debt

Pub manager spared jail for £7k theft after admitting bankruptcy

The former manager of a pub in Leeds has been spared a prison sentence after he was caught stealing more than £7,000 from the business.

Brian Leeming admitted stealing the money from the Commercial Hotel pub over a period of time, but said that he only did so because of mounting debt problems. It also emerged that Leeming, 52, had been through bankruptcy proceedings with his wife last year, after they racked up debt problems exceeding £52,000 whilst running a pub together.

Richard Reed, mitigating in the court case, also said that Leeming had desperately needed money to afford to undergo a surgical procedure on his leg after it was broken in an accident. These were used as mitigating circumstances in the case, as well as the fact that Leeming had no previous convictions.

The court heard that rather than seeking debt help for his desperate situation, however, Leeming decided to steal from the business of which he was in charge. Prosecutor Mehran Nassiri said that discrepancies in the bank takings, especially from the pub’s fruit machine, had been discovered in January and February of this year. It was also noticed that some stock was missing from the Pudsey pub. An investigation was launched, and eventually Leeming was arrested.

After Leeming had admitted seven offences of theft and all mitigating circumstances had been put forward, a judge in the case handed the former pub manager a suspended prison sentence.

York woman finally decided to seek debt management companies for advice

A woman from York has spoken to a local newspaper about the moment she and her husband finally decided to seek debt management companies for advice when family’s debt problems reached £25,000.

Tess Sharratt, 30 from Acomb, spoke to the York Press about how debt problems began to take over her life after the family got into financial difficulties. Her husband Steve lost his job, and she had to leave her position when she became pregnant.

As the family’s debt management problems increased, Tess and her husband were hounded by creditors for repayment and debt collectors even started to contact their neighbours for information. They would be left with no money at all if they met all demands from creditors, so they only made minimum repayments.

Tess said she despaired of what to do, until the moment she finally decided to seek professional debt advice to get the family out of debt and back to normal. Bankruptcy was deemed to be the most suitable option, although Tess and husband Steve have had to work very hard to clear £5,000 from their existing debt problems.

Describing her stressful experience and explaining what it had taught her, Tess told the York Press:

“You should only spend what you can afford and if your children can’t get their computer games for Christmas that’s probably a good lesson for them to learn. It’s a lot worse to get into debt. That said, I was not lavishly spending money on credit cards. I didn’t get into debt by buying TVs and cars. For a long time, I kept chipping at the minimum payments. It was a very desperate situation and affected my health and everything really.”

Posted by Sam in Debt Management News on January 29th, 2012 , tagged with credit card debt, debt, debt advice, debt consolidation, debt help, debt help uk, debt management, debt management companies, debt management plan, debt management problems, debt management program, debt managers, debt problems, debt solution, debt solutions, how to clear debt.

Cherie Blair’s half sister in trouble after debt management plan and bankruptcy breaches

Lauren Booth, the half-sister of former Prime Minister Tony Blair’s wife Cherie, is reportedly facing a criminal investigation after she allegedly breached the terms of her debt management plan and consequent bankruptcy by continuing to act as a company director despite being banned.

The sister-in-law of the former PM declared voluntary bankruptcy in December 2010, with debt problems amounting to tens of thousands of pounds. Amongst Booth’s creditors was her half-sister Cherie Blair, who is believed to have lent a sum of £15,000 in response to a plea for financial aid.

Booth, a presenter with the Iran-funded channel Press TV, was required under the terms of her bankruptcy to stand down as a company director. However, she failed to unregister herself as a director of Lauren Booth Productions within the allotted 10 months, and the Official Receiver confirms that she was granted no exemption from the rule.

This could now trigger a criminal investigation, possibly followed by prosecution, a fine or even a prison sentence if Booth fails to inform Companies House that she has stepped down from her position.

She was also handed an automatic £750 fine after she failed to file details of her accounts within three months of the July deadline, as required under her bankruptcy agreement.

Booth has not commented on this latest development in her bankruptcy case, but she did write about her financial woes earlier this year. She wrote:

“The person going through bankruptcy feels alone, often struggling with the shame and embarrassment.”

Posted by Sam in Debt Management News on January 28th, 2012 , tagged with debt, debt advice, debt consolidation, debt help, debt help uk, debt management, debt management companies, debt management plan, debt management problems, debt management program, debt managers, debt problems, debt solution, debt solutions, how to clear debt.

Government plans to streamline debt management advice relating to bankruptcy proceedings

According to the business minister Edward Davey, the Government is planning to create a more streamlined application system for those considering debt management advice for bankruptcy, as well as for businesses going into liquidation.

