You can pay your bankruptcy application by debit card or cash. If you are paying by card, you can do this in instalments.
The payment methods are all explained in the new online application. I’m going through it in detail here as you might like to understand how this will work but don’t yet want to start a bankruptcy application.
If you want to know more about the rest of the bankruptcy application, read How to complete the online bankru[ptcy application.
Start a bankruptcy application
The first step is to start a bankruptcy application.
If you and your partner are both going bankrupt, these are handled separately so you will each need to start a bankruptcy application.
You will then be emailed your bankruptcy application number and a link to sign into the bankruptcy application. On the first Application Overview page there is a green Make a Payment button, which takes you to this screen:
To make a payment by credit, debit or prepaid card you enter the amount. You can pay by instalments, adding more money when you can afford it. The minimum payment allowed is £5.
Although it is possible to pay by credit card, the application informs you that “You shouldn’t use your own credit card to pay for bankruptcy“. The credit card company could potentially regard this as fraud – you took out money knowing you couldn’t repay it because you were going bankrupt.
As you can see from the above picture, you will be able to see how much you have paid and how much is left to pay.
Until you have paid the full fees you can’t submit your bankruptcy application.
Paying in cash
If you want to pay in cash, it has to be the whole amount – £680 – you can’t make cash payments in instalments. To do this, you need to:
- select the ‘I can’t pay by card‘ link at the bottom of the page;
- you will then be given the payment details: the sort code and account number for the Insolvency Service account and your unique payment reference, which will begin with ADJ, see this screenshot;
- NB this payment reference is not the same as your bankruptcy application number;
- go to any branch of NatWest with the cash and these payment details. Ask for a receipt which shows the amount and the payment reference from the cashier as proof you have paid;
- cash payments will take two or three working days to show up in your bankruptcy application as being paid.
Someone else paying for you
Sometimes some or all of your bankruptcy fees will be paid by someone else, usually a relative or a charity that gives grants for bankruptcy fees.
If they want to pay in cash, you give the cash payment details that you would have used (see above) including your ADJ payment reference and they can use these in any branch of RBS. This has to be for the whole £680 amount, not for just part of the fees. And make sure they keep the proof of payment!
If they want to pay online, they can pay all or part of the fees. You need to:
- select the ‘Have someone else make a payment on my behalf’ link at the bottom of the page;
- you will be told your payment reference – it will begin with ADJ. This will always be the same for you, so if your mother wants to pay £100 a month into your account for the next 6 months you don’t need to get a new reference each time;
- you will also be given the internet address of the third party payment page – send this and your payment reference to the person who will be paying.
You can change your mind and get the money back!
At any point before you submit your application you can change your mind and get a full refund of all amounts you have paid in towards the fees.
Just select the ‘Discard application‘ link on the overview page. The refund can take up to three weeks to process. Any refunds will go back to the card the money was paid from, or to you if the payment was in cash.
This means that if you aren’t sure if you will go bankrupt ist can make sense to start saving up for the fees just in case.
After you have submitted the bankruptcy application, you can’t withdraw it and ask for a refund. If your bankruptcy application is rejected, which happens to less than 1% of applications, you will receive a refund of £550 – that is the £680 fees less the application costs of £130.
This article is kept updated.