Top 5 surprising things you need to know about bankruptcy

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Top 5 Surprising Things You Need To Know About
Bankruptcy
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• If youre standing on the cusp of bankruptcy
  there are two things that are almost certain
• You feel lonely and isolated. And
• Youve undoubtedly done your research and by
  this point have read what feels like hundreds of
  guides. Yet among all your reading on bankruptcy
  debt, there remains five things that you probably
  didnt know

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• There are more people than you may realise who
  declare bankruptcy
• UK insolvencies are currently running at a
  six-year high (insolvencies include debt
  solutions such as IVAs and Debt Management Plans,
  as well as bankruptcies).

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• Bankruptcy isnt the same process throughout the
  UK
• Bankruptcy works differently if you live in
  Scotland. In Scotland, bankruptcy is instead
  known as Sequestration or Minimal Assets Process
  (MAP) bankruptcy. However both solutions have
  different benefits, risks and fees.
• Sequestration is the Scottish equivalent to
  bankruptcy and provides a debt solution when you
  are unable to reasonably afford to repay your
  debts. To be eligible for Sequestration you must
• Have debts of above 3,000
• Live in Scotland and have lived there for a
  minimum of the past 12 months
• You must not have been declared bankrupt in the
  past five years
• MAP bankruptcy is designed for those who have
  less than 1,000 in assets and who have a low
  income. MAP bankruptcies replaced LILA
  bankruptcies.

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• Going bankrupt isnt cheap
• Yes, you heard that right bankruptcy isnt
  free. In fact, the fees total to 680 - 130 of
  which is an application fee, while the bankruptcy
  deposit is 550 (and thats before you factor in
  any legal advice, should you need it).
• The good news is that you can arrange to pay this
  in instalments if youre unable to meet the fee
  all in one go.

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• There are numerous rules that you must follow
  during bankruptcy
• Bankruptcy typically lasts for 12 months, over
  which time you must adhere to the following rules
  by law. You must not
• Borrow more than 500 from a lender without
  telling them youre bankrupt
• Be a company director
• Buy a council house using the Right to Buy
  scheme 
• Change the name of your business if youre
  self-employed
• Leave the country without permission if you live
  in Northern Ireland

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• Should you break any of these rules before youre
  discharged (the official time you are
  released from your debts), you may face
  prosecution, which could lead to a fine or even
  imprisonment.
• You should also bear in mind that if your
  bankruptcy was caused by dishonest or reckless
  behaviour, the official receiver (or the
  Accountant in Bankruptcy if youre using a
  bankruptcy solution in Scotland), can extend
  these restrictions using a (BRU) or order (BRO).
  This extension could last for anywhere between
  two to 15 years.

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• Bankruptcy is a matter of public record
• Bankruptcy is a form of insolvency, and like all
  insolvency solutions is recorded on something
  called the Bankruptcy and Insolvency Register.
  This register is online and open for anyone to
  search.
• If youre worried about this aspect of becoming
  insolvent, dont be. Its only celebrities that
  tend to attract the attention of press nowadays
  (compared to yesteryear, when all bankrupts were
  routinely printed in the local paper). In short,
  someone will only be able to find your bankruptcy
  details if they know what theyre looking for.

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• If youre considering bankruptcy our best advice
  is to do as much research as possible, as
  bankruptcy may not be your only option. Debt
  solutions such as an Individual Voluntary
  Arrangement may be better suited to your needs.
  Learn more about debts solutions here or give our
  expert team of debt advisors a call on 0800 002
  9051.

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• If youre concerned that your debt problems are
  spiralling out of control, and are unsure as to
  the best move to make, you should speak with an
  impartial debt agency, wholl be able to provide
  you with tailored advice based on your
  circumstances.

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Thank You

• National Debt Help
• Beckwith House,
• 1 Wellington Road North,
• Stockport, SK4 1AF
• https//www.national-debt-help.co.uk