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Personal bankruptcy toolkit
This manual is based on the most frequently asked questions about bankruptcy and is a helpful resource if you want learn more about bankruptcy.
The manual is organised into four sections:
Each section starts with a Contents list so you can find the right information quickly.
In a nutshell
The two most important things you can say to a potential bankrupt are:
- Bankruptcy is not an easy way out of your money problems. Bankruptcy is not a pleasant process and will affect your life for the next three years—and possibly longer (for instance, your credit rating).
- Therefore, it is important to consider all your options first. Start by speaking to a Budget Advisory Service advisor. Because Budget Advisors have helped many people like you, they can:
- Help you make the best decision for your circumstances
- Explain options or possibilities you may not know about
- Help you negotiate with your creditors (the people you owe money to, including Inland Revenue).
Section 1 - Before bankruptcy
Steps to avoid bankruptcy and information about what will happen during your bankruptcy.
Section 2 - Insolvency Act 2006
An overview of changes under the Insolvency Act 2006 and details of the No Asset Procedure.
Section 3 - During bankruptcy
Understanding your responsibilities and what happens during your bankruptcy
Section 4 - After bankruptcy
Steps you can take to rehabilitate yourself and prevent bankruptcy happening again
Section 5 - Helpful resources
Organisation and web links that might be useful before, during, and after bankruptcy.
