Yes. All you will need to do is apply to your bankruptcy trustee for authorization to go. You’ll get it, having said that there is a one-page sheet you need to fill out basically to notify the trustee of how long you are going to be taking a trip, etc. This rule only truly exists so high flyers don’t skip the country. Often the trustee will request your passport, but don’t worry about it considering that you can ask for it back when you want to travel. The big part of this is ensuring that you actually ask– because if you forget 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 most cases the answer is yes! In fact, in many cases nowadays we can help you keep your home. At Bankruptcy Experts Frankston we are truly specialists at helping people keep their houses. It’s actually really tricky, so if you are concerned about losing your home call us on 1300 818 575 and we will guide you through your options.
The idea of losing the family home is likely one of the most typical deterrent to people declaring bankruptcy. We chat with people everyday who have wrestled for years 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 this way, if you own a home that’s worth $350,000 and you owe the bank $350,000 you essentially have no equity in your home, correct? The trustee will only sell your home if there is definitely enough equity in the home, if sold, to pay off a range of your debts. So with this specific situation, the trustee will then offer you some solutions, one of which is to just simply to keep on paying the mortgage and live in the house while you are actually bankrupt.
So how can I discover the value of my home before I go through the process and pain of declaring bankruptcy? A general way is simply to go onto www.realestate.com.au and look at the sold houses tab in the Frankston area and then it will display all the recent sales in your neighborhood. Another option, if you are uncertain or are very apprehensive, is to have a registered valuer do a valuation on your home, not a real estate agent ( except if they are registered valuers, obviously). Be warned this will cost you somewhere between $300-700. Just another detail about house prices – If the trustee needs to sell off your house they do this reasonably swiftly. It is certainly not a 6-month sleek marketing project and rather it’s usually by auction and they simply meet the market on the day and that is generally it. So when thinking of the value keep in mind that it’s a sell right away price, not when the market improves.
Once you have worked out the market value of your home the next thing to look at is who owns your home.
Normally when our clients are declaring bankruptcy nearly all home loans are between a couple of people as joint tenants who both add to the home loan. Granted that only one person is declaring bankruptcy then the equity is calculated like this.
Say your home is worth $400,000 and the latest market value is $350,000. Then the balance of equity in the house is $50,000, right? One-half of that total equity is by default assigned to the party not declaring bankruptcy, leaving $25,000 for the bankrupt. Out of this $25,000 the declaring bankruptcy party has to cover all of the selling costs including advertising etc.,
which, depending upon where you live, can cost anywhere between $12,000-20 ,000. With this particular case say the selling expenses are going to be $15,000 then the remaining left over after the sale is $10,000. So in this case the trustee will offer the non-declaring bankruptcy party a few options. Just one of which is common is for the bank to say, “Pay us the $10,000 and we won’t sell the house and you are going to have it taken away as an asset from the bankrupt’s estate.” Or, simply put, work out a deal to pay the $10,000 and you can keep your home.
Just a side note: the financial institution who has brought you the home loan will need the mortgage payments to be continued naturally. Despite what the trustee determines, if you don’t pay the bank the property loan they will sooner or later ask you to leave. So, in plain English, keeping your home certainly implies retaining the mortgage too.
There are many more choices with your house when declaring bankruptcy, and we have actually just described one option of probably 20 options you can choose when it involves your property. We are aware that you will want to get this right. Gambling with the family home might be a devastating choice. If you intend to get the necessary advice about declaring bankruptcy or you just want to speak with someone give us a call on 1300 818 575.
Your travel would be prohibited by the trustee due to legal action. For example, if your declaring bankruptcy is a part of a criminal investigation or fraudulent activities, it’s possible the trustee will restrict your travel.
Bankruptcy takes 3 years and is going to remain on your credit file for that time. However, just like any default it will show up on your credit file for 7 years. You can have it taken off if you get your bankruptcy annulled.
Bankruptcy is for 3 years and during that time you will not get a loan. After the 3 years is up you will have the potential to get loans; you just won’t get the very best rate. Your credit file will be erased clean 4 years after you have been absolved as a bankrupt then you will have an preferred credit history once more and you will get the most competitive deal on loans.
Commonly, no. Bankrupts hardly ever lose their cars simply because they’ve filed for bankruptcy. Naturally, this is limited and we can let you know if yours is safe. Call Bankruptcy Experts Frankston on 1300 818 575.
