We have a debt of approx. £32000 with four creditors, no priority debts yet. We are considering bankruptcy as soon as we can afford the fees. Our questions are: what exactly would they repossess of household goods? would they repossess computer, leather settees, cars etc? Where can we find a website which will describe items which are allowed to be kept? Also, we are seriously thinking of moving to Germany, could the bankruptcy follow us?

Any answer would be highly appreciated.

Thanks a million.

Monika

-- Monika Robins (djm868991@btopenworld.om), February 22, 2005

Answers

From what I have read in previous postings I believe the bankruptcy will follow you in that it will show up on credit checks. Don;t know where you would get a list of what you are allowed to keep but I would imagine you would be allowed to keep what you really need. ie you need a sofa to sit on a bed to sleep in....the car and computer I really don;t know.

-- Moira (Anderston828@aol.com), February 23, 2005.

Check the website www.insolvency.gov.uk for all information about debt and the options of IVA or bankruptcy. All assets must be disclosed, even pensions and the Official Receiver decides whether they are to be retained or given back to you. Some household items and working tools may be retained, but this can be discussed at the Bankruptcy Interview. They will write to say whether you can keep them or not. Hope this helps.

-- peter (bankruotcy2004@aol.com), February 24, 2005.

Firstly a debt of £32k is not really worth bankruptcy, an IVA would be the first move to buy sometime the very last option is bankruptcy, The appropriate legal reference is section 283 of the Insolvency Act 1986 this section states that all property of the bankrupt vests in the trustee except for "such tools, books, vehicles and other items of equipment as are necessary to the bankrupt for use personally by him and his employment, business or vocation. such clothing, bedding, furniture, household equipment and provisions as are necessary for satisfying the basic domestic needs of the bankrupt and his family. The rule of thumb any item worth less than £500 therefore a car worth more than £500 would be seized. Secondly, bankruptcy is jurisdictional. This means that someone bankrupted under UK law is only bankruptin the United Kingdom. If the bankrupt moves abroad, he is not bankrupt in that country. Regards Adrian

-- Adrian Ratcliffe (info@rd-solutions.co.uk), March 06, 2005.

If you are going abroad and do not intend to come back then BKY is probably the best and most responsible option. It may have repercussions abroad - companies may have internal records of your BKY but you won't be bankrupt abroad. Make sure you comply with the official receiver or you won't be discharged.

People trumpet the one year discharge but this is only if you comply with the OR.

-- johnny briggs (minimus1971@hotmail.com), March 13, 2005.