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Jamie-Law, Solicitor
Category: Bankruptcy Law
Satisfied Customers: 6410
Experience:  Solicitor
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Back in 2009 I had a business fail and had a personal

Customer Question

Back in 2009 I had a business fail and had a personal guarantee on some on the leased equipment. I came to an agreement with the lease company to pay £500 a month which was fine until recently this wasn't possible. The company unfortunately wouldn't accept this and served statutory demands and will file for bankruptcy if I don't clear the debt by tomorrow.
The debt is currently as £6200. Am I right in understanding that someone can only petition for bankruptcy if the debt is over £5000? Im now in a position to clear the 4 months arrears and continue as we were so this will reduce the debt to £4200 and then pay my usual £500. I hope this makes sense.
Submitted: 8 months ago.
Category: Bankruptcy Law
Expert:  Jamie-Law replied 8 months ago.

Hello my name is ***** ***** I will help you.

Yes. If you can get the debt reduced to below £5000 - they can NOT make you bankrupt.

So make sure its paid and the figure reduced.

Then they cant make you go bankrupt.

Can I clarify anything for you about this today please?

Customer: replied 8 months ago.
Thank you for your response.I had an email from them last month saying that the debt was £4900 but then all of a sudden the statutory demands came out and it was risen to £6200! If I reduce below the £5000 mark and then maybe get a solicitor to look at all the costs etc? The problem is whenever it is reduced below £5000 they then try and put on huge fees for whatever and take it over the £5000 mark
Expert:  Jamie-Law replied 8 months ago.

Yes indeed. I would make it to £4500 then argue on costs.

Does that clarify?

Expert:  Jamie-Law replied 8 months ago.

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