Going Bankrupt In Toowoomba 2018 - What You Ought To Know Long Before You Declare Bankruptcy.
If you are overwhelmed by debt and you are looking at Going Bankrupt, there are 4 effects you must consider first
Credit Rating
When it comes down to Going Bankrupt in Australia, the process will often last for 3 years most of the time and for that 3 years your credit file will be registered with a 'bankruptcy' on it, this basically means you will not have the ability to borrow money. By the end of your 3 years you will be a 'discharged bankrupt' what this suggests is that your credit file will not say you are currently bankrupt it will say you were bankrupt. What this implies is that only select lenders will let you to borrow money for things like houses and cars at a slightly higher interest rate, but if your income level is ok then you are going to be okay. If you just simply Google Search 'Loans to discharged bankrupts' you will find plenty of lenders out there. The reason is basic, you are really a good risk because you have no other debts anywhere. Your credit file will be marked with a 'discharged bankrupt' from the day your bankruptcy is finalised for another 2 years. So simply put your credit rating will be back to squeaky clean again after 5 years like nothing transpired. If you have already had somebody default your credit file it also stays on your credit file for 5 years and the implications for loaning money are every bit as dire with a default-- and it is therefore you will need to talk with someone about Going Bankrupt.
Most of the time by the time someone files for bankruptcy in Toowoomba their credit file is so broken that the impact bankruptcy has on their credit rating is of no genuine consequence they cannot borrow money anyhow. If you are thinking of bankruptcy and you are wishing to know more give us a call here at Bankruptcy Experts Toowoomba on 1300 795 575, or visit: www.bankruptcyexpertsToowoomba.com.au
Asset Loss
When people come to me about Going Bankrupt I'm often asked 'what assets will I lose when I file for bankruptcy?' It is probably much easier to think about it this way: Your household possessions are not going to be affected. The assets that you will lose will be big items like cars, boats, houses etc. You can possess a car to the value of $7,500 in equity. So to put it simply if you have a $20,000 car with a $20,000 car loan attached you can keep it due to the fact that its got no equity in it. So its not the total price that matters in this case its the equity or the distinction between the loan and the price of the car. But I don't want to talk too much more about assets because it is a complicated area of Going Bankrupt, if you have questions about assets because you are taking a look at Going Bankrupt call us here at Bankruptcy Experts Toowoomba on 1300 795 575, or visit: www.bankruptcyexpertsToowoomba.com.au
There is plenty of confusing info out there about assets and bankruptcy, so make sure you get the right advice. Your house may also be of concern for you, because you may have the ability to keep your house and still file for bankruptcy, once more call us if you wish to know more about houses and Going Bankrupt in Toowoomba.
Income Loss
For the 3 years you are bankrupt you may be required to supply some of your income back toward your debt. (see table below).
There are some considerations with this aspect of your income though, firstly if you pay any child support that comes out of your income first, so in other words your net income will be determined once you pay your tax and then child support, what's leftover is your net income.
If you are a couple and you both go bankrupt these numbers are built on individual incomes not combined so with no dependents each partner can earn $1,010.45 in the hand per week.
If one partner in a relationship is bankrupt the non bankrupt partner can gain any income because it's not factored into the equation.
If you are self employed or your income is erratic the figure will be determined annually and not each week. If you earn over the threshold amount every week then you will be required to contribute weekly from your pay.
But this is actually important when it comes to Going Bankrupt since If you do not provide from your salary like you are expected to, the consequences are serious, your bankruptcy may be expanded until you do re-pay the required amount.
Overseas Travel
The bottom line with bankruptcy and overseas travel is simple. If you get the right advice and file for bankruptcy properly in the first place, then you will not have an issue travelling overseas as often as you want while you are bankrupt.
The process is a simple online application you pay $150 and you are on your way.
If you are concerned about any of these problems In Going Bankrupt about Assets, Income, Credit Rating, and travel limitations give us a call here at Bankruptcy Experts Toowoomba on 1300 795 575, or visit: www.bankruptcyexpertsToowoomba.com.au
