Bankruptcy Help & Advice
What is Bankruptcy?
If you cannot afford to repay your debts, you could be classed as insolvent and may qualify for bankruptcy.
Bankruptcy is another debt solution allowing people to deal with their debt problems. By applying for bankruptcy it will allow the individual to be free from their debts after a set period of time.
Bankruptcy should always be seen as a last resort due to the serious consequences associated with bankruptcy so all other debt solutions should be exhausted before applying. Your assets including your home, business and possessions could be used to repay your creditors.
Bankruptcy criteria
As with all other debt solutions, qualifying for Bankruptcy will depend on your individual circumstances, this includes the amount of disposable income you have available after paying for essential bills. Therefore it’s essential you seek professional debt advice before proceeding with an application.
You could qualify for Bankruptcy if you:
- Cannot afford to make repayments on your debts
- Have a low disposebale income
Call us free on 0800 634 7053 for expert advice
Fees
Out initial advice is free, however if you decide to pursue Bankruptcy, fees will apply for the Bankruptcy support service which is provided by our partner company.
At DEBTPLAN Direct™ we’re committed to providing the highest standards of customer service at competitive rates. For information on our fees for our full range of services, please click here.
What are the benefits of bankruptcy?
- You will be given a date of when you are debt free and all your debts have been repaid
- Normally 12 months after bankruptcy you will have no further liability to your creditors
- Peace of mind
- Protection from creditors
- A chance to make a new start when your bankruptcy is over
What are the drawbacks of bankruptcy?
- Any valuable assets, including your home, may be sold so the funds can go towards repaying your creditors
- You will not be able to work in some professions – as a company director or local government councilor, for example
- Your bankruptcy will be advertised in newspapers
- Bankruptcy is a formal, court-driven process
- Bankruptcy will affect your credit rating for 6 years
