March 13, 2017

Bankruptcy – your responsibilities and restrictions

If you have been made bankrupt, you have certain responsibilities towards managing your finances, employment and business. These responsibilities are called the bankruptcy restrictions. Find out what they are and how long they last.

What are the bankruptcy restrictions?

When a court makes you bankrupt, you have to follow a set of rules called 'bankruptcy restrictions'. These do not allow you to:
  • borrow more than £500 without telling the lender you are bankrupt
  • act as the director of a company
  • create, manage or promote a company without the court’s permission
  • manage a business without telling those you do business with you are bankrupt
  • work as an insolvency practitioner (an authorised debt specialist)
It is a criminal offence to break any of the bankruptcy restrictions. Contact your local Citizens Advice Bureau or the National Debtline for free help and advice on how the bankruptcy restrictions can affect you.
You can pass on information about people who break the bankruptcy restrictions to The Insolvency Service. Telephone their enforcement hotline (0845 601 3546) or use their online form.