The Official Receiver requires a deposit to be paid at the time the Bankruptcy petition is presented to Court.

His costs for administering a Bankruptcy are fixed at £1,650.00.

Additionally a fee is charged on monies deposited within a Bankruptcy. This is known as the Secretary of State Fee, and was formerly know as advalorem fee. This is based as a percentage of monies deposited.

All monies in a bankruptcy must be deposited in an Insolvency Services Account, held by the Bank of England, therefore the deposit fee cannot be avoided.

A fee of 80p is charged for every cheque raised from an Insolvency Services Account.

Additionally the Trustee in Bankruptcy if other than the Official Receiver, i.e. an Insolvency Practitioner, will also charge for his time spent in administering the Bankruptcy. These costs can vary greatly from one Insolvency Practitioner to another, however the Bankrupt does not get a choice of which Insolvency Practitioner is chosen to administer the Bankruptcy.

If the assets are sufficient to meet all debts in full [[statutory interest]] may also be payable.

The costs of administering a Bankruptcy can be very high as opposed to [[Individual Voluntary Arrangements]] (IVA’s)which are a more cost effective alternative to [[Bankruptcy]].