My objective right now is to try and inform you regarding possible issues you might have with Bankruptcy so that you can stay clear of making mistakes!
When it includes Bankruptcy, there is lots of complication and false information as a result of how challenging it might be, and how emotionally charged individuals are when they are undergoing it. Here at Bankruptcy Experts Port Stephens we certainly want to make certain people know that if you make errors it could be extended from 3 years to 5 (or even 8) years!
Yes, this indicates that you will stay even longer in the ‘Bankruptcy limbo’ so avoid triggering any one of the following aspects– because if you do, then Bankruptcy becomes far more complicated.
The basic factor that a Bankruptcy duration will be stretched is if you act dishonestly or unethically.
MINOR BREACHES – Extend to 5 Years
As I stated, Bankruptcy is complex, so just ensure you act honestly. Before entering into bankruptcy you have to make sure you state every little thing– because if it is found that you made a special payment, or participated in an undervalued transaction this will be a minor breach and will prolong the term. In addition to that, you need to make certain that you stay clear of particular things while you are bankrupt, so please:
- Do not function as a Director of a company.
- Do not leave Australia without the approval of your Trustee
- Do not incur credit more that the prescribed quantity
- Do not fail to show up at a meeting of your lenders
- Do not fail to reveal a beneficial interest or asset
- Do not fail to go to a meeting arranged by your trustee without reasonable explanation.
MAJOR BREACHES – Extend to 8 Years.
So when it relates to Bankruptcy, there are some facets that if you find yourself in violation can effectively find yourself extending the term to 8 years. This is obviously something you will want to steer clear of. So please, while Insolvent:
- Do not fail to give written explanation to the trustee regarding any issues developing from residential property or earnings.
- Do not acquire more credit than the prescribed amount
- Do not leave Australia and fail to come back when asked by the trustee.
- Do not refuse to sign a file after the trustee has asked for you to sign it.
- Do not fail to reveal a beneficial interest in an asset.
- Do not fail to reveal the purpose of any money invested or property sold 5 years prior to personal bankruptcy
And furthermore, if prior to insolvency you did any one of the following:
- Intentionally offered any false or misleading details to your trustee
- Participated in a transaction, or excessive payments into your superannuation fund with the objective to defeat lenders
Bankruptcy and these forms of duration increases in Australia are usually confusing and intricate, and sadly, what I have just detailed is only the tip of the Iceberg. If you need to understand more about Bankruptcy feel free to speak with us here at Bankruptcy Experts Port Stephens on 1300 795 575, or visit our website: www.bankruptcyexpertsportstephens.com.au