Sometimes, there’s simply no way to repay what you owe in a reasonable time. If your debts are particularly high and/or your income is low, you may need to think about declaring yourself bankrupt.

Like an IVA (Individual Voluntary Arrangement), bankruptcy is a form of insolvency: it’s a legal process that will share out your assets fairly among your creditors, protect you from further legal action and upon successful completion (normally after 1 year), write off your outstanding debt allowing you to make a new start.

  • A ‘light at the end of the tunnel’ – a date when you know you’ll have repaid your debts
  • Peace of mind
  • Protection from creditors
  • No further liability to your creditors
  • A chance to make a new start

Speak to one of our qualified advisors today for more information about bankruptcy and other options that may be available to you. We advise you to do this to make sure bankruptcy is the best solution for you.  Call today on 0161 9627061 or complete and submit the debt help form.

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Complete the form below, and our friendly team will be in touch to find the right solution for you.

How does bankruptcy work?

You can apply for bankruptcy by filing a petition at the County Court – the district judge will decide whether or not to grant the bankruptcy.

  • Step
    Complete the online bankruptcy application form and pay the fee
  • Step
    An official receiver will talk to you about your finances & assets take control of your bankruptcy
  • Step
    You will be discharged from the bankruptcy order after 12 months


This is a voluntary bankruptcy, however, there is also an involuntary bankruptcy which means any of your creditors can petition for your bankruptcy if you owe them £750 or more.

The team at Michael Alan can assist you in applying for your bankruptcy petition if you decide that it’s the right solution for you.

Is bankruptcy right for me?

While it should be considered very carefully and as a last resort, bankruptcy is the best way out of debt for some people. It all depends on your situation – bankruptcy might be right for you, if you:

  • have a limited disposable income,
  • don’t think your financial situation will improve in the short to medium term
  • can’t repay your debt within a realistic timeframe
  • own few assets, and
  • have already considered other debt solutions

There are some things to consider before deciding to go bankrupt:

  • Any valuable assets, including your home, may be sold so the funds can go towards repaying your creditors
  • You will not be able to work in some professions e.g. as a company director or local government councillor
  • Your bankruptcy will be advertised in newspapers
  • Bankruptcy is a formal, court-driven process
  • Bankruptcy will affect your credit rating for 6 years