Yes. All you will need to do is apply to your bankruptcy trustee for authorization to go. You’ll get it, on the other hand there is a one-page sheet you need to fill out basically to update the trustee of how long you will be taking a trip, etc. This rule only really exists so high flyers don’t skip the country. At times the trustee will demand your passport, but don’t fret about it because you can ask for it back when you would like to travel. The big part of this is being sure that you in fact ask– because if you ignore this then you can actually get in a ton of trouble. Call us if you want to know more regarding travel on 1300 818 575.
In some cases the answer is yes! In fact, in many cases these days we can help you keep your home. At Bankruptcy Experts Wollongong we are actually professionals at helping people keep their houses. It’s actually pretty tricky, so if you are worried about losing your home call us on 1300 818 575 and we will guide you through your options.
The notion of losing the family home is very likely one of the most common discouragement to people declaring bankruptcy. We talk with people on a daily basis who have grappled for a long time under substantial financial stress so they don’t lose their home.
So how is it possible when declaring bankruptcy to keep your house? Easy, really; it’s a matter of equity. Let’s put it like this, if you own a property that is actually worth $350,000 and you owe the bank $350,000 you essentially have no equity in the house, correct? The trustee will only sell your home if there is generally enough equity in the home, if sold, to pay off a lot of your debts. So for this particular situation, the trustee will then offer you some solutions, one of which is to simply to continue paying the mortgage and live in the house while you are bankrupt.
So how can I find out the value of my home before I go through the process and pain of declaring bankruptcy? A basic way is usually to go onto www.realestate.com.au and take a look at the sold houses tab in the Wollongong area and then it will display all the previous sales in your location. Another option, if you are not exactly sure or are very apprehensive, is to have a registered valuer do a valuation on your home, not a real estate agent (unless they are registered valuers, obviously). Be warned this will cost you anywhere between $300-700. Just one more detail about house prices – If the trustee has to sell off your house they do so reasonably promptly. It is normally not a 6-month sleek advertising campaign and rather it’s typically by auction and they just meet the market on the day and that is usually it. So when thinking about the value remember that it’s a sell right away price, not when the market improves.
Once you have worked out the market value of your house the next thing to consider is who owns your home.
Usually when our customers are declaring bankruptcy nearly all home loans are generally between a couple of individuals as joint tenants who both add to the home loan. Granted that only one person is declaring bankruptcy then the equity is worked out like this.
Say your house is worth $400,000 and the latest market value is $350,000. Then the balance of equity in the home is $50,000, right? Fifty percent of that overall equity is automatically allocated to the party not declaring bankruptcy, leaving $25,000 for the bankrupt. Out of that $25,000 the declaring bankruptcy party needs to pay for all of the selling costs including advertising etc.,
which, depending upon where you live, can come to anywhere between $12,000-20 ,000. In this particular instance say the selling expenses are going to be $15,000 then the remaining left over following the sale is $10,000. So in this case the trustee will provide the non-declaring bankruptcy party a few choices. One of which is common is for the bank to say, “Pay us the $10,000 and we will not sell your home and you can have it removed as an asset from the bankrupt’s estate.” Or, in short, arrange to pay the $10,000 and you can keep the house.
Just a side note: the bank who has granted you the property loan will need the mortgage payments to be continued of course. Whatever the trustee decides, if you do not pay the financial institution the property loan these guys will in the end ask you to leave. So, in plain English, keeping your home definitely implies keeping the mortgage as well.
There are many more choices with your house when declaring bankruptcy, and we have just described one option of potentially 20 options you can select when it comes to your home. We know you will need to get this right. Trying one’s luck with the family house might be a devastating choice. If you intend to get the necessary advice about declaring bankruptcy or you just have to speak to someone call us on 1300 818 575.
Bankruptcy lasts 3 years and will sit on your credit file for that time. However, as with any default it will appear on your credit file for 7 years. You can have it cleared away if you get your bankruptcy annulled.
Bankruptcy is for 3 years and in that time you will not get a loan. After the 3 years is up you are going to have the ability to get loans; you just won’t get the very best rate. Your credit file will be wiped clean 4 years after you have been dismissed as a bankrupt then you will have an fitting credit history once more and you will get the most competitive deal on loans.
Generally, no. Bankrupts hardly ever lose their cars because they’ve filed for bankruptcy. Naturally, this is uncertain and we can let you know if yours is safe. Call Bankruptcy Experts Wollongong on 1300 818 575.
