There are other options which should be considered for debt and financial problems. You can access free advice and guidance on these via the Money Advice Service. If you were to speak to a Personal Finance Advisor and it became apparent that one of these solutions was a suitable solution GW Financial Solutions UK Ltd. would advise you of this, and, provide you with contact information so that you could access further information and explore that solution further.
Bankruptcy is a solution for people who have little or no ability to repay unsecured debts. A Bankruptcy order can be applied for by your creditors against you, or you can choose to make yourself Bankrupt (Voluntary Bankruptcy). If you choose to petition for Bankruptcy you now do this by completing your application online. A Bankruptcy order has to be applied for through the county courts and court costs are likely to be involved. Application fees totalling to £680 are payable when submitting the online petition for Bankruptcy. If you are on benefits or low income you may qualify for some reimbursement of this.Bankruptcy is an option for those with no other way of regaining control of their finances, for people in this situation it can be a huge relief, although it should be recognised that it is a form of insolvency and can have some long term effects on your ability to get credit as well as other areas of life.
How would this work?
GW completes a detailed assessment of your personal financial circumstances, and if we believe Bankruptcy is the best solution for your current circumstances then this is how it would work for you: A petition is required for the courts to assess your suitability and reasons for needing Bankruptcy. Once this is complete and submitted, an appointed representative of the court, called an Official Receiver, will conduct a detailed investigation in to your income, expenditure and assets. They will be a point of contact with you until discharged from Bankruptcy. GW will offer advice on how you can apply for Bankruptcy or where you need support, will direct you to appropriate sources for assistance.
So what are the advantages of Bankruptcy?
What are the disadvantages of Bankruptcy?