If you are made bankrupt, it can affect how you
manage your bank or building society accounts and your credit rating.
Find out what happens to these, the restrictions you must agree to and
where to get help and advice.
How bankruptcy affects your bank accounts
When the court makes you bankrupt, you should stop using your
cheque books and bank or credit cards. These must be handed over to the
Official Receiver (the court’s bankruptcy officer).
Your bank or
building society will be told that you are bankrupt and will freeze all
your accounts, including any joint accounts. While your accounts are
frozen, you can’t receive or make payments. This will affect any
standing orders or direct debits you have, so you should make
alternative arrangements to pay any bills.
Money in your accounts
Your Official Receiver or trustee
(the person appointed to manage your bankruptcy) will take control of
your assets (property, shares etc). Any money in your bank account is an
asset and will be used to repay your creditors (people you owe money
You can ask your trustee or Official Receiver if they will
- any money you need for urgent domestic expenses – for example,
- your partner’s share of any money held in a joint account