Re: SoleTrader business failing: facing a judgement from a creditor for 75k in high c
Like most draconian remedies, some "seem" worse than others. So, I'd say that creditors would prefer to try and force the debtor to resolve their own issues e.g. debtor sells own property and pays debt rather than the creditor incurring the expense of forcing the debtors hand. Bankruptcy is not a popular (?) choice of enforcement - judgment mortgage is very much simpler. Also, Bankruptcy has a devastating effect on a Bankrupt ( cannot deal with their own assets - everything must go through the Official Assignee) - judgment mortgage /eviction is horrible but, at least, hopefully, at the end the debtor still has the capacity to start up again.
Finally, a lot of people bury their head when it comes to serious debt - it is something that creeps up on them and then becomes to big too handle - so they don't. This leads to the inevitable stronger enforcement methods by the creditors.
I think everyone knows that if in debt, get help and advice on how best to deal with it. Then deal with it. Not everyone does deal with it.
mf