UK Personal Bankruptcy

Bankruptcy in the UK

Please note that Money Advice Direct will only recommend personal bankruptcy in the UK as a viable solution to serious debt problems if there is no alternative solution.

If you would like to avoid personal bankruptcy, then please get in touch and ask us for alternative solutions to your debt problems For FREE Personal Bankruptcy advice in the UK call 0800 074 6918 to speak to the Personal Bankruptcy team.

Personal Bankruptcy is when a court makes a bankruptcy order only after a bankruptcy petition has been presented. It is usually presented by:

• Yourself (Debtor's Petition); or
• Creditors who are owed at least £750 by you (Creditors' Petition)

Personal bankruptcy order can still be made even if you refuse to acknowledge or agree to the order. You should therefore try to co-operate fully once the personal bankruptcy proceedings have begun. If you dispute the creditors' claims you should try and reach a settlement with them before the bankruptcy order is made: trying to do so afterwards is difficult and expensive.

The purpose of personal bankruptcy is to turn your assets into cash, and any wages you receive, into lump sum and installment payments for creditors. A debtors purpose or aim to apply for their own bankruptcy is to form a moratorium (a group of creditors) to agree part repayment of all outstanding debts, and when the agreed repayment has been met, to have a debt free life. The aim personal bankruptcy in the UK is to share out your remaining assets fairly and legally among your creditors to help them recoup the debt you owe them.

Common Personal Bankruptcy questions

• What is personal bankruptcy?
• Personal bankruptcy explained
• The personal bankruptcy process
• The effects of personal bankruptcy
• The disadvantages of personal bankruptcy
• How do I petition for my own personal bankruptcy?
• What happens after personal bankruptcy?
• What are the alternatives to personal bankruptcy?
• Can my personal bankruptcy be reversed?
• Can my personal bankruptcy be cancelled?
• What happens to my home in personal bankruptcy?
• What happens to my pension in personal bankruptcy?
• When will my personal bankruptcy end?
• Where is the personal bankruptcy Order made?
• Who will deal with my personal bankruptcy?
• What effect will personal bankruptcy have on your credit rating?
• Payment to your creditors in personal bankruptcy
• What happens to your assets in personal bankruptcy?
• What are the advantages of personal bankruptcy?
• What are the disadvantages of personal bankruptcy?
• What are the implications of personal bankruptcy?

There are now many options when it comes to dealing with personal insolvency and personal bankruptcy, such as:

1. IVA - The IVA procedure is an excellent way to solve your debt problems and we won't charge anything for our debt advice. When we have all the information we need we will recommend this solution to deal with your debt problems.
2. Bankruptcy - The debt advice team receives 1000’s of calls from people considering bankruptcy for their debt problems.
3. Debt Management Plan - Debt Management can seem like an easy way out of temporary financial problems, giving you a lifeline to cover your bills. There’s a down side though that not many consider until they’ve experienced it for themselves such as the procedure not being legally binding.
4. Remortgages - A loan is sometimes suitable for folk with expensive debts and some credit history problems may be able to cut their interest rate this way.

For FREE professional advice on personal bankruptcy in the UK call 0800 074 6918.

What is bankruptcy? | Bankruptcy explained | The bankruptcy process | The effects of bankruptcy | The disadvantages of bankruptcy | How do I petition for my own bankruptcy? | What happens after bankruptcy? | What are the alternatives to bankruptcy?| Can my bankruptcy be reversed? | Can my bankruptcy be cancelled? | New legislation - the Enterprise Act 2002? | Frequently asked questions | Bankruptcy additional facts | UK Personal Bankuptcy | Bankruptcy Records | Bankruptcy Advice | What happens when you visit the Official Receiver's Office? | What happens to my home in bankruptcy? | What happens to my pension in bankruptcy? | When will my bankruptcy end? | How am I made Bankrupt? | Where is the Bankruptcy Order made? | Who will deal with my bankruptcy? | Who do I need to tell if I go bankrupt? | What are your duties as a bankrupt? | What effect will Bankruptcy have on your credit rating? | Payment to your creditors in Bankruptcy | What happens to your assets in bankruptcy? | What is a bankruptcy restriction notice? | What is a form J restriction? | What happens in bankruptcy if I rent my house? | What happens to your life assurance policy in bankruptcy? | What happens to your business in bankruptcy? | What happens to your wages in bankruptcy? | What are bankruptcy restrictions orders and undertaking? | Debts you have incurred after you have been made Bankrupt | What are the advantages of going Bankrupt? | What are the disadvantages of going Bankrupt? | What are the implications of  Bankruptcy? | Jersey - a guide to Bankruptcy Law | Bankruptcy Law | Student Loans and Bankruptcy | Bankruptcy Forms | Avoid Bankruptcy | Business Bankruptcy | Accountant in Bankruptcy | Bankruptcy Lawyers | Bankruptcy Search | Bankruptcy in the UK | Declaring Bankruptcy | Filing for Bankruptcy | How to go Bankrupt | Insolvency Practitioners | Voluntary Bankruptcy | How do I avoid Bankruptcy? | Consequences of Bankruptcy | Borrowing after Bankruptcy | Bankruptcy and Student Loans | Annulling the Bankruptcy | Bankruptcy - The Court | Bankruptcy Bank Accounts | Debt Resolution Forum | Mortgage after Bankruptcy | Personal Bankuptcy | Bankruptcy Mispellings