bankruptcy

[otroyo]

Hi, need some advise guys. I have like most, spent all my money on following the flying dream. Luckily I have a job as a flight instructor (some of you will poo poo this, but at least I am flying). The dream job is always it seems, just out of reach - especially with the introduction of having to pay for ones own type rating :ugh:. Just want some advise. If I chose to go bankrupt would I ever get work as a commerical pilot? Is there anyone out there who has gone bankrupt and who has managed to get a job on the business jets afterwards? Any advise you give would be appreciated. Thanks

[Happy Wanderer]

If I chose to go bankrupt...

I'd think very carefully about these words if I were you. It is most definitely NOT a lifestyle choice, rather something that results from a genuine inability to pay one's debts and liabilities. The subject has been covered many times on this forum - just be aware that bankruptcy has a severe impact on your ability to obtain ANY form of consumer credit, be it a mortgage, credit card, loan, mobile phone contract or something similar. It is not something that should be taken lightly....

HW

[dwshimoda]

...don't know now, but when I had to fill in all the various forms for my first commercial Airline job, there was a question which (I'm paraphrasing) said: "are you, or have you ever been declared bankrupt"

Now I don't know this, but I'm guessing a tick in that box would probably have moved my application from the top of the pile to the cylindrical filing cabinet on the floor under the desk.

You're halfway to where you want to be (and no one should poo -poo what you are doing) if you can, hang in there. There are some small signs of things starting to improve...

DW.

[v6g]

It depends on your situation, if you're in your 30's with a mortgage, wife & kids then probably not a good idea. If you're 20, living with Mom & Pop, happy with your cheapo-car and content with living that way for a few years then it looks like a great option.

There are many pilots who have done it and used it to their advantage. It will be easy to prove to a judge how your naivety led you to being tricked into a bad decision. But the beauty of the situation is that no bankruptcy court can take your license away from you. It's the perfect crime.

At the end of the day it's your responsibility and only you can make the decision but I would encourage it if your personal situation allows as, taken en-masse, it will make banks more cautious about lending such vast sums to the young and naive. That, my friend, is the only way to stop this "survial of the most indebted" that aviation has become.

There will be some on here who claim some moral objection, to which I say: if it's OK for governments, CEO's of blue-chips and large international banks then it's OK for you and me. Bankruptcy is just one of the techniques afforded to you by the rules of the game in which we play.

[fly_antonov]

Don' t know about the UK but in some countries, a bankruptcy means that you lose everything you own at present and also a big part of what you will own in the future.

In many countries across Europe, you will lose a part of your future salaries, taken away at source in a very embarassing way. Creditors can also lay hands on any inheritance you may receive from your family until they recover the last cent, with interest and legal fees.
Usually, creditors have a set amount of years after which they are no longer allowed to claim anything from you, legislation changes from country to country.

Bankruptcy is not something you chose to do, you are forced to do it when you have a negative net worth and can no longer make your repayments. Most young pilots who take on loans for their flight training have negative net worth but as long as they keep making their monthly repayments, they will not need to face bankruptcy.
Do they really know what it means to have a net worth of minus 100 000? Try explaining that to a girl that you want to marry.

If you are young and you don' t know what to do, try to approach a judge and explain your situation, avoid lawyers. Lawyers will work in their self-interest and will be more eager to push you the wrong way even for a small increase of their personal profits. The more procedings, the more money they milk out of you.

[mad_jock]

Nope it doesn't work like that in the UK.

The only issue I have heard folk have problems with in the UK is when the company bond you by you taking a loan out and they pay it back.

Vg6 has it right.

I would if there was no capital they could take. Before all this bank milarky I would have had a moral objection. Now :mad: em