A proposal has been launched for consultation, in which the Government’s plans are revealed. Entitled ‘Reform of the Process to Apply for Bankruptcy and Compulsory Winding Up Petition Reform’, the proposal makes the following suggestions:

• Creditors wanting to start bankruptcy proceedings must take all reasonable steps to resolve debt problems first
• All debtors will be encouraged to seek proper debt advice
• Anyone wanting to apply for bankruptcy for themselves can do so through paper or electronic applications
• Electronic applications will be sent to a specially appointed adjudicator at The Insolvency Service, who will decide on the outcome of the application where all parties agree
• Any disputes will then go to the courts to be resolved

Speaking of the Government’s plans, Mr Davey said:

“Courts have an important role to play in bankruptcy and winding up applications where there is a real dispute between parties. But in simpler cases where there is no real disagreement, a more streamlined route into bankruptcy is needed. These reforms should help to deliver better outcomes, reduce unnecessary burdens on creditors and debtors, and bring substantial savings for the taxpayer. It is essential that we get the detail right, particularly in relation to the level of safeguards required to ensure better results for debtors, while respecting creditors’ rights. That is why I strongly encourage all interested parties to respond to this consultation.”

Posted by Sam in Debt Management News on January 27th, 2012 , tagged with credit card debt, debt, debt advice, debt consolidation, debt help, debt help uk, debt management, debt management companies, debt management plan, debt management problems, debt management program, debt managers, debt problems, debt solution, debt solutions, how to clear debt.

Majority of Brits fear another recession and debt problems it may bring

A new survey has shown that around two-thirds of British people fear that the country may experience another recession, which could mean that households face greater debt problems.

The poll of 2,046 UK adults was carried out by researchers from ComRes earlier this month (November 2011). Amongst the other results collected, it was revealed that:

• 85 per cent of those surveyed believe that the UK economy is in danger due to European debt problems
• 59 per cent are already cutting back on their spending due to fears that the UK is facing another ‘credit crunch’
• 73 per cent worried that another recession may put extra financial pressure on themselves and their families, as well as causing or exacerbating debt problems
• Just 13 per cent thought they and their finances would escape unscathed if the UK did fall into recession once more

These results were accompanied by further discussion of the European debt crisis, with 76 per cent saying that they thought it had been badly managed by the political leaders of European countries. A further 77 per cent said that they believed the crisis was evidence of why the UK is correct to stay out of the eurozone.

However, despite fears that the European debt crisis could upset the British economy and cause greater debt problems for UK families, just 18 per cent believed that Britain should make a greater financial contribution to help solve it.

Posted by Sam in debt advice, Debt Management News, Debt Problems on January 27th, 2012 , tagged with credit card debt, debt, debt advice, debt consolidation, debt help, debt help uk, debt management, debt management companies, debt management plan, debt management problems, debt management program, debt managers, debt problems, debt solution, debt solutions, how to clear debt.

Real Housewives star Teresa Guidice bounces back from debt problems

Teresa Guidice, who is best known for starring on the US show Real Housewives of New Jersey, has joined the new line-up of Celebrity Apprentice in the hope that she can bounce back from bankruptcy and tackle her debt problems.

Guidice, 39, and her husband Joe filed for bankruptcy back in 2009 after racking up debt problems and attempting to live a lavish celebrity lifestyle. However, the couple have now made the decision to try to pay off what they owe rather than have their debts dismissed in a court during bankruptcy proceedings.

Speaking of this decision, Guidice’s attorney Jim Kridel told People magazine a few months ago:

“Teresa and Joe are happy about this. Teresa has always wanted to be able to say that she paid her creditors.”

As part of this effort to tackle her debt problems, mother-of-four Guidice has joined the new line-up of the US version of Celebrity Apprentice. She will appear alongside other US celebrities including singers Aubrey O’Day, Debbie Gibson and Clay Aiken, comedienne Lisa Lampanelli and magician Penn Jillette.

As well as receiving a fee for appearing on the NBC show, Guidice is also hoping that she can win the latest season of Celebrity Apprentice. Whilst the famous faces who take part won’t earn any money or a high-flying job if they win, they could end up with a number of lucrative new deals, offers and sponsorship. For Guidice, this sort of work could be a great help as she tries to tackle her debt problems, which at one point totalled $11 million.

Posted by Sam in Debt Management News, Debt Problems on January 27th, 2012 , tagged with debt, debt advice, debt consolidation, debt help, debt help uk, debt management, debt managers, debt problems, debt solution, debt solutions.

