My goal right now is to try and alert you regarding potential troubles you might have with Bankruptcy so that you can stay clear of making errors!
When it includes Bankruptcy, there is lots of difficulty and misinformation due to how tricky it could be, and how emotionally charged persons are whenever they are experiencing it. Here at Bankruptcy Experts Adelaide we absolutely intend to ensure people recognize that if you make errors it can be extended from 3 years to 5 (or even 8) years!
Indeed, this means that you will remain even longer in the ‘Bankruptcy limbo’ so avoid triggering any of the following areas– because if you do, then Bankruptcy becomes much more difficult.
The standard factor that a Bankruptcy term will be prolonged is if you behave dishonestly or unethically.
MINOR BREACHES – Extend to 5 Years
As I stated, Bankruptcy is complex, so just ensure you behave genuinely. Before entering into bankruptcy you must ensure you declare every little thing – simply 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 extend the term. On top of that, you have to make sure that you avoid particular things while you are insolvent, so please:
- Do not work as a Director of a company.
- Do not depart Australia without the approval 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 property
- Do not fail to go to a meeting arranged by your trustee without having 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 obviously something you will wish to avoid. So please, while Insolvent:
- Do not fail to give written explanation to the trustee concerning any issues arising from residential property or earnings.
- Do not acquire more credit than the prescribed amount
- Do not leave Australia and fail to return 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 reason of any money spent or property sold 5 years prior to personal bankruptcy
And again, if prior to bankruptcy you did any of the following:
- Deliberately offered any false or misleading information to your trustee
- Participated in a transaction, or excessive payments into your superannuation fund with the intent to overpower lenders
Bankruptcy and these forms of duration increases in Australia are usually complex and tricky, and sadly, what I have just listed is just the tip of the Iceberg. If you need to understand more about Bankruptcy feel free to talk to us here at Bankruptcy Experts Adelaide on 1300 795 575, or visit our website: www.bankruptcyexpertsadelaide.com.au