What type of assets could they take????

[giggles321]

If I went bankrupt and they came to look round my house to see if I had any thing of value to sell, what type of things would they pick.

[Ethel]

Tv, vcr, dvd, computer, printer, camera, car, moped, pushbike, hi-fi, ipod, records and similar, ornaments, books, luxury clothing such as leather coats and furs, tumble drier, washing machine, kitchen gadgets except cooker, non-essentail furniture such as lamps, occasional tables, sideboard...

[scotchollie]

Watch out with that - they should not take anything that you would need for your work - camera, computer etc.

Also, basic stuff like furniture, clothes etc. should be left.

Sure they can make life difficult by taking things off you, but you can and will bounce back.

Should it happen, suggest that you get good advice and ensure that you have a, cough, 'friend' or parent/grandparent who has loaned you your tv, dvd, etc.

And, almost incredibly, you have the letter from them to prove it.

You, personally, the bankruptee, don't actually 'own' anything, now do you, eh?

;-)

[Ethel]

What should a company that has lent money in good faith, or provided goods or services, lose out?

It ends up with everybody paying, except the person defaulting on their obligations.

Why can't people take responsibility for themselves?

[bensmum]

Sorry ethel but have you considered that not everyone defaults on their obligations willingly? It can happen that circumstances change and people find themselves in real financial hardship. I'm not saying that there aren't people who think that bankruptcy is an easy way out but there are some of us who will make a real effort to fulfill obligations but may need some help.
Anyway in bankruptcy they will not often take into account household goods unless you have some antiques for example. Tools of trade are not normally taken but your car could be if it was worth anything and the receiver decided it wasn't essential. Are you confusing this with bailiffs coming round? They too are limited in what they can take but they can't take essential household goods.

[scotchollie]

Ethel - don't be fooled!

These companies insure their losses AND claim them as tax deductible.

The majority of us borrow in good faith, but if things do go wrong, rest assured these companies will do everything in their power to claw back what they are owed, plus interest and then some.

Not only that, once they've got back the amount borrowed from underwriters, they sell the debt on for a pittance to cover the loss of interest on the capital sum and the debt collection agents will then come after you as well.

[giggles321]

Thanks for your comments.

[themas]

On your bankruptcy form you are asked to declare any assets you have and their value, the value being your estimate of the price the item would fetch if sold at rock bottom price - eg at auction.

Normally the OR is not interested in run of the mill household goods (which would include most of the things listed by Ethel) because their value to the bankrupt's estate would be negligible (the auction price would have offset against it the costs of collecting and storing the items, and of auctioning them). However, if you did have any really valuable items - such as a newish expensive plasma TV or antique furniture or valuable jewellery - they might well be interested.

Incidentally, it is extremely rare for the OR to send anyone to inspect the bankrupt's property or possessions. Probably they will only do so if they suspect you are not being open and honest with them.

I can't agree with Scotchollie's implication - you should not "muck about" when dealing with the OR. It is important to be frank and answer all questions honestly or - if you are found out - you could end up with a BRO and much longer period of bankruptcy.

[giggles321]

Themas:- Thanks for your comments.

[janiee]

Th OR woudt send anyone round, just be honest on the forms, the onl assests they would be intrested in a LCD T's and antiques. If you have a ca this may be taken if you dont need it for work. On the whole the OR'sare just ordinary people doing a job and are easy to deal with....i speak from experience!