In £5 Million Debt Duchess of York Battling to Avoid Bankruptcy

It definitely looks grim for Sarah Ferguson, the Duchess of York who is said to be trying everything in her power to try to avoid bankruptcy after she fallen into more than £5 million in debt. Where she stands now, Ferguson’s debt are piling up to the tune of thousands of pounds in interest each week due to business deals that have not shown her a profit. It appears that due to this extreme debt, the Duchess is unable even to repair her own vehicle which now sits in her garage and is unusable. Like so many in the United Kingdom today, Ferguson is battling extreme debt levels – but it should be noted that her Bentley auto was a gift from a friend.

A senior adviser from Buckingham Palace has advised the Duchess to file for voluntary bankruptcy, but if she does this it will be quite the public event since this would make her the first older person in the royal family to be forced to undergo a bankruptcy. So far, Ferguson has been able to bring those debts from the peak of £5 million down to a mere £2 million and part of this is due to Prince Andrew who helped her, his ex wife, out with more than £1.5 million so that many of her personal debts could be cleared – an unlikely scenario for the average citizen in the UK today who faces a similar financial fate.

The Queen herself has expressed serious concern over the situation, having been said in the press to have spoken with the Prime Minister about the situation. Most of Ferguson’s debts are in the United States where her media management company, Hartmoor, was established, only to be shut down in 2009 after wracking up well over half £1 million due to the fact that she ended her £1.25 million contract with the US based company Weight Watchers. Hartmoor was intended to handle all of the Duchess’ media, licensing and publishing affairs.

Then, earlier in 2010, Ferguson faced a law suit in which she was sued by a law firm for around £200,000 in fees that they claim she has not paid. Some have come forward to the media to state that Ferguson considers herself to be a victim who was preyed on by lawyers who charged her exorbitant fees for what amounted to only a few hours worth of work.

The debts have gotten so severe for Ferguson that a car hire firm she patronized took both her Vauxhall and Ford cars because she owed too much money. Word even has it that Prince Phillip has encouraged Ferguson’s former husband to cut off ties with the Duchess once and for all, but the family drama rose over the 2 daughters of the former couple – now ages 20 and 22 – who would end up in trouble due to the bankruptcy.

Will the Duchess of York end up filing for bankruptcy like so many in the UK have needed to do to get a fresh start? Only time will tell.