Is Scottish Bankruptcy Good or Bad

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					Is Scottish Bankruptcy Good or Bad?
Bankruptcy is known as sequestration in Scotland and the two terms mean exactly the same
thing. Bankruptcy is generally the better known term and for this reason only we use it here
as our reference term.

Bankruptcy is a legal process established to provide a route out of debt for people who are in
the situation where they are genuinely unable to repay their debts in a reasonable period of
time. The process is administered by the Accountant in Bankruptcy (AIB) who are a
Government funded organisation.

Declaring yourself bankrupt or being forced into bankruptcy by one of your creditors is a
serious situation and one that requires careful consideration and professional advice.

There are many different views on whether bankruptcy is a good or bad thing for people in
debt. There are also many different views on whether bankruptcy is a good or bad thing in
terms of its impact on the wider economy and society in general.

For individuals a lot depends on the circumstances but the one thing bankruptcy certainly
provides is a formal and legal route out of debt. There are advantages and disadvantages of
the process and the implications for the people involved.

The system allows people to write off their unaffordable debt and after twelve months be
officially discharged from their bankruptcy, thus providing a fresh start free from debt.

Some of the downsides are that the bankrupt’s home may be sold, credit rating is affected,
certain job types may be affected, there’s a register of bankrupts and payments may be
required for up to three years.

So this is not a decision to be taken lightly and professional advice should be sought to ensure
you fully assess and consider all your available options.

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Description: A document all about Scottish Bankruptcy.