How is this figured out? Well it is calculated based upon a threshold market value for your car. The threshold is the maximum retail market value your car could be worth, which is $7,350. You will find all kinds of wrong information about this on the internet, but here are simply the simple facts. That $7,350 represents not the total value; it represents equity. So, essentially, if you have a car worth $35,000 you are paying off or leasing and the amount you could possibly sell it for is $30,000 then you can keep your car because its equity is only $5,000. The company that provided you the loan for the car will be pleased for you to maintain the car even though you are bankrupt so long as you keep up the payments.
Get some advice on this. If you are considering declaring bankruptcy and simply need some advice today call 1300 818 575. Basically, you will receive about 2 to 3 payments grace when it concerns car loans. The bottom line is basic: whether you are declaring bankruptcy or not, if you overlook three or even more repayments on your loan they will repossess the car. Don’t think because you are declaring bankruptcy you are instantly going to lose your car because a lot of the time we help people retain them.
The creditors, or the people you owe money to, are notified in writing at around the same time you receive your bankruptcy file number.
No. The declaring bankruptcy process is primarily a paperwork exercise. The only thing that actually occurs is that you will quite possibly be sent a letter by snail mail or emailed a notice warning you that you are actually bankrupt. At Bankruptcy Experts Frankston we make sure that this whole process is that straightforward, so if you have questions about this phone 1300 818 575.
Yes. This approach will take approximately two weeks and will completely eliminate the bankruptcy from your credit history. There are arrangements within the Bankruptcy Act that allow a bankrupt individual to get their bankruptcy annulled by means of a Section 73 proposal.
The effects of creditor’s claims can commonly result in bankruptcy, no matter if it was the person’s decision to enter bankruptcy, or if it was actually filed by a creditor. Nonetheless, bankruptcy is far from the end of the world for the person who experiences bankruptcy.
We have been supporting people declaring bankruptcy in the Frankston area for several years so call us today on 1300 818 575 in order to get some insight on this matter. We exercise the most suitable possible strategy for you to get back up and running, dealing with enduring effects and hindrances of former financial circumstances to give you the best conceivable outcome. Having experience and skills in Section 73 proposals, we can combine this with our proven strategies and methods to bring you through bankruptcy unscathed, ready to begin again.
To begin with, having your bankruptcy annulled is basically reversing it 100%. So if you are actually contemplating having your insolvency annulled there are a handful of things you will have 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 one cent back for years. Then to make matters worse you discover that they are declaring bankruptcy. You would kiss that money goodbye, right? Years go by and they come to you with an deal to pay you $5,000 that their grandparents are offering to them to clear up your debt with them. Without a doubt you are happy to take it, because it is much better than nothing. The only condition they ask for in return is that you agree to have the bankruptcy cleansed from their record, and if you don’t consent to do that then there will be no $5,000. Obviously you don’t care about their credit file; you are just pleased they are offering you some money after all of these years.
In bankruptcy terms this approach is usually referred to as a Section 73 proposal, and it is usually an approach where ‘everybody wins.’
Essentially, the trustee reaches out to your creditors, shows your offer, which is drastically less than the starting debt owed, on the condition they clear your credit file clean.
This procedure takes a few weeks. The proposal can be done whenever you like in the 3 years you are bankrupt. However, you will have to consider the time of your proposal; you don’t want to do it the day you are filing for bankruptcy because it does cost money to carry this out, you want to ensure the odds are on your side. For example, 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 obtain 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 simply just been bankrupt three weeks it will be more challenging to get an annulment because they may get some cash from you over the 3 years if you earn over the threshold sum of money.
If you would like support to put a section 73 proposal to your trustee or just need more information about the ideal time of when to put an offer forward, just phone us on 1300 818 575.
Yes! We can help you cancel every one of these agreements. With Debt Agreements and Personal Insolvency Agreements we will need to have you discharged from them to start with before you suffer through the pain of declaring bankruptcy, but it is really no problem. If you are locked into one of these and just aren’t able to get on top give us call at 1300 818 575.
