Bankruptcy can provide a fresh start, especially if you cannot afford to make the agreed payments to your unsecured creditors and you don’t have many assets. Your household possessions and certain “tools of trade” are excluded from bankruptcy. You will be discharged 12 months after the date of your bankruptcy order (unless you do not co-operate with your Trustee as your discharge can be suspended). You may only apply for bankruptcy if you have a minimum debt level of £5000. If you declare yourself as bankrupt, you may still be able to obtain credit up to £500 without a need to inform the creditor. The One Money team at One Manchester can help you through this process if it is felt that this is the correct solution for you.