Katie Price was officially declared bankrupt during a hearing at the High Court in London today  The 41-year-old former model once boasted a £45million fortune, but has failed to pay back her debts  Katie was supposed to pay back £12,000 each month for four years to her creditors after taking out an individual voluntary agreement (IVA) last year  This formal agreement lets people repay the dept at an affordable rate.  But because the mother-of-five failed to repay the amount, renewed bankruptcy proceedings were brought  So now Katie has been declared bankrupt, what will happen to her businesses and bank accounts?  Once upon a time Katie was a major businesswoman  She has released an array of books and released a duets album with Peter Andre.  Katie also launched a range called KP Equestrian, which sells horse and pony accessories  But now Katie has been declared bankrupt, she will be banned from being director of a limited company, or running a company, without permission from the court  Now the court order has been issued, the former glamour model’s assets will be released and distributed for the benefit of creditors  The Official Receiver will now take control of Katie’s financial affairs and property  Her belongings may be sold on by a trustee, and the funds will go to repay creditors  Katie’s bank accounts will be monitored, and she won’t be able to borrow more than £500 unless she tells the lender about her current financial situation  Someone who has been declared bankrupt cannot hold lasting power of attorney of another person  There are also several positions of power, including charity trustee, registrar and consumer credit licence holder  The restrictions are usually in place until the person is discharged from bankruptcy, which is usually a year after the court order