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Free, strictly confidential. Singapore insolvency & Debt Repayment Scheme advisory. No judgment, ever.
WeCare Consultancy Pte Ltd

Statutory Insolvency

Navigating Personal Bankruptcy

What changes when debts exceed S$150,000 — the Private Trustee in Bankruptcy regime, the restrictions imposed, and the legal protections you gain in return.

Singapore's Parliament House with the Central Business District behind it.

When debts exceed S$150,000, or when the Debt Repayment Scheme is not viable, personal bankruptcy becomes the legal mechanism to resolve insurmountable financial distress. While heavily stigmatised, bankruptcy is fundamentally a legal shield designed to protect you from endless creditor harassment and to provide a structured framework for rehabilitation.

The role of the Private Trustee in Bankruptcy (PTIB)

A crucial recent change in Singapore’s insolvency landscape (effective late 2023) means the Official Assignee (OA) now primarily handles cases of public interest. For most individuals filing for self-bankruptcy, you must now appoint a licensed Private Trustee in Bankruptcy (PTIB).

Before filing your bankruptcy application with the High Court, you must obtain the prior consent of a registered PTIB to administer your estate. The PTIB is responsible for reviewing your assets, establishing your Target Contribution (the amount you must pay monthly), and eventually handling your discharge.

Restrictions imposed

  • Cannot travel overseas without PTIB approval.
  • Cannot borrow more than S$1,000 without disclosing bankrupt status.
  • Cannot act as a company director.
  • Cannot manage a business without permission.

Protections gained

  • Immediate halt to all creditor lawsuits and legal demands.
  • Cessation of compounding interest and late fees.
  • Clear, defined timeline for discharge (typically 3 to 7 years).
  • Protection of necessary household furniture and personal effects.

How WeCare helps: We demystify the entire process. We analyse whether bankruptcy is your optimal route, assist in compiling the substantial documentation required, and crucially, we liaise with reputable Private Trustees on your behalf to secure the necessary consent before High Court lodgment.