How is this worked out? Well it is determined based upon a threshold value for your car. The threshold is the highest wholesale market value your car could be worth, which is $7,350. You will find all sorts of flawed information about this online, but here are the simple facts. That $7,350 represents not the full value; it represents equity. So, simply put, if you have a car worth $35,000 you are paying off or leasing and the amount you can sell it for is $30,000 then you can keep your car because its equity is only $5,000. The company that lent you the loan for the car will be pleased for you to keep the car despite the fact that you are bankrupt so long as you keep up the payments.
Get some help with this. If you are considering declaring bankruptcy and simply need some advice without delay call 1300 818 575. Basically, you will have about 2 to 3 repayments grace when it concerns car loans. The bottom line is simple: whether you are declaring bankruptcy or not, if you miss three or even more repayments on your loan they will retrieve the car. Don’t think because you are declaring bankruptcy you are instantly going to lose your car because in many cases we help people keep them.
The creditors, or the people you owe money to, are alerted in writing at around the same time you receive your bankruptcy file number.
No. The filing for bankruptcy procedure is primarily a paperwork exercise. All that actually occurs is that you will possibly be sent a letter by mail or emailed a notice advising you that you are actually bankrupt. At Bankruptcy Experts Wollongong we make sure that this whole process is that uncomplicated, so if you have concerns about this phone 1300 818 575.
Absolutely. This approach will take about two weeks and will entirely eliminate the bankruptcy from your credit history. There are arrangements within the Bankruptcy Act that allow a bankrupt individual to get their bankruptcy annulled using a Section 73 proposal.
The repercussions of creditor’s claims can typically result in bankruptcy, regardless of if it was the person’s choice to enter bankruptcy, or if it was filed by a creditor. Nevertheless, bankruptcy is far from the end of the world for the person who goes through bankruptcy.
We have been taking care of people declaring bankruptcy in the Wollongong area for several years so call us today on 1300 818 575 in order to get some information on this matter. We exercise the most suitable possible strategy for you in order to get back up and running, eliminating remaining effects and hindrances of former financial circumstances to give you the best potential outcome. Having experience and skills specialising in Section 73 proposals, we can combine this with our proven strategies and approaches to bring you through bankruptcy unharmed, ready to begin again.
Initially, having your personal bankruptcy annulled is just about reversing it 100%. So if you are thinking about having your insolvency annulled there are a few things you need to know.
Firstly, how does the annulment work? A easy way to comprehend it is this – let’s say someone owes you $50,000 and they haven’t paid you 1 cent back for many years. Then to make things worse you learn that they are declaring bankruptcy. You would most likely kiss that money goodbye, right? Years pass and they come to you with an deal to pay you $5,000 that their grandparents are giving to them to settle your debt with them. Without a doubt you are delighted to take it, because it is far better than nothing. The only condition they request in return is that you consent to have the bankruptcy cleansed from their record, and if you don’t consent to do that then there will be no $5,000. Of course you do not care about their credit file; you are just pleased they are offering you some money after all these years.
In bankruptcy terms this approach is usually described as a Section 73 proposal, and it is certainly an approach where ‘everybody wins.’
Basically, the trustee contacts your creditors, shows your offer, which is much less than the initial debt owed, on the condition they clear your credit file clean.
This approach takes a few weeks. The proposal may be done at any time in the 3 years you are bankrupt. However, you must consider the timing of your proposal; you don’t want to do it the day you are declaring bankruptcy because it does cost money to do this, you want to ensure the odds are on your side. For instance, if you are repaying money to the trustee each week because you earn over the threshold amount, then your creditors will know they are going to be given a certain amount from you over the 3 years anyway so it better be more than it will add up to.
similarly, If you have merely been bankrupt three weeks it will definitely be more complicated to get an annulment since they may get some cash from you over the 3 years if you earn over the threshold sum of money.
If you would like assistance to put a section 73 proposal to your trustee or just need more details about the timing of when to put an offer forward, just phone us on 1300 818 575.
Yes! We can help you cancel all of these agreements. With Debt Agreements and Personal Insolvency Agreements we will have to have you discharged from them first off before you endure the pain of declaring bankruptcy, but it’s no worry. If you are locked into one of these and just simply cannot get on top give us call at 1300 818 575.
There certainly are very few debts that declaring bankruptcy won’t 100% get rid of, like Centrelink, child support, HECS and a court-imposed fine (speeding fines, etc.) and, ultimately, money owed to an insurance company because of a car accident in an uninsured car while you were driving.
Besides that, it will remove things like your credit cards, store cards, GST and tax, unsecured personal loans, etc. Actually, there are a lot of factors to list so if you have a specific debt you are worried about just call for a free consultation 1300 818 575.
You can’t declare bankruptcy for an amount under $5,000; however, there is no restriction above that. If you owe a couple million dollars, that is simply managed no differently compared to $20,000.
