My goal right now is to try and inform you about likely troubles you could have with Bankruptcy to make sure that you can stay away from making mistakes!
When it includes Bankruptcy, there is a great deal of difficulty and misinformation due to how tricky it can be, and how emotionally charged individuals are whenever they are undergoing it. Here at Bankruptcy Experts Alice Springs we absolutely want to ensure people understand that if you make errors it could be extended from 3 years to 5 (or even 8) years!
Yes, this means that you will remain even longer in the ‘Bankruptcy limbo’ so stay clear of triggering any of the following aspects– because if you do, then Bankruptcy becomes much more tough.
The basic factor that a Bankruptcy term will be extended is if you behave dishonestly or unethically.
MINOR BREACHES – Extend to 5 Years
As I stated, Bankruptcy is complex, so just make sure you behave honestly. Before entering into bankruptcy you need to ensure that you declare everything– simply because if it is identified that you made a preferential payment, or entered into an underestimated transaction this will be a minor breach and will increase the term. In addition to that, you have to ensure that you stay clear of particular things while you are bankrupt, 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 quantity
- Do not fail to show up at a meeting of your lenders
- Do not fail to disclose a beneficial interest or property
- Do not fail to go to an interview organized by your trustee without 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 extending the term to 8 years. This is certainly something you will wish to steer clear of. So please, while Bankrupt:
- Do not fail to give written explanation to the trustee regarding any issues occurring from residential property or income.
- Do not incur more credit than the prescribed amount
- Do not depart Australia and fail to return when asked 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 reveal the reason of any money spent or property sold 5 years before insolvency
And again, if prior to personal bankruptcy you did any one of the following:
- Deliberately offered any false or misleading details to your trustee
- Participated in a transaction, or extreme payments into your superannuation fund with the intention to overpower lenders
Bankruptcy and these sorts of term extensions in Australia are typically challenging and complicated, and sadly, what I have just detailed is just the tip of the Iceberg. If you need to know more about Bankruptcy feel free to talk to us here at Bankruptcy Experts Alice Springs on 1300 795 575, or go to our website: www.bankruptcyexpertsalicesprings.com.au