Bankruptcy Problems? Did you know that your Bankruptcy term may be prolonged?
My objective right now is to try and alert you regarding likely complications you may have with Bankruptcy so that you can stay clear of making errors!
When it includes Bankruptcy, there is a great deal of difficulty and misinformation as a result of how challenging it could be, and how emotionally charged persons are whenever they are undergoing it. Here at Bankruptcy Experts Sydney we certainly intend to make certain individuals know that if you make mistakes it could be stretched from 3 years to 5 (or even 8) years!
Yes, this indicates that you will continue being even further in the ‘Bankruptcy limbo’ so avoid setting off any one of the following facets– because if you do, then Bankruptcy ends up being much more complicated.
The basic factor that a Bankruptcy duration will be prolonged is if you behave dishonestly or unethically.
MINOR BREACHES – Extend to 5 Years
As I mentioned, Bankruptcy is complicated, so just make sure you act genuinely. Before entering into bankruptcy you have to make sure you declare every little thing– because if it is discovered that you made a special payment, or entered into an undervalued transaction this will be a minor breach and will increase the term. In addition to that, you need to make sure that you stay away from particular aspects while you are insolvent, so please:
- Do not act as a Director of a company.
- Do not depart Australia without the consent of your Trustee
- Do not acquire credit more that the prescribed amount
- 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 aspects that if you find yourself in violation can effectively end up prolonging the term to 8 years. This is certainly something you will want to steer clear of. So please, while Bankrupt:
- Do not fail to give written explanation to the trustee concerning any issues developing from residential property or income.
- Do not acquire more credit than the prescribed amount
- Do not depart Australia and fail to come back when requested by the trustee.
- Do not refuse to sign a file after the trustee has requested you to sign it.
- Do not fail to disclose a beneficial interest in an asset.
- Do not fail to disclose the purpose of any money spent or property sold 5 years prior to bankruptcy
And furthermore, if prior to bankruptcy you did any one of the following:
- Intentionally provided any false or misleading information to your trustee
- Participated in a transaction, or excessive payments into your superannuation fund with the intention to overpower creditors
Bankruptcy and these forms of term extensions in Australia are always difficult and tricky, and sadly, what I have just listed is just the tip of the Iceberg. If you need to know more about Bankruptcy don’t hesitate to speak with us here at Bankruptcy Experts Sydney on 1300 795 575, or go to our website: www.bankruptcyexpertssydney.com.au