Twice as many Oxfordshire residents now require debt management advice comparitively to previous year

Consumer advisers in Oxfordshire confirmed that twice as many people living in the county now require debt management help after Christmas 2011 than compared to the previous year.

Reports suggest that many families had resorted to using pay day loans to cover the cost of Christmas 2011. These loans can be quite dangerous for consumers who don’t fully understand what they are getting into, as some payday loan lenders charge more than a thousand per cent interest per year for taking out even a small loan to cover the cost of bills and living costs until payday.

Theresa Elliot, from the Barton Advice Centre, which is part of the Oxfordshire Community Work Agency, said:

“This year we have seen many more people from all over the county who have got into debt trouble – with many more coming from middle class backgrounds. Payday loan providers are a big problem for small earners. Their offers can be very tempting now that getting loans from banks is hard. But all too often short term solutions lead to long term problems.”

Ms Elliot had warned consumers to take extra care when considering payday loans or other forms of credit prior to Christmas 2011, particularly in lieu of the fact that many people’s pay day date will fall after the festive period is over. This could make it difficult to pay back any amount borrowed using payday loan companies, which could result in huge interest amounts added onto the debt and further debt management problems in the New Year.

Posted by Sam in Debt Management News on January 25th, 2012 , tagged with debt, debt advice, debt consolidation, debt free direct, debt help, debt management, debt management plan, debt management plans, debt management program, debt managers, debt solutions.

Debt problems push man to nervous breakdown

The High Court in Belfast has heard that a man recently suffered a nervous breakdown after being pursued over debt problems, and that his money worries became so severe that he even attempted suicide.

The man, who has not been named, is understood to have taken out a loan of £9,000 in 2007, with an interest rate of nearly 12 per cent. All the monthly payments on the loan were made until November 2008, when the man lost his job as a carpet fitter and couldn’t afford to maintain the monthly installment. He did make regular small payments, but these weren’t enough to cover the loan amount, fees and other associated costs.

According to his barrister, the man has to this date paid a total of £4,698 on his loan. However, with default charges, interest and legal costs, he now owes nearly £18,000, which is twice the amount he planned to borrow.

The man told the lender, Swift Advance, of his difficulties in making payments, and the company agreed to accept lower payments for a limited period. However, they refused to extend the terms of the loan or freeze interest, and the man says the firm began to make numerous “intimidating” phone calls to him. He began to fear his home would be repossessed and became so depressed over his debt problems that he suffered a nervous breakdown and even attempted to take his own life in May 2011.

A judge in the case did not fully accept that Swift Advance had acted irresponsibly in pursuing the man over his debt problems, but did suspend a repossession order and give the man 20 years to pay off the loan in full.

Posted by Sam in Debt Management News on January 25th, 2012 , tagged with credit card debt, debt, debt advice, debt consolidation, debt help, debt help direct, debt help uk, debt management companies, debt management plan, debt management program, debt solutions.

Property Developer McFeely’s debt help direct bankruptcy application

The property developer Thomas McFeely has reportedly agreed to accept a bankruptcy summons after seeking debt help direct meaning that his case will be heard in court as soon as January 2012.

Mr McFeely ran into financial difficulties after he was successfully sued by Dublin City Council over fire safety breaches over one of his properties in Donaghmede, call the Priory Hall apartment complex. At the time he was fined €1 million for the violations.

The bankruptcy summons itself, however, was made by Theresa McGuinness from County Dublin, who claimed that the property developer had failed to pay her an award after she sued his company, Coalport Ltd, in 2009.

She had sued Coalport Ltd after the company tried to sell her a house in Balrothery which had serious structural problems. The court awarded her €103,000 in damages, but Ms McGuinness claims she is still owed over €200,000 in legal costs from Mr McFeely. In order to recover her money, Ms McGuinness is pushing for Mr McFeely to be made bankrupt.

Mr McFeely at first refused to accept that the bankruptcy summons had been served properly.. At the time, the serving of the court papers was described by witness Dyane Connor as follows:

“Mr McFeely took hold of the newspaper and the man pulled it back and there was an envelope underneath. Mr McFeely took hold of the envelope and the man said ‘you’ve been served’ and Mr McFeely threw the envelope on the pavement.”

However, Mr McFeely has now relented, and the case will be heard in court next month.

Posted by Sam in Debt help, Debt Management News on January 24th, 2012 , tagged with debt, debt advice, debt consolidation, debt free direct, debt help, debt help direct, debt management, debt management plan, debt manager, debt solutions.

