Advantages and Disadvantages of Bankruptcy

Advantages of Bankruptcy

• You keep your household goods, personal effects and tools of your trade and a reasonable amount of income on which to live.

• Bankruptcy usually lasts for one year after which you are released from your debts and you can make a fresh start.

• Creditors cannot take further action against you, unless debts are secured on your home or belongings.

• Your home may not need to be sold if you are able to arrange the sale of your share of the property to a partner of family.

• You will no longer need to deal with your creditors which will ease the pressure.

Disadvantages of Bankruptcy

• You will have to pay the Court Fees of  £600.00

• Your employment could be affected

• You cannot act as a company director

• Certain professions are barred from practising if made bankrupt

• Some of your possessions could be sold and these could include your car or luxury products.

• Some debts, such as court fines and student loans will not be written off.

• You may have a bankruptcy restriction order made against you even after your discharge from bankruptcy if it is considered that you took out debts knowing that you did not intend to pay them back. This order can last up to 15 years.

• Your bankruptcy is published in the London evening  standard  and entered on a public register.

                                          
At Hamilton Associates we make sure you choose the best solution for your personal situation. We have helped 1,000 of people with bankruptcy, Debt Management and I.VA’s.

For free help with your bankruptcy please call us on 0800 010 6506 or email us at Debthelp@hamiltonassociates.org.uk