I have always worked and done my best to pay the bills and keep our heads above water. In a bold move to try and get ahead my wife and I purchased a business and set about running it to secure our futures. Unfortunately poor financial climates, over-stretching ourselves initially, some naive decisions and cashflow difficulties left us in deep trouble. I got another job whilst we were trying to organise a Partnership Voluntary Arrangement (a strange beast that no one seemed to understand). Anyway, my new job payed well enough for the insolvency practitioner to advise us to close the business and file for bankruptcy. We did back in 2007 and were cleared (with some restrictions) in July 2008.
Since BR we have kept in the black but need to start rebuilding our credit rating. My report still shows defaults and a ccj that should have been settled in the bankruptcy and I am writing to/have written to these institutions.
It seems difficult to get even the most basic credit despite being 'clean' since 2007 and having a reasonably good income (£45k). For example, I was recently turned down for a mobile phone contract (£25 per month).
I would like to look at buying our own property again but fear we are a long way off that! Up until now we have not put a great deal of money away but we will have savings of around £5k by the end of this month. My wife currently works but her job comes to an end soon and she does not have a new one to go to yet. She is looking at freelancing but I do not know how much she expects to earn.what are our options and how do we go about making ourselves viable borrowers?
Answer: It is always going to be the bank or lender's decision as to who they extend credit to, and with the economy as it is, getting credit can prove difficult for anyone, bankrupt or not.
You can send copies of your discharge notices to the credit bureaus Equifax, Experian and Call Credit so they can update your credit file. This will help in showing the bankruptcy has been discharged.
I hope this has answered your question.
For more information and assistance, please complete our eligibility form at our web site www.bankruptcy.org.uk or ring us at 0800 0029951.