Bankruptcy and liquidation
First, we will send you a statutory demand, which will give you 21 days to pay us the full amount.
If you do not settle the statutory demand, we will present a petition for bankruptcy or liquidation in the high court. If we issue a bankruptcy order against you, this will mean:
- the official receiver will investigate your affairs
- your bank accounts will be frozen
- you will lose your credit rating and be blacklisted from getting any more credit and
- you could be forced to sell your home to pay your debts
If you are made bankrupt, the official receiver will control your spending for three years.
If a liquidation order is granted against your company, this will mean;
- you will not be allowed to be a company director
- your company will be wound up by the official receiver
- your personal bank accounts could be frozen and
- you could be forced to sell your home
Do not ignore the statutory demand.