Janet Jackson’s ex-husband seeks debt free direct solution to tax debt issues

The songwriter and music video director Rene Elizondo, JR., who is best known for being the former husband of the American singer Janet Jackson, reportedly has tax debt problems to the tune of $40,000 and is seeking a debt free direct solution to his problems.

According to the Detroit News’ Tax Watchdog, the Internal Revenue Service (IRS) in California is reportedly chasing Elizondo, Jr. for a total of $44,217 (£27,635) in unpaid taxes. A tax lien was even filed against Elizondo, Jr. last month with the Los Angeles County Recorder of Deeds for the full amount.

Elizondo, Jr. has worked as a songwriter, dancer and a music video director throughout his career, but he perhaps most famous for secretly marrying Janet Jackson back in 1991. Before the couple divorced in 2000, Elizondo, Jr. directed a number of videos for Jackson’s hit singles. These included ‘Together Again’, ‘That’s the Way Love Goes’ and ‘Again’, and he is also credited as songwriter on Jackson’s The Velvet Rope album.

Elizondo, Jr. was also understood to be heavily involved in Jackson’s business affairs, and he even sued her for spousal support following the divorce. This was perhaps an indicator that Elizondo, Jr. had debt problems or other financial issues even back then. However, the songwriter has not commented on the tax debt reports, nor is it known what action the IRS intends to take next.

Until this news story relating to Elizondo, Jr.’s tax debt problems emerged, the last that was heard of him was that he had married his long-time girlfriend in August 2010, and that in October 2011, the couple had a baby girl.

Posted by Sam in Debt Management News on January 24th, 2012 , tagged with debt, debt advice, debt consolidation, debt free direct, debt help, debt help direct, debt management plan, debt manager, debt solutions.

Businessman seeking debt help uk after employee theft

A businessman from Greater Manchester was left to seek debt help uk after being forced to close his firm following a former employee stole £132,000 from the business.

Paul Nadin was the owner of web development firm Venturonet before he was forced to close the business. He formerly employed Kathy Gilfillan, his friend and a former mayoress, to look after the company’s accounts.

It was only after three years, when Gilfillan went on holiday with her husband, that Mr Nadin looked at the accounts and saw that bills hadn’t been paid, that management reports had been falsified and that Gilfillan had stolen a total of £132,000 from the business.

Gilfillan, whose husband formerly was the mayor of Westhoughton, was eventually arrested and sentenced to 20 months in jail for fraud and theft in Manchester Minshull Street Crown Court. However, as she has no assets, she will only have to pay back £1 of what she stole.

This has left Mr Nadin and his business in a poor position, with debt problems he cannot pay and no choice but to shut the company down. In response to the ruling in the case, he has said:

“I am shocked to hear she will only have to pay £1. I feel justice hasn’t been done. I am also massively out of profit myself. It is like a slap in the face.”

Luckily, Mr Nadin has another business, Discover Holidays, to fall back on, in which Gilfillan had no involvement.

Posted by Sam in Debt help, Debt Management News on January 24th, 2012 , tagged with debt, debt advice, debt consolidation, debt help, debt help direct, debt help uk, debt management program, debt managers, debt solutions.

Over 300,000 Brits now managing debt and unemployment

New analysis has shown that nearly 300,000 people in Britain spent Christmas 2011 managing debt and unemployment.

The figures, compiled by the Trades Union Congress (TUC), showed that a total of 279,000 spent their second successive Christmas on the dole. This is a considerable increase compared to last year, when 243,000 people were in the same position. A few years ago, before the economic recession began to bite, the number of long-term unemployed people at Christmas time was just 122,000.

The TUC has also warned that the number of British people who have been unemployed for a year or more has risen by 35,000 in the last 12 months.

In a separate survey, the Bank of England found that employers’ hiring intentions have weakened yet again. This may mean that those who are out of work may continue to find it difficult to get a new job in 2012 and beyond.

Brendan Barber, who is the general secretary for the Trades Union Congress, commented on the recent findings, saying:

“As people gear up for the festive break, there won’t be much cheer for the quarter of a million people who are spending their second successive Christmas on the dole. The shocking rise in long-term unemployment is not just a personal tragedy for the families and friends of those unable to find jobs, it can affect entire communities and carries a huge economic cost.”

Posted by Sam in Debt Management News, Managing Debt on January 24th, 2012 , tagged with debt, debt advice, debt consolidation, debt help, debt help direct, debt help uk, debt management program, debt solutions, managing debt.

