Thanks again but what does CAB mean?

Sorry...

Citizens Advice Bureau.

Hi Alison,

You can apply for your own Sequestration via the LILA route yourself. You would complete the application pack and send this away to the Accountant in Bankruptcy with the required documents i.e. payslips etc. If you need help with this then I can assist you or your local Citizens Advice could also assist. It's not like a Trust Deed where a company will take it on and deal with everything for you from start to finish.

Once you send it away to the Accountant in Bankruptcy they would either deal with it themselves i.e. the administration or they would pass this out to one of their agents to deal with. We are one of their agents and deal with approximately 60% of the work they pass out so there is always a chance that Wylie Bisset LLP could be allocated your case.

You would need to work through an income and expenditure to see if you could afford to make a payment per month to the Sequestration (Bankruptcy). If you are then you would pay it for 3 years. You would however be automatically discharged from Sequestration after 1 year.

If it's determined that you cannot afford to pay a contribution then you would not be asked to make one.

Something you need to be mindful of is that the legislation is due to change next April regarding Sequestration. You want to keep on top of your Trustee to investigate PPI and release you from your Trust Deed before next April otherwise you could be looking at a payment period of 4 years and they are also removing the LILA route into Sequestration. This won't stop you going into Sequestration it will just be a different entry method.

Hi David thanks again for your help, last I spoke to my trust deed company they cancelled my direct debit and were starting the ppi investigations, do u know how long roughly they take to do? See when I send my payslip and tax credits letters and stuff would I need to send my sons medical reports ie dietician reports and psychologist reports, to prove that my son has extra living costs?

I think you should be prepared for the PPI stuff to take at least several weeks, maybe a few months depending upon how quickly your trustee gets onto it and how quickly creditors respond.

Its possible that your future Trustee may wish to see evidence of your son's condition in order to justify your living costs if they are higher than normal. I'm sure it could just be a letter from a GP rather than full medical reports though, and they may not require that even.