The Official Receiver (OR), who is responsible for all of the admin associated with the case, will contact you to arrange a telephone interview. Since everything is now submitted online, the file is forwarded on to the OR once the Bankruptcy Adjudicator’s Office is satisfied the application is legitimate.
In some cases the OR might wish to see you personally, but this is rare. The OR’s role is to see what money can be raised to pay back to the creditors and on this score, the OR will be looking for expensive vehicles, properties with equity and so on. Since most people don’t have expensive items, there is usually no problem. Nobody comes to the house to check what you have and Bailiffs do not form part of the process.
The OR will also look closely at your income and expenditure. If any surplus income is found, the OR will seek to impose a monthly payment for the next 36 months, known as an Income Payments Agreement (IPA). And it is for this last reason that you would do well to speak to us before proceeding with bankruptcy, as a botched I and E will cost you dearly. An IPA of £120 per month will end up costing £4,320 over 3 years.
Why is the Income and Expenditure so tricky? The Insolvency Service has included around 18 non-claimable items in the list of expenses and if you were to include any of these, they would be instantly disallowed and added to an IPA. We know exactly where the pitfalls are and will avoid this from happening to you. In fact, we avoid IPAs in 92% of cases, while for the remainder we do a great job in damage control.
Bankruptcy UK has been helping people with bankruptcy since 1998 and will guide you through the process step by step. We will avoid jargon and confirm all discussions by email within 30 minutes. Call us for a chat about your circumstances on 01425 600129.