My mission right now is to try and alert you regarding possible issues you could have with Bankruptcy to make sure that you can stay away from making errors!
When it involves Bankruptcy, there is lots of confusion and misinformation because of how complicated it may be, and how emotionally charged persons are whenever they are going through it. Here at Bankruptcy Experts Northern Rovers we absolutely want to make certain people know that if you make errors it may be stretched from 3 years to 5 (or even 8) years!
Yes, this suggests that you will stay even longer in the ‘Bankruptcy limbo’ so avoid triggering any one of the following facets– because if you do, then Bankruptcy becomes a lot more tough.
The general reason that a Bankruptcy duration will be extended is if you act dishonestly or unethically.
MINOR BREACHES – Extend to 5 Years
As I mentioned, Bankruptcy is complicated, so just ensure you act truthfully. Before entering into insolvency you have to make sure you state every little thing– because if it is found that you made a preferential payment, or entered into an undervalued financial transaction this will be a minor breach and will lengthen the term. In addition to that, you should make sure that you stay clear of particular aspects while you are bankrupt, so please:
- Do not act as a Director of a company.
- Do not leave Australia without the permission of your Trustee
- Do not incur credit more that the prescribed quantity
- 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 go to a meeting arranged by your trustee without having justifiable explanation.
MAJOR BREACHES – Extend to 8 Years
So when it relates to Bankruptcy, there are some facets that if you are in violation can effectively find yourself prolonging the term to 8 years. This is undoubtedly something you will wish to avoid. So please, while Bankrupt:
- Do not fail to give written explanation to the trustee concerning any issues occurring from property or earnings.
- Do not incur 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 asked for you to sign it.
- Do not fail to reveal a beneficial interest in an asset.
- Do not fail to disclose the reason of any money invested or property sold 5 years before bankruptcy
And furthermore, if prior to bankruptcy you did any of the following:
- Deliberately provided any false or misleading details to your trustee
- Entered into a transaction, or extreme payments into your superannuation fund with the objective to defeat lenders
Bankruptcy and these kinds of duration extensions in Australia are typically difficult and intricate, and sadly, what I have just noted is just the tip of the Iceberg. If you need to understand more about Bankruptcy feel free to speak with us here at Bankruptcy Experts Northern Rovers on 1300 795 575, or go to our website: Bankruptcy Northern Rivers