An unsecured creditor is a lender who does not have a hold over the chattels/assets/property obtained with the credit afforded to you. These types of debts include credit card debts.
A secured creditor has a hold over the chattels/assets/property until the debt is paid out fully. If a debtor defaults on a secured debt, the creditor can repossess and sell the chattels/assets/property to pay down the debt.
Our staff have helped thousands of people undergo the process of declaring bankruptcy over several years and we have certainly never had anybody’s application rejected. That’s the reason that we offer a 100% money back guarantee.
There is a general method we use here prior to declaring bankruptcy and all you must do is acquire a copy of your credit history as it definitely will have your credit history on there. Companies like www.veda.com.au will have the ability to get you a copy for a small fee.
Car accidents may be troublesome, so to keep it straightforward call us on 1300 818 575 to get the proper advice on your situation. Declaring bankruptcy may not be the best option. However, as a general rule, if you were driving a motor vehicle that was not actually insured then the expense of the repairs is not eliminated with the declaring bankruptcy process. Having said that, it depends on who accepted liability or who was at fault. If you go to court and the court confirms you were actually not at fault then you ought to be fine.
Yes! We can really help you do this, even though it is actually achievable there are actually consequences and plenty of regulations around this process, so phone us and we will steer you through the procedure on 1300 818 575. Bankruptcy Experts Wollongong are experts at supporting companies get back on their feet.
Yes. Generally there is an strategy to follow, but if you win lotto or inherit some cash you can use it in order to get your record wiped clean. There is a way of carrying this out correctly; just call us first.
Typically, if you owe money to a lender they can get a court order and bankrupt you. They need to follow a process, but it is actually possible. What you should avoid at all costs if possible is other people bankrupting you, as it’s always best to voluntarily apply for bankruptcy. Unless you enjoy going to court and irritating phone calls, naturally.
You bet. However, this is a difficult process and we recommend you get some expert advice before declaring bankruptcy; if it’s handled badly, it could be disastrous. For a free consultation call Bankruptcy Experts Wollongong 1300 818 575.
No, we do that for you. Actually, we serve as a buffer or a midway point between you and your creditors. So ultimately you are not obligated to advise them of your bankruptcy; we deal with that for you.
Typically, it takes around 2 weeks.
Yes. Typically a lender will chase the other person that signed the loan files with you for the sum total of the unsettled money owing on the loan.
Don’t panic! If you missed a debt and remember it later, just get in touch with your trustee with the name of the creditor, address, date the debt was acquired, amount of debt and any account or reference number/s offered from lender. Your trustee will add the creditor to your bankruptcy and send out a notification to the creditor.
No. We handle the entire process for you.
Generally this is not actually a problem, so if you are a gambler, don’t stress. What the trustee won’t like is inconsistency here. Simply put, if you have never gambled in your life and all of a sudden you lost $50,000 on the horses, then you may have some explaining to do, of course, because it just does not add up and looks suspicious.
Yes. We understand that you are busy. If you have a phone we can support you; simply call us on 1300 818 575.
Yes. This is workable. It involves some emails back and forth but it can be done.
Yes. In the event that a person actually living in a different country is now living in Australia then declares bankruptcy and they have a debt incurred from that foreign country, you just list that unpaid debt on the papers.
In most cases the creditor internationally will erase the debt. It is potential and legal for them, however, to reject your application, and if you return to that country you may go through their bankruptcy laws.
How will the trustee know just what assets I possess?
There are normally a few ways the trustee can find out, and the most effective and simplest way is for you to let them know when we do the paperwork. There is also a government site which has major assets listed also. You ought to get some advice about assets; so look out.
This is complicated and you will want the best advice, so if you need extra info about inheritances contact us on 1300 818 575.
Will I have to give up my Pension or Workers Compensation payments if I go bankrupt?
You can keep money from tax returns just if you did not have any tax debts. So if you owed money to the Tax Office when you went bankrupt then they will take your tax return. The reason for this is because your income tax return is viewed as net income, so if you are below the threshold amount you can earn while bankrupt and provided you really did not have those other debts then you will get your whole tax return back.
If you are mandated to pay child support, this money will be taken off from your net income, so what you have the ability to keep after you pay your tax then child support is looked at as net income. That is why when declaring bankruptcy, the net income numbers are always quoted.
Can I buy shares and make financial investments while I’m bankrupt?
Yes, however it’s not a smart idea. You are allowed even while you are declaring bankruptcy, but the trustee will take them off you, as they are deemed an asset.
You can keep practically everything when declaring bankruptcy except big things like houses, cars, shares and inheritances. Even items like houses and cars may be able to be saved. Simply give us a call before you make any rash decisions on 1300 818 575 for Bankruptcy Experts Wollongong.