In scenes filmed for her reality TV show My Crazy Life, Katie seemed calm at the idea of going bankrupt.

“I will be out of bankruptcy in a year. It’s not that bad,” she stated in the Christmas special.

“I’ve got nothing to be ashamed of anymore. Loads of people go through it like me.

“It’s just a matter of going through the motions. This is what has to be.”

Mirror Online has contacted Katie’s rep for comment.