What Debts are erased if I go Bankrupt?
The basic answer is that when it involves Filing For Bankruptcy most debts are wiped, and I have also included a table below for you to look at.
But, put simply some of the exceptions are Centrelink Debts, Child Support, Court fines (like speeding fines) alongside any debts arising from uninsured Motor-vehicle claims and educational debts like HECS or FEE-HELP. These debts are not cleared away when you file for bankruptcy.
What about Secured Debts?
A secured debt is a vehicle loan or a home loan; it is a debt that has some definite security attached to it. So for instance if you buy a new car for $40,000 dollars the security for this car is the actual car itself.
So, can my secured debts be erased if I file for bankruptcy?
Yes. If you have a car loan for $40,000 you can have that debt eliminated if you simply hand back the car. So the lesson is that you cannot have your cake and eat it too (so to speak), so yes all of your secured debts could be wiped but the asset needs to be sold or returned. This is just one part that, when it comes to Filing For Bankruptcy, it is vital to get professional guidance – like that provided at Bankruptcy Experts Coffs Harbour.
What about my Tax Debts with the ATO can they be eliminated If I go bankrupt?
Yes they can, both business and personal debts owing to the ATO can be eliminated with bankruptcy. If you have a business with any form of debts receive some advice because it is not always so simple. Feel free to call us here over at Bankruptcy Experts Coffs Harbour if you have any questions on 1300 795 575. Or feel free to head to our website: www.bankruptcyexpertsCoffsHarbour.com.au
What about my business or Company debts?
In some cases when it comes to Filing For Bankruptcy we can aid you with your business debts, call us about this first. Remember bankruptcy applies to an individual not companies, trusts or businesses. Typically you may have to liquidate a company to deal with the debt this way. When it comes to Filing For Bankruptcy, it can be a complicated area, so remember there are implications for a business owner such as insolvent trading. At Bankruptcy Experts Coffs Harbour we specialise in business and personal debts so call us here at Bankruptcy Experts Coffs Harbour if you have any questions about Filing For Bankruptcy on 1300 795 575. Or feel free to visit our website: www.bankruptcyexpertsCoffsHarbour.com.au