Frequently Asked
Questions
21. What If Someone Is Bankrupting Me; Is There Anything I Should Do?
What If Someone Is Bankrupting Me; Is There Anything I Should Do?
If someone is trying to bankrupt you, the first thing you should do is get good advice. Although bankruptcy is the same whether it is voluntarily or enforced, the process is considerably different. If you are forced into bankruptcy it is a very stressful procedure that generally involves the court system. You should try as hard as possible to avoid this scenario.
To find out how Bankruptcy Experts can help you through this, call 1300 795 575
22. What If My Company Has Received a Demand or Wind-Up Notice; Can I Still Go Bankrupt?
What If My Company Has Received a Demand or Wind-Up Notice; Can I Still Go Bankrupt?
Yes. It is possible to still go bankrupt after receiving a demand or wind up notice. It is however, a challenging process and we suggest you get some expert advice before declaring bankruptcy. If it is handled incorrectly, it could be a disastrous experience. For a free consultation call Bankruptcy Experts on 1300 795 575.
23. Do I Need to Contact My Creditors?
Do I Need to Contact My Creditors?
No, you will not need to contact your creditors. This can be a very emotional and stressful experience, so at Bankruptcy Experts we do that for you. Actually, we serve as a buffer or a midway point between you and your creditors, so you are not required to notify them of your bankruptcy, we take care of all that for you. To find out more about our bankruptcy services call us on 1300 795 575.
24. How Long Does Bankruptcy Last?
How Long Does Bankruptcy Last?
In Australia bankruptcy will usually last three years. However, there are situations, if you do not remain compliant during this period, that the bankruptcy can be extended. To find out how Bankruptcy Experts can assist you to stay compliant throughout your bankruptcy phone us on 1300 795 575.
25. How Long Does It Take to Declare Bankruptcy?
How Long Does It Take to Declare Bankruptcy?
It usually takes about two weeks to submit the paperwork and be declared bankrupt. Bankruptcy Experts can assist you throughout the application process and then support you right through until the conclusion of your bankruptcy. For a free initial consultation call us on 1300 795 575.
26. What If Someone Else Signed for a Loan (Joint loan or guarantor) and I Go Bankrupt; Will They Still Be Liable for the Debt?
What If Someone Else Signed for a Loan (Joint loan or guarantor) and I Go Bankrupt; Will They Still Be Liable for the Debt?
If someone goes bankrupt with a joint loan or with a guarantor on a loan, the loan lender is within their rights to pursue the other person on the loan documents for payment. Although the bankrupt is absolved of the debt the sum total of the outstanding money owing on the loan now becomes the responsibility of the co signatory or guarantor. For more advice on this call Bankruptcy Experts on 1300 795 575.
27. What Happens to a Debt I Failed to Remember at the Time of Becoming Bankrupt?
What Happens to a Debt I Failed to Remember at the Time of Becoming Bankrupt?
Don’t panic! If you overlooked a debt and remember it later, just call your trustee with the name of the creditor, address, date the debt was incurred, amount of debt, and any account or reference number/s supplied by the lender. Your trustee will add the creditor to your bankruptcy and send a notification to the creditor. This debt should then be cleared as long as it was incurred prior to your bankruptcy. Bankruptcy Experts can help with more information on bankruptcy procedures so contact us on 1300 795 575.
28. Do I Have to go to Court If I Go Bankrupt?
Do I Have to go to Court If I Go Bankrupt?
No, in Australia you should not have to go to court if you go bankrupt. The bankruptcy process is there to protect you from action from your creditors. There can be some exceptions to this so call Bankruptcy Experts to make sure on 1300 795 575.
29. What If I Have Gambled a Bit of My Income and I Go Bankrupt; Will I Get in Trouble?
What If I Have Gambled a Bit of My Income and I Go Bankrupt; Will I Get in Trouble?
If you are a gambler, and you lose some of your income, this is ordinarily not a problem, so don’t worry. What the trustee does not like is a gambling inconsistency. For example, if you have never gambled in your life and all of a sudden you lose $50,000 on the horses, then you might have some explaining to do. If you are unsure give us a call on 1300 795 575.
30. Can My Bankruptcy Be Done Over the Phone?
Can My Bankruptcy Be Done Over the Phone?
No matter whether you live in the city, or regional outback Australia, your bankruptcy can be done over the phone. Any documentation that is required can be handled via post or email. To get the process started pick up your phone and call Bankruptcy Experts on 1300 795 575.
