Accumulating additional debt with the intent of declaring bankruptcy.
o Selling assets and distributing the proceeds to relatives.
Implications of a BRO
o You cannot serve as a company's director.
o Creditors must be informed of your bankruptcy status if you apply for more than £500 in credit.
o If you are trading, you must notify your business partners of your bankruptcy status and the name you used when you were declared bankrupt.
o The duration of these restrictions can range from 2 to 15 years.
Bankruptcy may appear to be a simple solution to debt problems, but it can result in numerous complications. Whether or not you should declare bankruptcy depends heavily on your particular circumstances. Sure, you should consult a debt management expert before proceeding.""
" - https://www.affordablecebu.com/
