How do I qualify for MAP bankruptcy?
Minimal Asset Process (MAP) bankruptcy is only for those with very low incomes and who don’t own many assets. The criteria for being accepted for a MAP are quite strict so you need to make sure you qualify before making an application.
To get MAP, you must:
- be a Scottish resident,
- not own any property,
- have assets worth no more than £2,000,
- have no single asset worth over £1,000 (you can have a car separate from this but it must be worth less than £3,000),
- owe at least £1,500 in unsecured debts but less than £17,000, and
- have an official certificate of sequestration – you can get this from an Insolvency Practitioner or approved Money Adviser.
You also must be on a ‘low income’ to qualify for MAP. This either means your income is entirely made up of benefits when you apply, or it means you have nothing left over to pay your debts after you’ve covered all of your bills.
If you’ve been through the sequestration process in Scotland or the bankruptcy process anywhere else during the last five years, you won’t qualify for MAP. And if you’ve already been through MAP within the last 10 years, you can’t apply again.
What debts can I include in MAP?
You can’t include all debts in MAP. It’s only suitable for unsecured debts – so that means no mortgages or car finance loans that are secured against the vehicle.
As well as secured debts, you also can’t include student loans, court fines, or debts incurred through fraud (this includes benefit overpayments).
Some examples of debts you can include in MAP are:
- credit card and store card debts,
- personal loans,
- catalogue debts,
- overdrafts, and
- gas or electricity arrears from your previous supplier.
If you still don’t know if you qualify for MAP bankruptcy, you can give us a call on 0800 048 1764 to chat to one of our expert debt advisors. You can also request a call back at a time that suits you.
MAP can help you to get back on your feet but, like any debt solution, it doesn’t come without its drawbacks. Check out the next section ‘Is MAP bankruptcy right for me?’ to see what these are and if they apply to you.Continue to the next section Is MAP bankruptcy right for me?