My goal right now is to try and warn you about likely problems you may have with Bankruptcy so that you can stay away from making errors!
When it involves Bankruptcy, there is lots of confusion and misinformation as a result of how difficult it can be, and how emotionally charged people are when they are experiencing it. Here at Bankruptcy Experts Coffs Harbour we absolutely wish to make certain individuals know that if you make errors it can be stretched from 3 years to 5 (or even 8) years!
Yes, this means that you will remain even further in the ‘Bankruptcy limbo’ so avoid setting off any of the following areas– because if you do, then Bankruptcy becomes far more challenging.
The general factor that a Bankruptcy term will be prolonged is if you act dishonestly or unethically.
MINOR BREACHES– Extend to 5 Years
As I stated, Bankruptcy is complicated, so just ensure you behave truthfully. Before entering into bankruptcy you need to ensure you state everything– because if it is found that you made a preferential payment, or entered into an underestimated transaction this will be a minor breach and will stretch the term. On top of that, you should make certain that you stay clear of certain aspects while you are bankrupt, so please:
– Do not serve as a Director of a company.
– Do not depart Australia without the permission of your Trustee
– Do not incur credit more that the prescribed amount
– 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 reasonable 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 end up prolonging the term to 8 years. This is undoubtedly something you will want to avoid. So please, while Insolvent:
– Do not fail to give written explanation to the trustee concerning any issues arising from residential property or income.
– Do not incur more credit than the prescribed amount
– Do not depart 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 reveal a beneficial interest in an asset.
– Do not fail to reveal the purpose of any money invested or property sold 5 years prior to insolvency
And furthermore, if prior to personal bankruptcy you did any one of the following:
– Deliberately offered any false or misleading details to your trustee
– Entered into a transaction, or excessive payments into your superannuation fund with the intention to defeat creditors
Bankruptcy and these types of duration extensions in Australia are always perplexing and intricate, and unfortunately, what I have just noted is just the tip of the Iceberg. If you need to understand more about Bankruptcy don’t hesitate to talk to us here at Bankruptcy Experts Coffs Harbour on 1300 795 575, or visit our website: www.bankruptcyexpertscoffsharbour.com.au