Generally there are very few debts that declaring bankruptcy won’t 100% remove, like Centrelink, child support, HECS and a court-imposed fine (speeding fines, etc.) and, finally, money owed to an insurance provider following 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. In reality, there are a bunch of factors to list so if you have a specific debt you are worried about just call for a free consult 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 few million dollars, that is generally managed no differently compared to $20,000.
An unsecured creditor is a lender that does not actually have a hold over the chattels/assets/property obtained with the credit provided to you. Such debts include things like credit card debts.
A secured creditor has a hold over the chattels/assets/property until the debt is paid out in full. If a debtor defaults on a secured debt, the creditor has the right to reclaim and sell the chattels/assets/property to pay down the debt.
We have helped lots of people go through the process of declaring bankruptcy over many years and we have never had anyone’s application denied. That is actually the reason that we provide a 100% money back guarantee.
There is a basic method we use here prior to declaring bankruptcy and all you will have to 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 capacity to get you a copy for a modest fee.
Car accidents may be complicated, so to keep it simple call us on 1300 818 575 to get the proper advice on your situation. Declaring bankruptcy may not be the right option. However, as a standard rule, if you were driving a car that was not insured then the expense of the repair works is not removed with the filing for bankruptcy process. Having said that, it depends upon who admitted liability or who was simply at fault. If you head to court and the court confirms you were actually not at fault then you ought to be fine.
Yes! We can really help you carry this out, though it is actually achievable there are actually consequences and lots of regulations around this process, so call us and we will steer you through the procedure on 1300 818 575. Bankruptcy Experts Frankston are pros at assisting businesses get back on their feet.
Yes. Currently there is an method to follow, but if you win lotto or inherit some cash you can use it to get your record wiped clean. There is actually a way of doing this correctly; just call us first.
Usually, if you owe money to a lender they can get a court order and then bankrupt you. They need to follow a process, but it is possible. What you have to avoid at all costs if possible is someone else bankrupting you, as it’s always best to voluntarily file for bankruptcy. Unless you enjoy going to court and bothersome phone calls, naturally.
Absolutely. Even so, this is a challenging process and we recommend you get some expert advice before declaring bankruptcy; if it’s handled badly, it might be disastrous. For a free consultation call Bankruptcy Experts Frankston 1300 818 575.
No, we do that for you. In fact, we serve as a buffer or a midway point between you and your creditors. So ultimately you are not obligated to notify them of your bankruptcy; we look after that for you.
Generally, it takes around 2 weeks.
Yes. Typically a lender will chase the other person who signed the loan documents with you for the sum total of the overdue money owing on the loan.
Don’t stress! If you neglected 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 also any account or reference number/s offered from lender. Your trustee will include the creditor to your bankruptcy and send a notification to the creditor.
No. We handle the whole process for you.
Commonly this is not a problem, so if you are a gambler, don’t stress. What the trustee does not appreciate is inconsistency here. Put simply, if you have never gambled in your life and all of a sudden you lost $50,000 on the horses, then you might just have some explaining to do, of course, because it just doesn’t 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 usually achievable. It needs some emails back and forth but it can be done.
Yes. If a person originally living in a different country is now residing in Australia then files for bankruptcy and they have a unpaid debt incurred in that foreign country, you just list that unpaid debt on the documentation.
In most cases the creditor internationally will erase the debt. It is possible and lawful for them, however, to decline your application, and if you return to that country you may go through their bankruptcy rules.
There are generally a few ways the trustee can learn, and the most effective and simplest way is for you to let them find out when we do the paperwork. There is also a government site which has significant assets listed also. You should certainly get some advice about assets; so look out.
This is complicated and you are going to want the right support, so if you need more information about inheritances call us on 1300 818 575.
No. The income thresholds are the same for every person so no matter how you earn your income you will have to earn about $50,000 annually before your income will be influenced by bankruptcy.
You can keep money from tax returns only 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 good 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 various other debts then you will get your whole tax return back.
If you are required to pay child support, this money will be written off from your net income, so what you have the ability to keep after you pay your tax then child support is considered net income. Which is why when declaring bankruptcy, the net income numbers are always quoted.
Yes, but 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 regarded as an asset.
You can keep almost everything when filing for bankruptcy except big things like houses, cars, shares and inheritances. Even things like houses and vehicles may be able to be saved. Just call us before you make any rash decisions on 1300 818 575 for Bankruptcy Experts Frankston.