Yes you can, but if the Bailiffs pursuing the debt have already entered into a monthly payment plan with you, you might be obliged to honour it e.g. £150 per month, for the 12 months that you are bankrupt. However, in most cases, the Official Receiver will intervene and this won’t happen.
Just so our readers understand, a Liability Order occurs when the Council has given up on trying to recover council tax arrears from a tenant and approaches the court to intervene. This invariably results in vigorous Bailiff activity – the worst kind as non-payment of Council Tax is a criminal matter.
If you are lucky, you might have a Bailiff who gives up once you have gone bankrupt, but don’t bet on it. The Official Receiver might not interfere with such arrangements unless there is a clear possibility of setting up an income payments agreement. Speak to us, we’ll see if we can assist you with this.
Bankruptcy UK has been helping people with bankruptcy since 1998 and will guide you through the process step by step. We will avoid jargon and confirm all discussions by email within 30 minutes. Call us for a chat about your circumstances on 01425 600129.