When it concerns Filing For Bankruptcy, there is plenty of complication because it is an area that you really do really need some firm advice in because typically you may end up in an even worse situation. That I why here at Bankruptcy Experts Lismore we certainly want to ensure people understand that there are specific things that can effectively make your Bankruptcy term be prolonged from 3 years to 5 (or even 8) years!
Yes, this indicates that you will continue to be even longer in the ‘Bankruptcy limbo’ so heed our suggestions and avoid setting off any of the following areas– because if you do, then the entire area of Filing For Bankruptcy becomes much more difficult and the Trustee can actually intercede and get your term increased instead of letting it automatically discharge.
So precisely how can the period be extended to 5 years?
Certainly there are a number of ways in Lismore, and these types of are considered the ‘minor breaches’ since they only extend the term to the 5 year mark. So please, while Bankrupt:
- Do not still act as a Director of a company.
- Do not leave Australia without the permission of your Trustee
- Do not incur credit more that the recommended amount
- Do not fail to go to a meeting of your creditors
- Do not fail to reveal a beneficial interest or asset
- Do not fail to go to an interview arranged by your trustee without having reasonable explanation.
And also, if certain additional aspects are discovered, this can also increase the term to 5 years, so if it is found out that before Bankruptcy, you:
- Made a preferential payment
- Entered into an undervalued transaction.
So how can the term be extended to 8 years?
So when it comes to Filing For Bankruptcy, there are some areas that if you breach can in fact end up extending the term to 8 years. So please, while Bankrupt:
- Do not fail to give written explanation to the trustee regarding any issues developing from property or income.
- Do not incur more credit than the prescribed level
- Do not depart Australia and fail to return when asked by the trustee.
- Do not refuse to sign a file after the trustee has requested you to sign it.
- Do not fail to disclose a beneficial interest in an asset.
- Do not fail to explain the purpose of any money spent or property sold 5 years prior to bankruptcy
And again, if prior to bankruptcy you did any of the following:
- Intentionally provided any false or misleading information to your trustee
- Entered into a transaction, or excessive payments into your superannuation fund with the intention to defeat creditors
Filing For Bankruptcy and these types of term extensions in Australia are complex and challenging, these lists of issues that you may deal with are just the tip of the iceberg as far as your choices in Lismore are concerned. If you have to know more about Filing For Bankruptcy feel free to consult with us here at Bankruptcy Experts Lismore on 1300 795 575, or visit our website: www.bankruptcyexpertsLismore.com.au