My mission right now is to try and warn you regarding likely problems you could have with Bankruptcy to make sure that you can stay clear of making mistakes!
When it involves Bankruptcy, there is a great deal of complication and misinformation due to how challenging it can be, and how emotionally charged persons are when they are going through it. Here at Bankruptcy Experts Dandenong we definitely intend to make sure individuals understand that if you make mistakes it could be extended from 3 years to 5 (or even 8) years!
Indeed, this indicates that you will continue being even further in the ‘Bankruptcy limbo’ so avoid setting off any one of the following areas– because if you do, then Bankruptcy becomes far more complicated.
The basic reason 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 make sure you behave honestly. Before entering into bankruptcy you must ensure that you declare everything– because if it is found that you made a preferential payment, or participated in an undervalued financial transaction this will be a minor breach and will prolong the term. On top of that, you should ensure that you stay clear of particular aspects while you are insolvent, so please:
– Do not serve as a Director of a company.
– Do not depart Australia without the permission of your Trustee
– Do not acquire 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 a meeting arranged by your trustee without reasonable explanation.
MAJOR BREACHES– Extend to 8 Years.
So when it relates to Bankruptcy, there are some areas that if you find yourself in violation can effectively find yourself extending the term to 8 years. This is undoubtedly something you will wish to steer clear of. So please, while Bankrupt:
– Do not fail to give written explanation to the trustee concerning any issues arising from residential property or income.
– Do not acquire 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 disclose the purpose of any money spent or property sold 5 years before insolvency
And furthermore, if before insolvency you did any of the following:
– Deliberately offered any false or misleading information to your trustee
– Entered into a transaction, or excessive payments into your superannuation fund with the intent to overpower creditors
Bankruptcy and these sorts of duration 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 don’t hesitate to seek advice from us here at Bankruptcy Experts Dandenong on 1300 795 575, or visit our website: www.bankruptcyexpertsdandenong.com.au