Hmm that is not a yes or no answer, I would use bankruptcy as a last resort although yes it would make you debt free but also that you may lose any assets you currently have, such as any equity in your property.

You might want to look into the new Government scheme to give you help with your mortgage "Home owner mortgage support" you should be able to get more information on this, at www.shelter.org.uk or speak to your mortgage provider.

Once you get a new job you might then want to consider looking into an IVA which is not quite as drastic as bankruptcy and will not cost you the initial outlay that bankruptcy would as long as you go to a reputable company for the IVA.

Hope this is helpful for you

If you are a homeowner you really need some advice before you consider bankruptcy as you could lose your home.

It really depends on what your prospects are for getting a job. Obviously if you think you will be unemployed for a long time you will need different advice than if this is a short term problem.

Bankruptcy is a serious step that could actually limit your chances of getting a job- depending on what it is you do - but if you want to discuss your specific situation you can either post it here or click on my name and email me at Debt Advice Foundation.