Bankruptcy Process

Before you consider declaring yourself bankrupt, you need to make sure that you have fully exhausted all other options available to you.

We can help you find other methods to deal with your debts, such as the ones mentioned on this website. If you are unsure about how to deal with your finances, please call one of our advisors on 0808 131 9101.

The Court determines whether to declare an individual bankrupt, and this can be petitioned by either yourself or your creditors, who can do this without your consent. 

The Official Receiver (a civil servant and an Officer of the Department of Trade and Industry) will require the full details of your financial circumstances, along with a face to face interview.

Once this is agreed you will lose control of your assets and income. They are divided between the creditors, to help pay back what they are owed. All of your financial links will be told about your situation.

Bankruptcy is a complex legal issue and consequently there are serious implications which cannot be avoided. We might be able to help you avoid bankruptcy, so please contact one of our specialist advisors on 0808 131 9101.

Entering into an IVA may adversely affect your credit rating for up to six years from the date of approval.

Your property will be protected within an IVA but you may be required to release all or part of any equity during the period of the arrangement.

Failure to complete the term of an IVA can result in bankruptcy.

(In Scotland, a PTD is the equivalent to an IVA.)