31. What If I’m Living in Another Country; Can I Still File for Bankruptcy?
What If I’m Living in Another Country; Can I Still File for Bankruptcy?
It is possible to be declared bankrupt in Australia even if you are living overseas. There are, however, some criteria that must be met. Generally, you will need to have a property or business in Australia to apply for bankruptcy here. This can be quite a difficult process so call Bankruptcy Experts on 1300 795 575 to get more information.
32. Can I Include My Overseas Debts in My Bankruptcy?
Can I Include My Overseas Debts in My Bankruptcy?
If you have an overseas debt but are now resident in Australia, when you file for bankruptcy the overseas debt is simply listed on your bankruptcy paperwork. In most cases, the creditor overseas will wipe out the debt. It is possible and legal for them, however, to reject your application, and if you return to that country you may be subject to their bankruptcy laws. To find out more contact Bankruptcy Experts on 1300 795 575.
33. How Will the Trustee Know What Assets I Have?
How Will the Trustee Know What Assets I Have?
There are a few ways the trustee can learn what assets you have but the most effective and simplest way is for you to let them know when the bankruptcy paperwork is done. There is also a government website which has all major assets listed. Bankruptcy Experts can help you with advice about your assets and bankruptcy, so contact us on 1300 795 575.
34. Can I Keep an Inheritance If I File for Bankruptcy?
Can I Keep an Inheritance If I File for Bankruptcy?
It is not usually possible to keep an inheritance when you are bankrupt. Inheritance is a complicated part of bankruptcy but generally any inheritance you receive will be put against your debt. This is an area where you will want the right guidance, so if you need more information about inheritances call Bankruptcy Experts on 1300 795 575.
35. Will I lose my Pension or Workers Compensation payments if I go bankrupt?
Will I lose my Pension or Workers Compensation payments if I go bankrupt?
If you receive Centrelink payments, Workers Compensation or a pension you will not lose these by going bankrupt. The income thresholds for bankruptcy are the same for everyone so no matter how you get your money you have to earn about $50,000 each year before your income will be affected. To learn more ring us on 1300 795 575.
36. Will I Be Able to Keep My Tax Returns Once I’m Bankrupt?
Will I Be Able to Keep My Tax Returns Once I’m Bankrupt?
If you owe the ATO tax money prior to going bankrupt, you will not be able to keep any tax returns during the three years of bankruptcy. This money will go back to paying off your ATO debt. Another reason you may not be able to keep your tax return is if your net income is over the allowable bankruptcy threshold, this tax return money is then treated as additional income and forfeit towards your debts. In most other cases you should be able to keep your return. For more clarity on this tricky subject call Bankruptcy Experts on 1300 795 575.
37. What About Child Support?
What About Child Support?
In Australia, if you have a child support debt bankruptcy will not wipe it out, you will still be required to pay it. Throughout your bankruptcy you will be required to continue paying child support with this money being deducted from your gross income. Your net income will therefore become what you have left after you pay your tax and child support. It is important to remember that if you are receiving child support while bankrupt this will be added to your total income. For clarity on where you stand with Bankruptcy and Child Support call Bankruptcy Experts on 1300 795 757.
38. Can I Buy Shares and Make Investments While I’m Bankrupt?
Can I Buy Shares and Make Investments While I’m Bankrupt?
You can buy shares and make investments; however, it is quite an involved process and not recommended as a good idea. Owning assets while you are bankrupt can be problematic. Purchasing shares while you are declaring bankruptcy is permitted, but the trustee will take them off you once you are in bankruptcy, as they are deemed an asset. To get advice on bankruptcy matters phone us on 1300 795 575.
39. What Assets Can I Keep If I Go Bankrupt?
What Assets Can I Keep If I Go Bankrupt?
In Australia, you can keep just about everything when declaring bankruptcy except big things like houses, cars, shares, rentals and inheritances. It is sometimes possible that things like houses and cars may also be able to be saved. Just give us a call at Bankruptcy Experts on 1300 795 575 before you make any rash decisions.
40. Liquidators Are Not Your Friend?
Liquidators Are Not Your Friend?
When appointed either voluntarily or under duress, liquidators are not there to support you. The role of the liquidator is to represent the creditors, all their actions once they have control of your business will be to clear debt in any way they can. To find out what your options are call us on 1300 795 575.
