Filing For Bankruptcy Problems! – Exactly what will extend your Bankruptcy Term?

When it concerns Filing For Bankruptcy, there certainly is plenty of confusion because it is an area that you truly do need to get some solid advice in because otherwise you may end up in an even more severe predicament. That I why here at Bankruptcy Experts Sydney we certainly want to make certain people understand that there are specific things that can effectively make your Bankruptcy term be prolonged from 3 years to 5 (or even 8) years!

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Yes, this means that you will stay even longer in the ‘Bankruptcy limbo’ so heed our advice and avoid setting off any of the following areas– because if you do, then the entire area of Filing For Bankruptcy becomes even more complex and the Trustee can actually intermediate and get your term prolonged as opposed to letting it automatically discharge.

So how can the term be extended to 5 years?

Certainly there are a variety of ways in Sydney, and these types of are considered the ‘minor breaches’ since they only extend the term to the 5 year mark. So please, while Bankrupt:

  •  Do not continue to act as a Director of a company.
  •  Do not depart Australia without the permission of your Trustee
  •  Do not acquire credit more that the prescribed amount
  •  Do not fail to show up at a meeting of your creditors
  •  Do not fail to reveal a beneficial interest or asset
  •  Do not fail to show up at an interview arranged by your trustee without having justifiable explanation.

And also, if certain additional aspects are discovered, this can also raise the term to 5 years, so if it is discovered that before Bankruptcy, you:

  •  Made a preferential payment
  •  Entered into an undervalued transaction.

So how can the term be extended to 8 years?

So when it comes to Filing For Bankruptcy, there are some areas that if you are in violation can really end up extending the term to 8 years. So please, while Bankrupt:

  •  Do not fail to supply written explanation to the trustee regarding any issues developing from property or income.
  •  Do not incur more credit than the prescribed level
  •  Do not leave Australia and fail to come back when asked by the trustee.
  •  Do not refuse to sign a document after the trustee has requested you to sign it.
  •  Do not fail to reveal a beneficial interest in an asset.
  •  Do not fail to clarify the purpose of any money spent or property sold 5 years prior to bankruptcy

And again, if prior to bankruptcy you did any of the following:

  •  Deliberately provided any false or misleading information to your trustee
  •  Entered into a transaction, or excessive payments into your superannuation fund with the intention to defeat creditors

Filing For Bankruptcy and these types of term extensions in Australia are complex and challenging, these lists of complications that you may deal with are just the tip of the iceberg as far as your possibilities in Sydney are concerned. If you have to know more about Filing For Bankruptcy feel free to call us here at Bankruptcy Experts Sydney on 1300 795 575, or visit our website: www.bankruptcyexpertsSydney.com.au