How much does it cost to go bankrupt? Bankruptcy fees

Bankruptcy costs and fees in the UK

In England and Wales:

• The application fee is £130
• The bankruptcy deposit is £550

In Northern Ireland:

• The court fee is £151
• The bankruptcy deposit is £525
• There is a solicitor’s fee of around £7
  
  • This depends on your solicitor

The court fee may be waived if you:

• Live in Northern Ireland and
• Have a low income or receive certain benefits

The bankruptcy deposit always has to be paid.

Once you apply for bankruptcy, the official receiver (OR) dealing with it will:

• Look at your finances
• Tell you what else you need to pay towards your debts

You may have to pay a monthly contribution towards your debts for up to three years.

• This is called an ‘income payment arrangement’ or IPA
• It is payable if you have more than £20 left per month after paying:
  
  • Your household bills
  • Essential living costs

You will not have to pay anything towards your bankruptcy if you cannot afford to.

The OR may arrange for valuable items to be sold like:

• Property
• A vehicle
• Expensive items of jewellery
• Savings

Any money from this will be used to pay back some of your debts.

Bankruptcy costs in Scotland

Sequestration (Scottish bankruptcy)

The Accountant in Bankruptcy (AiB) fee is £150.

• You might not have to pay this if you get certain benefits
• This applies even if you have other income

You may have to make monthly payments for up to four years after sequestration.

• This is called a ‘debtors contribution order’
• It is based on your ability to pay

Minimal assets process (MAP) bankruptcy

The application fee is £50.

• You might not have to pay this if you get certain benefits
• This applies even if you have other income

You do not pay anything after MAP bankruptcy.

Get help now

Going bankrupt is a big step to take.

Get free, impartial debt advice online to find the best solution for you.