What are the laws behind it in the uk these days?

how do you go about it. etc

This place is a good start... http://www.clearstart.org/bankruptcy-faqs.php

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you're not are you?!!?

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In some cases it can be the smart option to do this.... If you have no assets (i.e. no house) and more debt than you could possibly pay off in 5 years - do it.

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you can do it in 1 !!!!!!! year in france. there are people around who guide you through the process of geting french taxed which can clear all debts in one year exactly, those people make business with this.
not that it ever happened to me or one of my relatives, but im working in this area where you know how to evade the law to safe money :>


tho, the people you have debts at will hate you for that and eventually set a russian killer on ya. gl ^^

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The actual time to clear the bankruptcy is a year - but no lenders will touch you for 5 years after...

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There are larger issues to consider.

Being banckrupt will fuck you up for the next 10 years for buying a house, or getting any credit at all.

For the banckruptcy period you cannot apply for credit, after that you will be blacklisted.

You can get a sub prime mortgage , but it costs you a minimum of 6% over base rate, which translates to £2k+ a year more than a normal mortgage in repayments on the average mortgage.

You also cannot during the bancruptcy period become a director of a company, and the tax and vat will take a 'special' interest in you after tha bancruptcy should you start up on your own.

what he said

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My uncles has been declared bankrupt twice now, and he can't even get a store card, let alone a credit card/loan.

Everything has to go through my Auntie, is a mess tbh.

Some would argue not being able to get any extra debt was a good thing

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I had a friend go bankrupt a couple of years ago. Says it's the best thing he ever did, eased his burdens both financially and mentally. Sure he's screwed for credit, but that's not always the most important thing.

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He's a caterer, but has got himself into trouble by trying first to run a pub, and then to run a chippy. He's not a debt magnet, he's just made some bad business decisions.

He's got his own Deli and supplies other deli's in the area, so he's doing ok now, but for a while it was torture getting the money to rebuild.

Rebuilding your credit rating is very easy if you know how. If you are prepared to move house a few times and be very careful about what you do and don't bother to do, you can have a prome credit rating rebuilt within a few years of going bankrupt (or running from the bank).

First thing to do is go bankrupt (costs £400 or so to do and you need to apply to the courts). They will then do an assesment and will decide what you need to sell or have deducted from your wages. They can't touch your clothes or furniture, but can take luxury items such as a TV, Hi-Fi or PC as long as you do not use it to earn a living (eg if you are a TV and music critic you would be able to keep all 3 ). Often your first car will be left alone, unless you owe money on it, or are taking the piss with a hyper-expensive car and crying poverty.

They then look at your wages and decide what you need to live on - they will take into account what you need to survive, but you can easily inflate that with a 40 a day smoking habit that you may or may not have...

The court will usually only take deductions from your wages for 1 year, but will on occassion (usually only if sever fraud or negligence was the issue) will order a longer period of repayment. Once that time is up, you are free to do as you please. You will be considered a discharged bankrupt, but will be unable to get any credit as long as you live at that house thanks to the length of time that your credit will be registered as outstanding (your money lenders will be really fucking reluctant to report it as paid in full just becasue the courts said that you had done your bit by paying back 10% of it).

So now you need to move house... although actually moving will be a pain in the arse. Just ask a mate to stick you on the electoral roll at his house next year or 2. In the third year, move. Make sure you go on the electoral roll and stay there. You now have 3 years proof of address with no adverse credit following you around. As 3 years is the most that the credit reference companies are allowed to give out, your old debts are as good as dead. Only problem is... you have no proof of a good credit history either, and that is what you really need!

Next trick is to get a credit card. Go for one with the highest apr possible. These suckers are just dying to give you a card with a £500 limit in the hope that you get suckered into a minimum payment for the rest of your days. Go buy a bottle of booze with it. Make it one you really like though as you will be paying triple for it...

Once you get your bottle of booze, you need to make the tossers at the credit card company part with some cash and report your good credit rating to the credit reference company. Problem is, they are cheap bastards hoping to leech from you with minimal expense, so they won't actually report your good payments to the credit company as it costs them to set up the new account. Now... should you miss a payment 6 months down the line, they MAY report you, but chances are they will let it go 2 months into arrears before they see fit to report you. There is however one way that is guaranteed to have them calling you a cunthook... MISS THE FIRST PAYMENT!!!

So... don't pay, wait until you get a really shitty letter - not the reminder... not the second reminder... the one that says return your card to us or we will bumsecks you - that's the fucker you want! AS soon as you get this, you will have been charged a couple of times... now get on the phone and apologise to them. Say you were on holiday and forgot about this new card. Chances are they will waive some of the payments is you ask, but don't insist on them waiving them, or they may well cancel your account, and you really want this bastard. If you need to, just pay the fees and apologise, then thank the lovely collections officer for being so understanding.

Now that they are reporting your repayment habits, you need to buy something with the card every month and then pay it off in full. Do this for 13 months and you will be able to get whatever finance deal you like. Not a prime rates, but nowhere near subprime.

The reason for the 13 months of clean payments btw, is that the credit company reports are very simple... a string of numbers for the past 12 months that reads with the left most number being the oldest...

so: you never paid your card and you had it for 1 or 2 months (rememebr to hold out for the bastard of a letter). Your credit report is as follows:

12 (shows you went 1 month in arrears then 2 months).

after 6 months it is:

120000

after 12 months:

120000000000

after 14 months:

000000000000

So... your little hiccup at the beginning is no longer an issue and will not affect any other credit you get.

Go out and get a mortgage. You won;t get the best rates, but you will get reasonable ones. Pay it perfectlyt for 12 months and then you will have a 12 month perfect payment on a mortgage. Take the equity on your house and use that as a deposit on a better rate mortgage. You will get a decent rate as you have decent credit history and you will get a better rate for having a decent 'deposit'.

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get a good lawyer

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Largo was declared bankrupt after SOE destroyed his pie making business and Higgeh ran off with all the stock to feed to Wharry.

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cheers buck'e thats awesome advise