- Aug 18, 2016
When it concerns Filing For Bankruptcy, generally there is a lot of complication because it is an area that you truly do really need some good advice in because otherwise you may end up in an even more severe predicament. That I why here at Bankruptcy Experts Cairns we definitely want to make certain people are aware that there are particular things that can really make your Bankruptcy term be stretched from 3 years to 5 (or even 8) years!
Yes, this shows that you will remain even longer in the ‘Bankruptcy limbo’ so heed our advice and avoid prompting any of the following areas– because if you do, then the entire area of Filing For Bankruptcy becomes far more complex and the Trustee can actually step in and get your term extended as opposed to letting it automatically discharge.
So precisely how can the duration be extended to 5 years?
There are a number of ways in Cairns, and these are considered the ‘minor breaches’ because 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 show up at a meeting of your creditors
- Do not fail to disclose a beneficial interest or asset
- Do not fail to attend an interview arranged by your trustee without having justifiable explanation.
And also, if certain additional aspects are discovered, this can also increase the term to 5 years, so if it is determined 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 are in violation can in fact end up extending the term to 8 years. So please, while Bankrupt:
- Do not fail to provide written explanation to the trustee regarding any issues arising from property or income.
- Do not incur more credit than the prescribed quantity
- Do not leave 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 clarify 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:
- Deliberately 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 face are just the tip of the iceberg as far as your choices in Cairns are concerned. If you need to know more about Filing For Bankruptcy feel free to call us here at Bankruptcy Experts Cairns on 1300 795 575, or visit our website: www.bankruptcyexpertsCairns.com.au