This can be a very big question to answer and there are many considerations to be taken before looking at the bankruptcy process. Fortunately the Insolvency Service have produced some publications that outline bankruptcy in detail. If you look at the Insolvency Service website http://www.bis.gov.uk/insolvency you will find two publications that may help.
The “Guide to bankruptcy” http://www.bis.gov.uk/assets/insolvency/docs/publication-word/guide-to-bankruptcy.doc and
“How to petition for your own bankruptcy” http://www.bis.gov.uk/assets/insolvency/docs/publication-word/how-to-petition-for-your-bankruptcy.doc
You may wish to discuss your details with a qualified debt adviser, before proceeding with the bankruptcy, to ensure that there are no consequences in bankruptcy that you would wish to avoid.
This question was answered by Debt Advice Foundation, an independent UK debt advice charity. If you need further help, Debt Advice Foundation provides a free, confidential helpline and can advise you. Click here to find out more.
Bankruptcy is a way of dealing with debts in which the court makes a bankruptcy order against a debtor who is unable to pay her/his debts.
The first step in going bankrupt is by way of a Bankruptcy Petition. An individual can go bankrupt either by making an application to become Bankrupt themselves or where one or more creditors have applied to the courts the make that individual Bankrupt.
There is a fee associated with going bankrupt, £175 in court fees (which can be remitted if an individual is receiving certain benefits) with a further £525 with the petition itself.
Please seek further free debt advice before considering bankruptcy as potentially you may have other options available to you.
This question has been answered by CAP UK, a leading debt charity offering hope and a solution to anyone in debt.