Hi
Please , Please do not worry, my brother was in a very similiar position to you a few months ago.
He went to seek advice from the courts, who advised him, to do this procedure after April 1st 2004,as the law is changing.
It will only one year instead of the present 3 years, you can have credit to the max value of £250.00, this is only for the year you are in bankrupcy, after the one year is up, you are given a certificate to say you are all clear of Debt, and restart your life.
The only downside is when you first go Bankrupt your bank account is frozen and then closed, but do not worry there are banks that help, they told him there was the halifax, woolwich and barclays who offer basic accounts.
In the future, well after the one year bankrpcy rule, when you apply for morgages etc, you do not have to disclose the fact you were once bankrupt, that is up to you to disclose.
The cost of all this £450.00 to make your self bankrupt.
If you want futher info please PM me
Mike