You can be debt free with bankruptcy in 12 months! No more creditors banging on your door or annoying you with restless nights of phone calls and bills. The bankruptcy discharge can rid you of debt, but certain terms and conditions will be applied when you enter this serious legally binding agreement.
Declaring bankruptcy will have several effects on your life. You will have to fill out bankruptcy forms in a court, and you will have to pay money for administration costs.
Once you have entered into bankruptcy this will be published in the press, which can be a social stigma on your name. You will also have to hand over any valuables, which can be sold and shared equally between creditors.
Holding certain job titles will be affected, especially in the public sector.
Opening a new bank account may be denied by the banking association, and you will not be allowed to have an overdraft.
These are just a few of the bankruptcy list which will impact your life once you declare bankruptcy in the UK.
Bankruptcy in business (Liquidation)
If your business has gone bankrupt, then liquidation will apply. This means the company will have to stop trading and its assets will be returned for cash or “liquidation” to pay off debts. It will be the termination of a company, although the business may survive.