- Hassle free – Your telephone calls and payment demands stop.
- Generally lasts for only 12 months.
- Regain control of your finances.
- Get out of debt –– Wipe the slate clean.
- Prevents creditors taking money directly from your wage.
Your option to become debt-free when all else fails.
Bankruptcy is one way of dealing with the debts you cannot afford to repay. You could write off up to 100% of your debt with a bankruptcy order.
Sometimes, there's simply no way of repaying what you owe in a reasonable time frame. If your debts are particularly high and / or your income is low, you may want to consider declaring yourself bankrupt.
What is Bankruptcy?
Bankruptcy is a legal declaration that confirms you are unable to pay all of your debt back. Your assets are distributed fairly among your credit companies and all outstanding debt that you cannot afford will be written off. You are then able to make a fresh start.
In the majority of cases, however, bankruptcy is initiated by the debtor. This is called a "voluntary bankruptcy" that is filed by the insolvent individual.
Bankruptcy may affect your credit rating and a fee may be applicable depending on suitability and qualification.
Any affect on your credit rating may remain on your file for up to 6 years.
