The Bankruptcy of Piggy Bankrupt

My Bankruptcy Support

Often associated with bankruptcy is the word “Stigma”. Over the year’s people’s opinion of bankruptcy have certainly changed. Whilst years ago you may have been imprisoned and looked down on it is now a viable and humane option for dealing with debts that you cannot afford to repay.

In line with this was the behaviour of friends and family. Their support has been second to none and I am looked at no differently whatsoever. I have not been judged once. In fact a number of them regularly contact me for business advice and ironically have even offered to lend me money!

My parents have been extremely understanding and helpful throughout this time. Busy with their own business they have given me all the support I needed - both emotionally and financially. They paid for my bankruptcy fees and covered my solicitor costs. For all this I am grateful. As a thank you I would like to mention their business. If anyone is looking for blinds in South Wales try Best Buy Blinds. They come highly recommended.

My friends have always been there too. It's really surprising how easily people understand and are always there to offer advice or just listen.

I have never been one to discuss problems, as I am the type of person who just deals with them and gets on with it. This time it was different and everybody was there. A big thanks to everyone!

It seems strange to say this but when creditors contacted me after the bankruptcy they couldn't have been nicer! To be honest that was a shock.

Further to this the insolvency service couldn't have been nicer in carrying out their role in the bankruptcy process. Even the Judge was friendly.

Further reading from Piggy's website:

Bankruptcy Advice
Avoid Bankruptcy
Bankruptcy Alternatives

You may also like to view my bankruptcy website.

If you have any questions regarding my experience then please feel free to E-Mail me.

posted by Piggy Bankrupt at 9:20 PM

10 Comments:

  • Hi, have just read your amazingly honest account of your bankruptcy. I went through the same thing myself only last year. Mine was due to an ex partner running up excessively high debts in my name. The wonders of 'being in love' I suppose.
    I note that from your blog you state there is a way of re-building your credit worthiness. Wondered if you could point me in the right direction.
    I have a bank account now, as my last one was closed down. It is a basic savings account with Nat West (they did not ask about bankruptcy, so I didnot tell them!). Unfortunately I seem unable to get one with anyone else. Any tips.
    I have been through the lows, and then the highs of early discharge (mine took only 5 months), but somehow I cannot seem to negotiate the financial minefield and can feel myself slipping back - definately a thing I want to happen. We sould very similar in personalities - got a problem, then get on and solve it - but sometimes it is hard.
    Anyway good luck to you, and if you have any advice I sure would like to hear it.
    Kind regards and thanks.

    By Blogger Jake, at 4:49 PM  

  • I am not unsympathetic to your account: I was 21 when I had to sit down for a very tough negotiation with a bank manager in 1969, to obtain a freeze on the interest and a scheduled repayment of a £1200 credit card debt. And I do recognise that obtaining credit back then was a much tougher proposition (even though I was receiving unsolicited credit cards through my letter box), since one usually had to deal with a fleshly rather than a cyber bank manager.

    That having been said, I am rather unsympathetic to the notion that one can be effectively home and dry after only 5 or 6 months of bankruptcy. Granted that the social and economic circumstances have changed - though not all that much, people got into all sorts of trouble back in the 60s and 70s through lack of financial education concerning the "never, never", and those new-fangled plastic thingies - but at the end of the day, as you yourself have stated, the individual must accept the responsibility for and the consequence of his or her actions.

    The trouble is that the costs of default are simply passed on by the banks to their economically viable clients, thereby impacting on their financial well-being. I rather deplore the twin messages going out "borrow, borrow, like there is no tomorrow" - "hush your fears, there is always an easy way out, if you lose control".

    Finally, there is always this undercurrent that says it is all the banks' fault, they pushed money at me - and if I go bankrupt, it is only the bank anyway. Well, after my years of struggle to start and prosper my own business, to have a client go into voluntary liquidation owing me so much money that I was almost dragged down with him - I can only urge those that borrow money to fund their consumer lifestyles, to think about the little people they hurt when they take the "easy" option, rather than those anonymous corporations that can afford it anyhow....

