Do I need a lawyer for bankruptcy?

No, you won’t need a lawyer to complete the bankruptcy application. It’s designed for people to do it themselves.

If you owe at least £5,000, one or more of your creditors can apply to have you made bankrupt. This is called a bankruptcy petition. If a bankruptcy petition is made against you, having a lawyer may be useful.

The bankruptcy petition

Before they can file a bankruptcy petition, your creditor(s) must try other legal methods to get you to pay first.

Only if these other methods don’t work can your creditors go down the bankruptcy route.

When this happens, you’ll get notice that a petition has been made and given the chance to challenge the making of a bankruptcy order against you.

If you want to do this, it’s a good idea to get legal advice. A lawyer will be able to tell you whether you have a good case for opposing the making of a bankruptcy order. And, if you do, they can help you with your defence. You may be able to apply for legal aid towards the cost.

If you want to challenge the bankruptcy order, you need to do this at least seven days before the court hearing – explain why you’re disputing the order e.g. you don’t owe any money or the creditor didn’t take legal action in time. Send a copy to your creditor(s) and their solicitor(s).

At the bankruptcy court hearing

During the hearing, a judge will look at the case.

This is quite serious, so having a lawyer to represent you is advisable.

The judge may:

• dismiss the petition if the debt's paid or if the creditor's at fault
• pause proceedings if they need more information
• grant a bankruptcy order