Can a creditor instruct bankruptcy on an individual who owes old debt of less than ВЈ5,000?

A 'tracing co' has contacted me and has advised they will be making me bankrupt unless I contact them within 7 days. This is an old debt which has been passed around to various debt companies over many years. They have my name wrong - I have since married and the letter is very aggressive, informing me that I will made bankrupt.
I do not deny this is my debt ( albeit with hefty amounts since added on) but can these companies actually arrange bankruptcy without the individuals permission?

I used to work for such a company - don't throw things at your screen.....

I can help! Firstly, it is only possible for a creditor to issue bankruptcy against a debtor if they have a CCJ against you already. This is one of the methods available for enforcing the CCJ is usually completely ineffective and not cost effective for the creditor unless you own your house, or have other major assets that are not a family home or essential for your business. So realistically this is an unlikely scenario, as if you owned your house they would be more likely to secure the debt against the property by way of a charging order.

Anyway, before I get any further into enforcement options, you say that this is an old debt. Have you made a payment on the debt in the last 6 years (or got a CCJ in respect of this debt in the last six years)? If not then the debt falls outside of limitation (Statute of Limitations Act 1980) and is non pursueable. (This is different for a mortgage debt)

Furthermore, before a company can enforce a CCJ against you they have to have confirmed your address with you beyond a reasonable doubt.

Regarding the name thing, it does not matter what name they are pursuing you in as they will be able to prove that you are the same person (maiden and married name).

The best thing to do is request a statement of transactions on the debt, so you can see when the last payment was, ask for a copy of the agreement of the debt (like a loan agreement or credit card application etc) and a copy of any county court judgements (if there is one).

You should then take this paperwork to the local CAB (or Money Advice Centre in Scotland - DON'T PAY for this advice), and tell the creditor that this is what you are doing, asking that before they take further action they allow you to get advice from a third party.

If you are in a position to do so I would suggest that a lump sum offer of repayment is the quickest way to settle this - start at 50% of the total debt - most debt recovery agencies on debt this old will look at such an offer as a quick win. BUT MAKE SURE BEFORE YOU MAKE THIS PAYMENT THAT YOU HAVE IT IN WRITING THAT IT IS IN FULL AND FINAL SETTLEMENT OF THE DEBT AND THAT THEY WILL UPDATE CREDIT REFERENCE AGENCIES TO CONFIRM THIS ACCOUNT IS SETTLED.

Hopefully this will tell you everything you need to know. But feel free to contact me if you need anymore advice. It would be interesting to know how you get on - and interesting to know who the company are as there maybe more I can do.

There's a saying, "you can run but you can't hide", sorry but you'll need to pay up, but take advice frist

Yes you can be declared bankrupt by a creditor................but i'm sure you have to owe one of your creditors a certain amount ....i'm unsure to what this amount is but i thought i was at least ВЈ5000.....................you should go to citizen advice about it ...they will tell you for sure............good luck x

What is the Bankruptcy process?
A Court makes a bankruptcy order only after a bankruptcy petition has been presented. It is usually presented by:

* Yourself (Debtor's Petition); or
* Creditors who are owed at least ВЈ750 by you (Creditors' Petition)

A bankruptcy order can still be made even if you refuse to acknowledge or agree to the order. You should therefore try to co-operate fully once the bankruptcy proceedings have begun. If you dispute the creditors' claims you should try and reach a settlement with them before the bankruptcy order is made: trying to do so afterwards is difficult and expensive.

youl have to pay in the end

They cannot force bankruptcy on you:

How to Avoid Bankruptcy Explained
http://www.debt-explained.com/category/How-to-Avoid-Bankruptcy-Explained.html

No, they cannot "force" bankruptcy on you - they just want you to acknowledge or pay something, because then the debt becomes fresh and they can make you pay.

No i dont think they can. I would advice you to go and get advice from the CAB as soon as possible. They will probably tell you what you can do and even procceed in helping you. Good luck.

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