High Court Rules Your Pension Can Be Raided

www.accountancyage.com...

A HIGH COURT JUDGE has ruled that bankruptcy trustee should be allowed to draw from a debtor's pension pots to repay creditors if they are of the "right age".

If you are of age to beable to draw a pension but have not yet reached State retirement age, and have a private pension, Creditors can now get their hands on your retirement funds during your bankruptcy.......

I'm speechless, so you've probably been pushed into banckruptcy due to health issues, likely to have had your home foreclosed and now they can take your pension ..way to go High Court !

I'm sure we'd like to give A big thanks to : B Livesey QC for this great ruling

www.professionalpensions.com...






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Looks like its time to start putting money in jars and burying them in the backyard. They can't take what they don't know exists!

reply to post by Mulattorus


Having the 401k protected is a major reason for investing in this crazy up / down market ..... like you said jars and under the bed...

perhaps next they'll insit we sell a kidney to help pay our medical debts......

reply to post by AliceBlackman


I don't think this is such a bad thing. These people have this money available to them but choose not to draw it, yet they claim they don't have the money to pay their debts. If they are entltled to a regular monthly payment than they should be required to take it and that amount included in income when calculating their bankruptcy payment plan.

This ruling does not mean that creditors can simply take money out of the plan as some are probably thinking. It simply forces the debtors to include the available annuity payment in the calculations of their income. The debtors will still have the option of finding alternate funds to make their bankruptcy payment.

reply to post by AliceBlackman


It's a decision of the English High Court in London.

How does that affect American bankrupts ?

Not many US citizens realize they are being enslaved by debt. Credit cards, mortgages, car loans, student loans have become a burden that keeps most(even upper middle class) people in debt for life. Now the debt collectors have been able to lobby so they can go after your pension too. This is just another law that makes a revolution in the US inevitable.

reply to post by LeBombDiggity


Missed that bit ..... update thread title

We should get rid of this sense of entitlement and pensions all together. If you start making people more responsible for themselves the less likely they will be effected by others. But personal responsibility is a tough pill to swallow when you feel entitled.

The only difference between
your pantry and your pension,
is where you store it.
Would you keep your food in a bank?