If in the past you have been made bankrupt and you are now ready to return to the financial status you held before your declaration, you can make a bankruptcy annulment application which, if successful, will completely undo the bankruptcy.

We understand how the mere status of bankruptcy can affect your life. In both your personal space and professional, a declaration of bankruptcy can have severe consequences and, for some, create feelings of shame.

Let us help you undo all of that. Read on for everything you need to know about applying for an annulment.

The Insolvency Act 1986

There are two grounds in which you are able to make an application for annulment, and they are both under The Insolvency Act 1986:

1. The bankruptcy order should not have been made. Or,
2. The bankruptcy debts and the expenses of the bankruptcy have all since the making of the order, been either paid or secured for, to the satisfaction of the court. This may include entering into an Individual Voluntary Agreement.

What happens when annulling a bankruptcy order?

Your bankruptcy status will be completely undone by an annulment, and it will be as if the bankruptcy never happened. What you need to remember, however, is that if an Official Receiver or Trustee in Bankruptcy have disposed of some of your assets prior to annulment then you will not usually be able to recover them – they remain valid dispositions even after annulment because they are sold to repay the creditors. Because of this, you need to act quickly if you think that you fit into the above two categories.

You are usually dismissed from bankruptcy after a year. However, because the effects of bankruptcy can last for up to six years, we recommend that you seek independent legal advice immediately (if you think that you fit into the above two categories).

How we will help with your case

We are always happy to discuss your case with you and make your annulment application on your behalf. As most people secure their annulment through third-party funds we are able to assist you in negotiating with lenders and dealing with any subsequent conveyancing matters.

Most lenders refuse to lend to someone who is subject to a bankruptcy order – however, with our expertise we are able to explain the process to the lender and protect both yours and the lender’s position. This leads to a successful transaction on everyone’s behalf.

Get in touch today

If you need to annul bankruptcy order and you think that you have grounds for an annulment, get in touch immediately. Leave it too late, and you may lose your assets. Call us on 0161 833 4004 and we’ll talk through your case.