In the past there was a very real stigma about making yourself or being made bankrupt.
This was viewed as one of the worst things that could happen to you and meant that you really were at rock bottom from a financial point of view. Nowadays, however, things have changed to a certain extent. Why? Simply because so many people have had to take this route because they are having serious problems managing their debts and can no longer cope on their own.
So, going bankrupt is actually viewed in a far more positive light in a way as it is a common debt management route
to take nowadays. Obviously if you have been running your own business and have to declare yourself bankrupt then this could have an impact on the way that you are perceived in the business world. But, in consumer terms, bankruptcy is now almost viewed as an everyday occurrence unfortunately simply because it happens so often.
- One problem that many people have with bankruptcy is the fact that it cannot be done privately. One of the conditions of accepting bankruptcy as a debt management solution is that the Official Receiver or Insolvency Practitioner handling your case will have to advertise the fact that you are applying for bankruptcy proceedings or are having them made against you. There is no way to avoid this happening.
So, once your bankruptcy order has been lodged it will be publicised in The London Gazette. This is a financial newspaper that contains these kinds of legal notices. It will also probably be advertised in either a local or national newspaper depending on your case. In some cases it may be advertised in both.
To a certain extent, however, you don’t have to worry too much about these advertisements. Most people that you know will be unlikely to even know about The London Gazette and what it does. And, not many people regularly read the legal sections of either local or national newspapers that carry bankruptcy notices.
The person handling
your case will also have to advertise your bankruptcy to a range of companies at the same time. This will usually involve the sending of an official notice which may be sent to various institutions and companies who may have an interest. So, for example, this could be sent to courts, court appointed officers, HM Revenue and Customs, relevant professional organisations and the Land Registry. Your Official Receiver/Insolvency Practitioner will also need to contact relevant financial institutions to discover information about your financial situation.
So, you cannot necessarily hide the fact that you have gone/been made bankrupt but you may find that this is not really a problem for you. Firstly, people do not naturally notice the adverts that announce bankruptcies in the first place. And, even if they do find out they will not necessarily view this as a stigma any longer. Remember, this is something that is happening to more and more people on an everyday basis now.