Life after discharge
You are through the hardest part. Now is the rebuild.
What discharge means
Discharge (typically 12 months from your bankruptcy order) is the moment most of your debts are legally written off and most restrictions lifted. You are no longer bankrupt — though you must still complete any agreed IPA payments (up to 3 years), and your bankruptcy marker stays on your credit file for 6 years.
What's wiped vs. what survives
- Credit cards
- Personal loans
- Overdrafts
- Utility arrears
- Council tax arrears
- Business debts (sole trader)
- Personal guarantees
- CMS (Child Maintenance) arrears
- Court fines & penalties
- Student loans
- Fraud-related debts
Credit rebuilding guide
Check your credit file
Pull your report from Experian, Equifax and TransUnion. Confirm the bankruptcy marker is correct and the discharge is noted.
Get a credit builder card
Apply for a card designed for poor credit (e.g., Capital One, Aqua, Marbles). Expect low limit, high interest — fine if you pay in full.
Set up small regular payments
Use the card for one small monthly purchase and pay it off in full. Builds on-time payment history.
Keep utilisation low
Stay under 30% of your credit limit each statement. Lower utilisation = better score.
Build emergency savings
Save a small buffer to avoid needing credit when something breaks. £500–£1,000 is a strong start.
Wait for the marker to drop
The bankruptcy marker falls off after 6 years from the filing date. You should not need to ask — it is automatic.
Directorship restrictions lifting
You cannot act as a company director during the bankruptcy period. Once discharged, the restriction lifts — but you should still register properly.
- Confirm your discharge has been formally recorded.
- Check Companies House for any directorships you previously resigned or were terminated.
- Re-register as a director via Companies House (AP01 form) — separate from your new role.
- Always disclose your previous bankruptcy if asked in director-related insurance or finance applications.
- Some sectors (financial, charity trustees) have extra post-bankruptcy rules — check first.
6-year credit file timeline
Year 0
Bankruptcy filed
Year 1
Discharged
Year 3
IPA ends
Year 4
Rebuilding
Year 5
Improving
Year 6
Marker drops off
You made it.
Bankruptcy is the end of the old story. Use what's next well.