# Cheques in Bankruptcy



## michaelg (23 Aug 2014)

I work as a sole trader ,If i go bankrupt can i still accept cheques ? and can i open an accoiunt with aib ?
Thanks


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## Branz (24 Aug 2014)

No,
see here for starters:
[broken link removed]


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## suarez (24 Aug 2014)

It's really difficult - if not impossible - to open a bank account when bankrupt in Ireland. In the UK - only Barclays allow you to keep one open when you are an undischarged bankrupt (3 years duration in Ireland, 1 year duration in the UK) I am unaware of any limitation re. receiving cheques during bankruptcy. The real problem is how to do you lodge / cash them if you don't have access to a bank account?


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## Jim Stafford (25 Aug 2014)

As a bankrupt, you would be allowed to work as a sole trader and accept cheques. Obviously, if your income exceeds the Reasonable Living Standards you will be required to pay the excess to the Official Assignee.

Jim Stafford


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## michaelg (25 Aug 2014)

Thanks Guys
Just rang the insolvency service who are very helpful, no problem in accepting cheques and in fact they prefer to see cheques and bank transfers rather than cash transactions.
Also rang AIB head office in dublin and they have no problem opening a new account (business or personal) for a bankrupt


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## suarez (25 Aug 2014)

That's great news about AIB allowing you to open a bank account as an undischarged bankrupt - just be mindful of the IPO situation.


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## Steve Thatcher (26 Aug 2014)

Jim Stafford said:


> As a bankrupt, you would be allowed to work as a sole trader and accept cheques. Obviously, if your income exceeds the Reasonable Living Standards you will be required to pay the excess to the Official Assignee.
> 
> Jim Stafford



Jim, who will allow a bankrupt, either here or Ireland to open a bank account?

Steve


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## Jim Stafford (26 Aug 2014)

Steve

In the ROI our clients have generally been able to open up bank accounts at their previous branch, particularly if they had a previously good banking record on their current account. If their previous banking record on their current account was poor e.g. breaching overdraft limits, then the bank would use the bankruptcy as an excuse not to open up a new account.

It appears that Permanent TSB are probably more prepared than other banks to open up new bank accounts for bankrupts. 

In the UK we would advise clients to use Barclays.

Jim Stafford


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## Steve Thatcher (27 Aug 2014)

Jim Stafford said:


> Steve
> 
> In the ROI our clients have generally been able to open up bank accounts at their previous branch, particularly if they had a previously good banking record on their current account. If their previous banking record on their current account was poor e.g. breaching overdraft limits, then the bank would use the bankruptcy as an excuse not to open up a new account.
> 
> ...



Thanks Jim,

I will pass this on. yes in UK it is Barclays every time.

Steve


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