To file your bankruptcy petition you must be in a position where you are unable to repay your debts. This is shown by submitting a statement of affairs with your petition form at court. The statement of affairs is a detailed decription of your current financial position
The court can dismiss your petition if your forms not being completed in the required format. See how to go bankrupt for more information.
When deciding if you are unable to repay your debts the court will usually look at whether your liabilities exceed your assets. This is often complicated as negative equity, mortgage shortfalls and personal guarantees will have to be taken into account also. You may also be in the position where your assets are more than your liabilities but you are unable to release the value in these assets to repay your debts. This could mean that you meet the grounds to petition for your bankruptcy.
The Court may refer the case to an Insolvency Practioner in the case where the possibility of an IVA being be more appropriate course of action needs consideration. You can check to see if you may qualify for an IVA as an alterative to bankruptcy by taking the IVA test.
You should therefore explore all alternative solutions, and seek expert advice before petitioning for your bankruptcy.
Our panel of specialists can quickly advise you if you have received a Bankruptcy Petition or are considering bankruptcy. Simply call the team on 0800 088 2208. Alternatively take the online bankruptcy test and find your best solution.
I Contacted them at 5 pm on a Thursday night,they arranged a meeting Friday morning with all the relevant bodies their because my case was the following Monday .I can't sing their praises high enough they contacted the courts same afternoon. Fantastic response, I avoided bankruptcy on the Monday and was given time to arrange an Iva. I risked losing my home,my mother and fathers home all hope seemed lost until I made that fateful phone call. I can now sleep at night.
Join 100,000s of Money Advice Onliners who read our WEEKLY email. Get our round up of ALL the best money saving tips, best buys, discount vouchers and competitions. Don't miss out!
Moneyadviceonline.co.uk is a comparison service that acts as an introducer to companies who offer regulated financial advice (FCA approved). Our website is completely free for you to use but we may receive a commission from some of the companies we feature. Moneyadviceonline.co.uk does not provide any advice and we are not liable for any financial advice provided by, or obtained through a third party. As with any investment, the value of investments can fall as well as rise and maybe worth less than what was paid in. Past performance is not an indicator of future results.
Moneyadviceonline.co.uk does not provide any regulated debt activates in relation to debt counselling or adjusting. You can also get free impartial debt advice by following this link to the Money Advice Service.