Yes it will as the online application asks if there are any attachment of earnings orders in force against you. A garnishment is a court order requiring your employer to withhold a certain amount of your wages and send it directly to the person or institution to whom the money is owed, until the debt is settled.
The Official Receiver will rapidly pull the plug on all such orders as preferred creditors are not allowed in bankruptcy. A more cynical point of view might be that the existence of a garnishment might threaten the OR’s ability to place you into an Income Payments Agreement (IPA).
Bankruptcy UK specialises in guiding people through the bankruptcy process in a no-nonsense, straightforward manner. We will assess your circumstances then submit the bankruptcy application online. call us for an informal chat about your circumstances on 01425 600129.
No you don’t and it will cost you even more if you get an Insolvency Practitioner involved. There is plenty of help available in the form of forums, Citizens Advice and by calling the Insolvency Service Help Line, but where you really need to be careful is in the preparation of the income and expenditure.
If you are a good earner or you have a double income, a botched I and E could see you contributing towards an Income Payment Agreement for three years, something you could well do without. Knowledge of what and how much you can claim is seriously important, as the Insolvency Service will be itching to place you in an IPA, as this is how they recover costs. Call us if you have any doubt as we are dab hands at preparing these documents.
Bankruptcy UK offers a full bankruptcy administration service and will submit your bankruptcy application online. Court appearances are no longer required for bankruptcy. Call us for bankruptcy help on 01425 600129 or for an informal chat about your circumstances.
There are two possibilities according to whether you received an Income Payments Agreement (IPA) or not. If you went bankrupt and did not receive an IPA i.e. a monthly payment for 36 months, you will be able to keep every penny of your inheritance once discharged after 12 months. However, if you were placed in an Income Payments Agreement, you will keep the inheritance less the outstanding amount owing under the IPA. For example, if you inherited £10,000 but still had 24 payments of £100 to pay, you would receive £10,000 – £2400 = £7,600.
Bankruptcy UK offers assistance at all levels and will also prepare and submit your bankruptcy application online. Court appearances for bankruptcy are no longer required. Feel free to call us for bankruptcy help on 01425 600129 for a chat about your circumstances.
Partners Income and Bankruptcy
Are my partner’s wages taken into account in bankruptcy payment orders
The short answer is yes, but only what they contribute to the household. A lot will also depend on whether your partner is also going bankrupt, as she might have her own expenses. Let’s take, for example, John who is going bankrupt but Janet is not and she earns £1000 per month. Janet might have personal expenses of £600 (loans, car payments, etc) and is therefore only able to contribute £400 to the household and it is this lower figure which is declared. The other point is that although her income is included, the expenses also double up and it’s often the case that there is no surplus income.
Compiling an accurate income and expenditure statement is the single most important part of preparing the bankruptcy paperwork as, if you get it wrong, you could end up contributing in an Income Payments Agreement for the next three years. We know what may claimed when it comes to preparing an income and expenditure, and we’ll gladly talk you through it.
Call us on 01425 600129 or 07479 739139 / 07894 481175 with any further bankruptcy questions or for bankruptcy help.
I have recently gone bankrupt, but due to my partners illness, we’re currently on benefits. If i was to return to work before the end of the 12 months, what can I earn before the Official Receiver looks for a monthly payment?
This is a tough one to answer without knowing more about your circumstances e.g. how much is the rent? How many people are in the household? Would the job involve much travel and so on. The allowances in bankruptcy vary considerably according to how many people you support, but as a rule of thumb we feel you could earn anything up to £1400 per month without much threat of an Income Payments Agreement. We have a good working knowledge of all the allowances and will gladly assist if you need help.
Feel free to call us with any further questions or for bankruptcy help on 01425 600129 or 07479 739139 / 07894 481175.