Which Debts are cleared away if I go Bankrupt?
The basic answer is that when it concerns Bankruptcy most debts are wiped, and I have included a table below for you to look at.
But, put simply some of the exceptions are Centrelink Debts, Child Support, Court fines (like speeding fines) and any debts arising from uninsured Motor-vehicle claims and educational debts which include HECS or FEE-HELP. These debts are not removed when you file for bankruptcy.
What about Secured Debts?
A secured debt is a vehicle loan or a home loan; it is a debt that has some real security affixed to it. So for instance if you buy a new car for $40,000 dollars the security for that car is the actual car itself.
So, can my secured debts be cleared away if I file for bankruptcy?
Yes. If you have a car loan for $40,000 you can have that debt eliminated if you simply hand back the car. So the lesson is that you cannot have your cake and eat it too (so to speak), so yes all of your secured debts can be wiped but the asset must be sold or returned. This is just one part that, when it comes to Bankruptcy, it is important to get professional assistance - like that offered at Bankruptcy Experts Mildura.
What about my Tax Debts with the ATO can they be cleared away If I go bankrupt?
Yes they can, both business and personal debts owing to the ATO can be removed with bankruptcy. If you have a business with any form of debts get some advice because it is not always so self-explanatory. Feel free to call us right here at Bankruptcy Experts Mildura if you have any questions on 1300 795 575. Or feel free to visit our website: www.bankruptcyexpertsMildura.com.au
What about my business or Company debts?
Sometimes when it comes to Bankruptcy we can help you with your business debts, call us about this first. Remember bankruptcy applies to an individual not companies, trusts or businesses. Typically you may have to liquidate a company to deal with the debt this way. And when it comes to Bankruptcy, it can be a confusing area, so remember there are implications for a business owner such as insolvent trading. At Bankruptcy Experts Mildura we specialise in business and personal debts so give us a call here at Bankruptcy Experts Mildura if you have any questions about Bankruptcy on 1300 795 575. Or feel free to head to our website: www.bankruptcyexpertsMildura.com.au