Bankruptcy can be a fresh start
- Most debts are written off*
- Can provide a financial fresh start*
- Good option if you do not qualify for a DRO
*May not be suitable for all. Write off based on individual circumstances.
May not be suitable in all circumstances. Fees apply. Your credit rating may be affected.
MoneyHelper is a Government-backed service that gives guidance on a range of money matters.
Bankruptcy
For Debts You Can’t Repay
Bankruptcy is a legal process that clears debts you can’t repay. It usually lasts 12 months, and after that most debts are written off. It’s often seen as a last resort but can give you a completely fresh start.
Who is bankruptcy suitable for?
Bankruptcy may be right if you:
- Have debts that are impossible to repay in a reasonable time
- Don’t have significant assets you need to protect
- Want a fast, decisive solution to debt
What are the pros and cons of bankruptcy?
Pros
- Most debts are written off, giving a clean slate
- Creditors can’t chase or take legal action against you
- Usually over in 12 months, but can be extended to 3 years
- A clear way forward if debts are high and unmanageable
Cons
- Your assets (e.g. home, car, savings) may be sold to repay debts
- Appears on the public Insolvency Register
- Stays on your credit file for 6 years
- Some jobs or professional memberships may be affected
- Fee of £680 to apply
How much does bankruptcy cost?
Applying for bankruptcy costs £680 in England & Wales. This fee is paid to the Insolvency Service.
How do I apply for bankruptcy?
Bankruptcy is applied for online through the Insolvency Service. Dexter Bell will:
- Give you clear advice if bankruptcy is the best path
- Explain what it means for you and your family
- Signpost you to the right debt charity or, for complex cases, a specialist who can guide you through the process
Get In Touch
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Call us at 0161 802 3102 or fill out our form, and we’ll contact you as soon as possible.
