Debts Not Written Off By Bankruptcy

Don't tempted into getting any last minute credit
If you are considering bankruptcy, then a last hurrah incurring more credit, knowing you've little chance of repaying it, can lead to in a Bankruptcy Restriction Order. You may be required to pay this debt back from your income over a period of years.

Bankruptcy does not clear all debts in all circumstances. You may still be liable for some debts, even after discharge from bankruptcy. This includes debts incurred during bankruptcy.

• Secured Debts
  The debt is enforceable only if it remains secured on that asset. If the asset was sold to provide funds towards the bankruptcy, but did not cover the amount owed, then that debt is no longer secured and therefore not enforceable.
• Benefit and Tax Credit overpayments
  Where overpayments are made before the bankruptcy order, but a decision is made to recover them after the bankruptcy order, then the debt remains after bankruptcy discharge.
  In the case where the overpayment is made and recovery sought before the bankruptcy order then debt is included in the bankruptcy. The exception to this is overpayment due to fraud, in which case recovery can by enforced despite bankruptcy, whenever the overpayments were made.
• Council Tax
  You are liable for council tax for the remainder of the current year if not served with a liability order or final demand.
• Child Maintenance
  Liabilities from an order made in a family or domestic court, such CSA claims for child support are outside of bankruptcy.
• Student Loans
  Most educational loans cannot be discharged as they fall outside of the Insolvency Act 1986.<
• Court Fines
  Court Fines imposed for an offense and liabilities from a confiscation order made under S.1 of the Drug Trafficking Act 1986 0r S.71 of the Criminal Justice Act 1988
• Personal Injury Claims
  Debts from personal injury claims made against you are outside of bankruptcy.
• Fraud
  Debts arising from your fraudulent conduct are outside of bankruptcy.
• Any credit obtained just before bankruptcy
  Last-minute credit obtained with little intention of respecting the credit agreement can be excluded and/or result in a Bankruptcy Restriction Order.
• Interest
  You may be liable for an interest payable on any of the above debts.