    By Anonymous michael, at 1:50 PM  

  • Hi Jake,

    Rebuilding your credit after bankruptcy will be no easy task. Unfortunately, poor creditworthiness is one of the downsides of bankruptcy. The following link may help Credit Repair After Bankruptcy.

    Regarding your effort to find a bank account after bankruptcy the following link should be useful Bankruptcy Bank Account. I hope all is going well for you.

    By Blogger Piggy Bankrupt, at 6:14 PM  

  • Very helpful blog thank you. Can you just clarify "early discharge" i believed it was 6 years before you were clear but im reading 5/6 months is this dependant on your individual circumstances...?

    By Anonymous Anonymous, at 10:50 AM  

  • You will be automatically discharged from bankruptcy within a maximum of 12 months or sooner if the Official Receiver concludes their enquiries.

    If you are subject to a bankruptcy restrictions undertaking then the restrictions of bankruptcy will be prolonged between 2 and 15 years.

    The bankruptcy will remain on your credit report for a period of six years.

    Please feel free to e-mail me using the address above if you have any further questions.

    Thank you for the interest you have shown.

    By Blogger Piggy Bankrupt, at 7:08 PM  

  • My husband and I are in the throws of trying to sort out our financial mess! Looking into bankruptcy has been quite daunting, but with a blog like this it helps you see your not the only one with problems. We have four children and with individual debts from before we met and joined debts once we were together, our debt is about eighty thousand!!!. We are currently with a debt management company as we thought this would be the best way to go. After about a year to eighteen months with these we realise we are getting no where. So many things arent taken into account and you soon spiral into more debt. I know some things are luxurys but kids need birthdays and xmas and these arent in a debt management plan, neither is car maintenance. Just wanted to thank you for your blog it answered lots of questions, just wondered if you knew if the kids would loose there playstation and computer, i know they are not essential but they are to them! Also our car is on finance with i doubt any credit in it if it was sold and the finance paid off, would they take it any way? Thanks.

    By Anonymous Anonymous, at 7:43 PM  

  • wow, I'm so glad I found this blog. Myself and my husband are being threatened with bankruptcy by our trustee (we are in an IVA). Same old story, took out personnal loans to finance a business that was definately going to be a success, two and a half years later and we're in this financial mess, can't seem to get any information or advice from our trustee, so this blog has just answered a load of my questions, one thing though, does the bankruptcy appear in the local press, i've been told yes and no?

    By Anonymous Anonymous, at 7:34 PM  

  • Hi, I'm in Dubai, am going back to Uk soon, am bankrupt, and have found this....

    Discharge Suspended Indefinitely
    Order suspending bankrupt’s discharge under Section 279(3) of the Insolvency Act 1986 until the fulfillment of conditions as specified in the Order made by the Court and effective from 29 July 2005


    Any chance of telling me what this means?

    Thanks

    Taunted

    By Blogger Taunted, at 8:08 AM  

  • I been reading up on Bankruptcy

    "(they did not ask about bankruptcy, so I didnot tell them!)."

    I thought you had to tell them about your Bankruptcy?

    By Anonymous Anonymous, at 8:52 PM  

  • Hi Michael,

    Whilst I partly agree in principle with "spare a thought for the creditor that has been left in the lurch", no one has to provide credit, be they an individual or the bank, unless they want to. Surely the potential creditor has a responsibility to his or her own business to ensure that their customer is a good credit risk, i.e. has sufficient assets to cover the debt in the event of income failure and can provide appropriate security?

    I run a business. I have about £30,000 start up finance with the bank, which is manageable - i.e. I am paying it off over a long period of time and most of it is at low rates. But other than that, I don't provide any product until I am paid up front and I don't buy anything without paying for it up front first.

    My business, due to this method of management, no doubt grows a lot slower than it otherwise would if I were prepared to run up a lot of debt - and provide to potential customers a lot of credit. But in terms of being able to manage the finances, it's been great.

    By Anonymous Kat, at 5:04 AM  

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