Early discharge from bankruptcy?

[Brendan Burgess]

I read this on the Citizens Information website

Discharge from bankruptcy by the High Court

If your assets have been sold and all your costs, fees, expenses and preferential debts (such as certain tax debts) have been paid, it is possible for you to be discharged from bankruptcy even if you have not paid all of your debts.


You can be released from bankruptcy in any of the following ways:

• If all of your unsecured creditors give their consent
• After agreeing and paying a settlement with at least 60% of your unsecured creditors (called an Offer of Composition)
• After payment of 50 cent in the euro when all your property has been sold

How does this work in practice?

If I have liabilities of €2m and assets of €1.3m, why don't I go bankrupt, and then pay all the creditors 50 cent in the euro.

Do I get out automatically at that stage?