Bankruptcy in Sydney – What Debts are removed by Bankruptcy?
So how much will actually be cleared away? What financial debts will I continue to be left with? Is Bankruptcy actually going to aid me get a fresh start?
When it concerns Bankruptcy in Sydney I frequently have individuals either worried that their financial obligations won’t be eliminated, or will have no idea that bankruptcy doesn’t actually cover every single thing. So before you get too caught up with Bankruptcy please make sure that the kind of personal debt you possess is really one that Bankruptcy will wipe clean!
As a whole, when it concerns Bankruptcy, most unpaid debts are removed, but I have created a handy table to help you out:
So as you can observe, some of the exceptions are Centrelink Debts, Child Support, Court fines (like speeding penalties) and any financial debts occurring from uninsured Motor-vehicle claims and educational financial debts such as HECS or FEE-HELP. These kinds of financial debts are not cleared away when you file for bankruptcy.
But what happens with Bankruptcy and Secured Debts?26
A secured debt is unpaid debt that has some sort of security attached to the loan– like a car or house mortgage where the asset is the security– the difference with these kinds of liabilities is that when you eliminate them you will lose the security.
So if you have a $30,000 car loan, you can wipe the debt through bankruptcy by simply offering the car back. This is just one aspect that, when it comes to Bankruptcy, it is necessary to get experienced help – like that offered at Bankruptcy Experts Sydney since it just isn’t always as straightforward, but you should be practical and consider that you can not always retain the possession. Do not hesitate to call us at Bankruptcy Experts Sydney if you have any type of questions on 1300 795 575. Or feel free to go to our website: www.bankruptcyexpertssydney.com.au
What about my business or Company financial obligations?
Sometimes when it features Bankruptcy we can aid you with your business liabilities, call us concerning this first. Remember bankruptcy applies to an individual not companies, trusts or businesses. Normally you may need to liquidate a business to take care of the financial debt this way. When it concerns Bankruptcy, it may be a complex area, so always remember there are implications for a local business owner such as insolvent trading.
So what about Tax Debts?
Both business and personal debts owing to the ATO might be eliminated with insolvency. If you have a business with any kind of debt get some guidance because it is not always so easy when it involves Bankruptcy because every debt is going to be varied which will affect the degree that it can be cleared, and the effects it will have for Bankruptcy.
At Bankruptcy Experts Sydney we specialise in business and personal liabilities and can better discuss the exemptions to bankruptcy and what this will mean for you and your financial debts. So call Bankruptcy Experts Sydney if you have any concerns regarding Bankruptcy on 1300 795 575. Or don’t hesitate to go to our website: www.bankruptcyexpertssydney.com.au