# Building a "survival fund" for bankruptcy



## gearoidc (6 Jan 2014)

If a person was to move to the UK, how would it be viewed if they brought e.g. 20k with them to for fees, rent, food, car, travel etc...?
At what point in the bankruptcy process does one have to surrender any surplus funds?
In the event that a person has not found work over there, will they be allowed hold on to some of the money?


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## Republic (7 Jan 2014)

All your assets will vest in the Official Receiver (OR) including money in the bank. Even if you have cash that you've withdrawn it is likely they will see will see the withdrawal and require evidence of where those funds went. One thing you could do is pay your rent for year or 18 months up front and indicate you did so in order to get a better deal. This would also help you achieve a better level of accommodation than you would be allowed on a monthly basis from the OR due to the fact that you've paid up front prior to your bankruptcy, the rent money is non-refundable and you have no further rent costs during you bankruptcy. i.e. if you were expecting to only be allowed to spend €1,000 per month on rent but have paid £18,000 up front equating to £1,500 per month then there is nothing the OR can do about this as it was agreed when you were not bankrupt. Don't forget as an Irish/EU citizen your are also eligible for benefits in the UK too. However, it is better if you are working as this strengthen your claim to a COMI.


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## Bronte (7 Jan 2014)

gearoidc said:


> In the event that a person has not found work over there, will they be allowed hold on to some of the money?


 
I don't think it works like this, you'd be expected to live on the dole and hand over any money you have for your creditors.


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## Gerry Canning (7 Jan 2014)

gearoidc. 

In Bankruptcy you HAVE to be upfront with your circumstances.
To get to Bankruptcy you need to establish residency , so it will take circa 6 months to do that in Uk.
Why not look @ bankruptcy in Ire? 
From the second you go (bankrupt) you are free of the worry. Within 3 years you are normally free completely .

In Bankruptcy there is no concept f (free) funds . All assets rests with the Bankruptcy official.That said they are reasonable over expenses.

Bankruptcy is to let life move on , not to have anyone hold back assets/cash


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## gearoidc (7 Jan 2014)

Bronte/Republic...Many thanks for your replies.
Rep... Your idea re accomodation is one I had pondered before but the argument that "the OR can do nothing about it as it was agreed when you were not bankrupt" I fear might not hold up. Could such a course of action not be interpreted as an attempt to defraud creditors?


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## gearoidc (7 Jan 2014)

Gerry 

*
Why not look @ bankruptcy in Ire? 
From the second you go (bankrupt) you are free of the worry. Within 3 years you are normally free completely .*
From what I understand, the process in Ireland can be dragged out a lot longer than that.

*Bankruptcy is to let life move on , not to have anyone hold back assets/cash*
I am under no illusions about holding on to assets or large amounts of cash but would I be allowed retain sufficient funds to pay ongoing child maintenance/bills/rent/petrol etc assuming I had been unable to find work?


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## Gerry Canning (7 Jan 2014)

Gearoidc; 

In Bankruptcy you are (free) in 3 year unless for unusual circumstances.
Of course any Bankruptcy can be longer but only in unusual circumstances.

The Bankruptcy official is the one who decides on sufficient funds, from what I know they are reasonable.

Again phone Ryan Stewart 0858888531, take his advice and if it suits you do as he says.
Do not ignore what he says as he is au-fait with all this.


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## Steve Thatcher (7 Jan 2014)

gearoidc said:


> If a person was to move to the UK, how would it be viewed if they brought e.g. 20k with them to for fees, rent, food, car, travel etc...?
> At what point in the bankruptcy process does one have to surrender any surplus funds?
> In the event that a person has not found work over there, will they be allowed hold on to some of the money?




Hello Gaeroidc,

I hope I can help here.
If you bring money to the Uk as many of my clients do, you can use it to set up life here in the UK. You have to be able to show where that money was spent if it comes out of a bank account. eg pre payment of rent etc. There is no problem with that.
You then need to establish your comi, and you can see a myriad of my posts on this.
You will need to state in your statement of affairs whether you have any cash savings and the likelihood is that you will have to hand them over to the OR. It is unlikely you will be able to get benefits if you have savings.
You are best, using the money to set yourself up, then getting work. This proves your comi. 
Remember this is all about proving your comi, nothing else. Spend the money on getting decent advice. ;-0

Steve Thatcher
www.stevethatcher.ie


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## gearoidc (9 Jan 2014)

Steve Thatcher said:


> Hello Gaeroidc,
> 
> I hope I can help here.
> If you bring money to the Uk as many of my clients do, you can use it to set up life here in the UK. You have to be able to show where that money was spent if it comes out of a bank account. eg pre payment of rent etc. There is no problem with that.
> ...



Thanks Steve.
I've posted another question in a different thread on which I'd very much appreciate your insight.

Thanks again.


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## javanaise (23 Apr 2014)

Hi guys,
I had a question about this. I have secured a place in the UK and am moving over on the st of May. I have set up a bank account over there, and transferred the first months rent directly from there. I currently have money in my Irish account that I will use to set myself up in the UK. The landlord requires three month's rent up front as I do not have work yet. 

1. Are there any negative implications for me of transferring monies from my Irish account to my landlord's account?
2. Are there any negative implications of me transferring monies from my Irish account to my UK account? These will probably be the last transactions on my Irish account.
3. Is it better to close your Irish account, or is it ok to just let it lie dormant/unused?

Thanks!


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## Steve Thatcher (23 Apr 2014)

javanaise said:


> Hi guys,
> I had a question about this. I have secured a place in the UK and am moving over on the st of May. I have set up a bank account over there, and transferred the first months rent directly from there. I currently have money in my Irish account that I will use to set myself up in the UK. The landlord requires three month's rent up front as I do not have work yet.
> 
> 1. Are there any negative implications for me of transferring monies from my Irish account to my landlord's account?
> ...



There are no implications of doing any of what you propose.


Steve Thatcher
www.stevethatcher.ie


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## javanaise (23 Apr 2014)

Many thanks, Steve. Much appreciated.


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