WHEN ALL ELSE HAS FAILED, BANKRUPTCY CAN OFFER YOU A CHANCE TO START AGAIN.
If you are facing a situation where there's no money left to live on once all the bills are paid, Bankruptcy provides an opportunity to start rebuilding.
Some issues you should be aware of -
Before deciding on this course of action, you should refer to the Government website Australian Financial Security Authority
. On this site you will see details of all the outcomes of Bankruptcy, which include:
- You will no longer be able to act as a Company Director
- Overseas travel may be affected and you must apply with good reason to leave the country
- If you own a home or have a share in property, speak with one of our state managers to discuss strategies that could help you keep the family home
- You will still be able to run a business as a Sole Trader or partnership
- You can keep a motor vehicle up to the value of $7,900 (as of 20th March 2019)
- You can keep tools of trade up to the value of $3,750 (as of 20th March 2019)
- You can keep everyday household items
- Your superannuation is generally protected
- While existing debt repayments stop, you must pay 50% of all income over a pre-set limit (determined by number of dependents you may have). Income includes: Tax Returns, Termination Payments, Inheritances and Windfalls
- You will need to complete income information forms every year
- You must supply all paperwork to the administrator who is appointed for you - on an annual basis
- Not all debt will be removed. Some of these include Traffic Fines, Tolls, Parking Tickets, HECS debts and Child Maintenance and any debts created after your Bankruptcy.
- If you own a home or have a share in property, this could be at risk of being sold. Speak to one of our Business Partners to discuss strategies that could help you keep the family home.
+ What happens if I do nothing about my unpaid debts?
+ Can my application to voluntarily become bankrupt be rejected?
+ Is there a minimum amount I need to owe before I can go bankrupt?
+ A creditor has made me bankrupt - what happens now?
+ What are the consequences of bankruptcy?
+ What is the role of a trustee?