Brendan Burgess
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Face up to it and either negotiate a deal as suggested by Jim or go bankrupt.
Don't hope it will go away. It might but you will always be wondering.
Brendan
I have been living through this nightmare for many years
This is not always 100% correct. In the UK transfers into a pension scheme prior to bankruptcy, with the purpose of putting savings beyond the reach of creditors, can be reversed in some cases.I think you would be better off to declare bankruptcy in the UK.
You should look into moving your savings into a pension account, if you have one, or setting one up.
The UK Bankruptcy laws will not allow creditors to touch pension funds, particularly small ones which you will have.
This is not always 100% correct. In the UK transfers into a pension scheme prior to bankruptcy, with the purpose of putting savings beyond the reach of creditors, can be reversed in some cases.
After 7 years living away, an opportunity now exists for me to return home. I have a small amount (25k) which I have managed to save these last few years to try and rebuild some sort of security. I have no intention of applying for a mortgage again, but I am trying to build up savings for retirement, since I have zero chance of owning property.
I understand that staying in the UK probably means it is unlikely for Start to pursue my debt further. I really want to move on from this after 11 years of fighting which resulted in losing my home, and I definitely am not willing to hand over the little I saved to a vulture fund. But on a personal level, I really want to go home.
I think you would be better off to declare bankruptcy in the UK.
You should look into moving your savings into a pension account, if you have one, or setting one up.
It's not deliberately moving funds into a pension to defraud creditors. It's using some meagre savings to fund a meagre pension. The movement of such a small amount of savings into a pension fund is perfectly justifiablePost BREXI, I’m not sure that there is a requirement to recognize such declarations. And deliberately moving funds into a pension fund prior to declaring bankruptcy can be challenging as an attempt to defraud the creditors.
The shortfall of the sale is approximately 70k, not including the arrears which could amount to about 180k.
It's not deliberately moving funds into a pension to defraud creditors. It's using some meagre savings to fund a meagre pension. The movement of such a small amount of savings into a pension fund is perfectly justifiable
The rules on "exceptional contributions " are designed to stop the millionaire bankrupt from stashing a few hundred thousand
No judge is going to declare such a small sum as an "exceptional contribution ".
Now there, I would disagree.There is not one law for the rich and another for the poor.
There is not one law for the rich and another for the poor. And you have know idea how a judge would rule on such a claim.
The fact is that the OPs actions prior to bankruptcy will be reviewed and it will be flagged up.
No, but there is a law relating to " exceptional contributions". And this definition is geared towards stopping very wealthy people stashing large sums of money out of the way of creditors. The word itself is quite vague and so would be open to a legal interpretaion. I can make a pretty good guess that this small contribution to a pension would be considered reasonable. If she had 500k in a savings account and was moving the whole lot to a pension, then that would be different.
So, there is a difference and it is based on that word " exceptional".
Sorry the word is " excessive" , but the definition is still open to interpretation. There are some basic guidelines in the UK to help with the interpretation.
[broken link removed]
The alternative is to leave the money in a deposit account, where it will, almost certainly, be grabbed by the vultures.
There is no definition in the Act as to what may be considered an “excessive” contribution. Whether contributions to a pension are excessive or not would depend on whether the contributions unfairly prejudiced the bankrupt’s creditors (see [broken link removed]), and this, in turn, would depend on the bankrupt’s circumstances at the time he/she made the contributions [[broken link removed]]. For example, contributions made at the expense of a bankrupt’s business capital or other household expenses may be considered to be excessive. Similarly, consideration should be given to the bankrupt’s income and lifestyle and historical pension contributions. Contributions made by one bankrupt who continues to make contributions during difficult times may not be considered to be excessive whereas payments started by another bankrupt in similar circumstances may be considered to be so.
HM Revenue and Customs set a limit (for tax relief purposes) on the amount that can be contributed to a pension – this being 15% of remuneration. This figure should give the official receiver a reference point when considering whether payments to a pension by a bankrupt are excessive.
That's gone regardless surely given the debtOP should also consider that credit will be probably pretty restricted for a long time.
This part seemed [broken link removed]in the UK guidelines
OP should also consider that credit will be probably pretty restricted for a long time.
You wouldn't want to go through insolvency/bankruptcy and then realise you needed a new car or something else essential for your business.
I didn't suggest otherwiseThat's gone regardless surely given the debt
The 15% of remuneration is a guide and could be open to explanation.
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