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How to declare bankruptcy without a lawyer

No one wants to admit that they’ve reached the end and they need to declare bankruptcy. But sadly under the financial climate Europe finds itself under now, this is a far more commonplace occurrence that we’d really like to admit. Keep reading and we’ll tell you how to declare bankruptcy.
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Circumstances

There are three circumstances under which a court can declare you bankrupt. The first one happens without you as your creditors can apply to the court to make you bankrupt. You’ll need to owe them more than £750 for a bankruptcy petition to be issued to the court. Most creditors prefer to be paid and only issue a winding up order when they feel there’s no other choice so keep speaking to them if you’d like to avoid this situation. The second way you can be made bankrupt is if an insolvency practitioner applies to the court, which they’ll only do if you break the terms of your Individual Voluntary Arrangement. The third way is to apply to the court yourself.

Apply to court

If you find that you’re unable to pay your debts, you can make yourself bankrupt. To make this happen you need to petition the court. Only they can decide if you’re declared bankrupt or not. If they issue a bankruptcy order against you, you’ll be officially bankrupt.

How’s it done?

There’s a form to fill in which is then sent to the court. You’ll find the form at gov.uk/bankruptcy/declare-bankruptcy. This is the place to visit if you’d like to know more about insolvency. The form is short at just 3 A4 pages and you won’t need your solicitor of your accountant present to complete it as it’s reasonably basis. There are fees to pay for this: £525 for managing the bankruptcy and £180 in court costs.

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