Older people in need of debt help

The Leeds Older People’s Forum has warned that older people may be just in need of debt help and advice as much as younger consumers.

Anjie Cawthra, from the Forum, told the Yorkshire Evening Post that it isn’t just youngsters who are encountering debt problems this year. She said:

“It’s a myth that older people don’t get into debt. You might think that they’ve got to that age and everything is hunky dory, but a lot of them really struggle.”

The debt management officer cited the example of an 87-year-old woman who had sought debt help after taking out a payday loan that she didn’t fully understand the terms and conditions of. She borrowed £200, but was unable to pay this amount back by the due date. She ended up writing post-dated cheques, and agreed to pay a total of £53 a month in interest on the loan. Eventually, she owed a total of £2,200, more than ten times the amount she borrowed.

Assisting the woman, Ms Cawthra managed to get the debt written off by threatening to report the lender to the Office of Fair Trading (OFT). She said of such payday loan companies:

“All they care about is getting people to sign up. They don’t do any credit checks.”

There has been rising concern in recent months over debt problems caused payday loans, but this is the first time the risks they pose to elderly consumers has been highlighted.

Posted by Sam in Debt help, Debt Management News on January 23rd, 2012 , tagged with debt, debt advice, debt consolidation, debt help, debt help direct, debt help uk, debt management companies, debt management plan, debt management program, debt solutions.

Bankruptcy figures triple in Shropshire and residents seek debt managment plan

New figures have revealed that the number of people who have gone through bankruptcy proceedings in Shropshire has more than tripled over the last ten years which has meant more residents seeking a debt management plan.

Back in the year 2000, around five out of every 10,000 people in Shropshire went bankrupt every year. However, by 2009, this figure had shot up to a total of 17.4 people out of every 10,000, suggesting that debt problems are becoming increasingly unmanageable for more people in the region.

Over the West Midlands as a whole, a total of 7,124 people went through bankruptcy in 20009. This equates to a rate of 16.8 per 10,000 people in the area, meaning that Shropshire is slightly above the regional average for bankruptcy figures at 17.4 per 10,000 people.

Delroy Corinaldi, from the Consumer Credit Counseling Service, expressed alarm at the rise in bankruptcy figures in Shropshire over the last ten years. He also urged anyone who is struggling with money worries to seek urgent debt help, before debt problems spiral out of control.

Insolvency practitioner Nick Rimes also commented on the figures, which were released by the Consumer Credit Counseling Service. He said:

“I would say it has probably plateaued. There was a big increase at the beginning of the recession, but to the man on the street I don’t think the cost of living now is that much greater than it was in 2009. I don’t think the number of bankruptcies has risen since then, but I also don’t think it has dropped.”

Posted by Sam in Debt Management News, Debt Management Plan on January 23rd, 2012 , tagged with debt, debt advice, debt consolidation, debt free direct, debt help, debt management plan, debt management plans, debt management program, debt managers, debt solutions.

Former supermodel Christie Brinkley seeks debt solutions to clear tax debt problems

The former supermodel turned stage star Christie Brinkley is reportedly seeking debt solutions due to her unpaid income tax bill of nearly half a million dollars in the US, which she has vowed to pay back as soon as possible.

Brinkley, 57, is being pursued by the Internal Revenue Service (IRS) for tax debt problems amounting to $531,720. She claims that the tax authorities in the US made a mistake and put a lien on her home in Bridgehampton, New York, which is believed to be worth $30 million.

The former Sports Illustrated model, who made her stage debut as Roxie Hart in the musical Chicago in New York last April, has now pledged to tackle her tax debt problems and pay back what she owes within the next few days. She hopes that this will save her home from being repossessed.

In a statement, Brinkley apologised for her error and said:

“I regret not paying more attention to my accounting, but I have been, and remain focused on my whole family as both my parents navigate serious health issues. I am grateful for the outpouring of understanding and support I have received. I was surprised to learn of the tax lien filing and took immediate steps to rectify this matter, which for most people is a private matter.”

Brinkley, who used to be married to Billy Joel, is believed to be worth around $80 million in total, which is why the irregularities in her tax affairs came as such a shock to many of her fans. However, sources close to the star have provided assurances that Brinkley’s finances are in good order and that tackling her tax debt problems should be quite straightforward.

Posted by Sam in Debt Management News, Debt Solution on January 23rd, 2012 , tagged with debt, debt advice, debt consolidation, debt free direct, debt help, debt help uk, debt solutions.

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