Declaring bankruptcy can be a last resort
At Debt Negotiators, we are committed to serving all our clients with their best financial interests in mind. If you’re struggling to repay your outstanding financial obligations and are falling further into debt, Debt Negotiators will work with you to assess your situation and arrive at a debt solution most suitable for you.
Only after exhausting all other possible avenues such as Debt Consolidation, Debt Agreements and other repayment strategies will we consider the act of filing for Bankruptcy.
What is bankruptcy?
Bankruptcy is a legal process that a person can go through when they can no longer afford to repay their debts, that releases them from most of their debts. Bankruptcy is not something that should be entered into lightly. Ideally, bankruptcy is only considered once all other options have been explored fully.
Bankruptcy only covers unsecured debts, such as credit cards and unsecured personal loans, and you will need still need to make repayments on any home or car loans. Child support payments are also not covered by filing for bankruptcy.
In Australia, bankruptcy is regulated by the Australian Financial Security Authority (ASFA), and must be carried out according to the Bankruptcy Act 1966. Bankruptcy generally lasts for three years from the date of filing for bankruptcy, and a trustee is appointed to oversee the situation and manage all finances and assets during bankruptcy.
Consequences of declaring bankruptcy
A lot of people in debt believe that filing for Bankruptcy is the only viable solution to their inability to repay their debts. Declaring Bankruptcy has a number of far-reaching implications that can be a detriment to your financial future. Debt Negotiators will actively work with you to thoroughly investigate all other avenues to financial freedom before considering filing for bankruptcy.
Filing for Bankruptcy may lead to:
• Sale of your assets – you may be forced into the sale of assets to cover outstanding debts
• You may be required to make contributions depending upon the level of your income
• Potential impact on your current or future employment
• Bankruptcy may be listed with Credit Reporting Agencies and may affect your ability to obtain future finance and credit
• Restricted permission to travel overseas for three years
Debt Negotiators are trusted Bankruptcy strategists
If Debt Negotiators has exhausted all other viable avenues for your debt repayment and management, you may have to file for Bankruptcy. Debt Negotiators can help you through the process, advising on the best way to rectify your financial situation by filing for Bankruptcy.
Offering expert advice, guidance and support for those suffering from financial hardship and filing for Bankruptcy, Debt Negotiators uses this option as a last resort only and is dedicated to rectifying your situation by other means.
For more information on Bankruptcy and Debt Negotiators financial services, or to book an appointment please contact us today. We service:
Melbourne Sydney Brisbane Perth Adelaide and throughout Australia.