Bankruptcy is a form of insolvency and will help you clear 100% of your unsecured debts. Once you have filed bankruptcy you are protected from your creditors. After bankruptcy all creditor hassle, debt collections agencies and bailiff threats will stop. It will be illegal for them to chase you for the debts once you have filed bankruptcy.
Bankruptcy will make you debt free, if this is the first time that you have filed bankruptcy you will be subject to certain restrictions which are as follows:
- Cant obtain finance over £500 without disclosing to the company about your bankruptcy
- Have any assets, these will need to form part of your bankruptcy estate (Items over £1000 as a rule of thumb)
- Car over £1000 will need to be surrendered towards your bankruptcy
- Certain employments are affected, company directors, accountants, solicitors, police officers.
- Equity in property will be lost, if you have no equity you should not have a problem with the property.
12 months after you have filed bankruptcy you will be automatically discharged, all of the above restrictions are lifted and you are now out of the bankruptcy.
Bankruptcy is no longer advertised in your local newspaper, the only place that it is advertised is the London gazette which is a business newspaper, The reason that it is advertised in the London gazette is because it is informing everyone at the same time of your bankruptcy, this means that no company can come after you in the future and say that they were not informed of your bankruptcy and try and chase you for the debt.
If you are struggling to make repayments and have unsecured debts over £750, little to no assets and no property with equity then bankruptcy could be your best option to clear all of your debt completely.
Need more information or help on bankruptcy then give us a call on 08001303007 or alternatively call 02081442947 if you are calling from a mobile phone as it may be cheaper.