A person who has done any of the acts that by law entitle his creditors to have his estate administered for their benefit. A bankrupt person is unable to hold a bank account or apply for credit in excess of £250 without the court?s permission. Wages of a bankrupt are usually collected by a supervisor.

Bankruptcy
The process of declaring an individual bankrupt. Bankruptcy remains on credit records for seven years and limits a person?s ability to borrow.

Bankruptcy: Discharge
A debtor is discharged from bankruptcy after a period of approximately three years and his debt is treated as paid, however credit referencing agencies normally identify former bankrupts for up to 15 years after their discharge.