Recent changes to UK bankruptcy laws means that people now file their own bankruptcy petition online. They no longer have to go to court. It also means that people are increasingly seeking no advice on the effects of bankruptcy on them.
People are urged to seek legal advice. But how can you force someone? A tick box on the online form asking "have you sought independent legal advice?" Is pretty much all that can be done.
The online application was brought in to complaint court process, reduce time and costs and make it easier for those declaring bankruptcy.
But it has also introduced a worrying number of cases where people have declared bankruptcy without understanding what it would entail.
I recently heard of a young girl, still in her teens, declaring bankruptcy online because she was fed up of not being able to afford to buy many clothes or to go out as much as her friends did after making payments to her assorted credit cards. This level of immaturity is worrying at the best of times, but to then do something as serious as she did without thought or seeking advice......?
It is too late to seek advice after the event. As she found out. Because no, you cannot change your mind after you've submitted your application online if you decide that actually taking another 9 months to pay your credit cards off is a better option.
Does anyone else find this worrying - or is it just me?