My objective right now is to try and warn you regarding possible troubles you might have with Bankruptcy so that you can avoid making mistakes!
When it involves Bankruptcy, there is a great deal of complication and misinformation as a result of how tricky it might be, and how emotionally charged people are whenever they are experiencing it. Here at Bankruptcy Experts Mildura we certainly want to make sure individuals understand that if you make mistakes it can be extended from 3 years to 5 (or even 8) years!
Yes, this means that you will continue being even further in the ‘Bankruptcy limbo’ so stay clear of setting off any of the following aspects– because if you do, then Bankruptcy ends up being a lot more tough.
The standard factor that a Bankruptcy term will be stretched 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 insolvency you need to ensure you state every little thing – because if it is discovered that you made a preferential payment, or participated in an undervalued transaction this will be a minor breach and will increase the term. On top of that, you should ensure that you avoid certain things while you are insolvent, so please:
- Do not function as a Director of a company.
- Do not depart Australia without the approval of your Trustee
- Do not incur credit more that the prescribed quantity
- Do not fail to show up at a meeting of your lenders
- Do not fail to reveal a beneficial interest or asset
- Do not fail to go to a meeting organized by your trustee without having reasonable explanation.
MAJOR BREACHES – Extend to 8 Years.
So when it relates to Bankruptcy, there are some areas that if you are in violation can effectively end up increasing 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 regarding any issues occurring from property or earnings.
- Do not acquire 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 purpose of any money spent or property sold 5 years prior to personal bankruptcy
And furthermore, if before bankruptcy you did any of the following:
- Intentionally offered any false or misleading information to your trustee
- Entered into a transaction, or extreme payments into your superannuation fund with the intention to overpower lenders
Bankruptcy and these forms of term extensions in Australia are always complex and tricky, and unfortunately, what I have just listed is only the tip of the Iceberg. If you need to understand more about Bankruptcy do not hesitate to consult with us here at Bankruptcy Experts Mildura on 1300 795 575, or visit our website: www.bankruptcyexpertsmildura.com.au