What Debts are cleared away if I go Bankrupt?
The simple answer is that when it involves Filing For Bankruptcy most debts are wiped, and I have added a chart 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 for instance, HECS or FEE-HELP. These debts are not eliminated when you file for bankruptcy.
What about Secured Debts?
A secured debt is a car loan or a home loan; it is a debt that has some absolute 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 wiped out if you simply return 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 might be wiped but the asset needs to be sold or returned. This is just one facet that, when it comes to Filing For Bankruptcy, it is vital to get professional help – like that provided at Bankruptcy Experts Hobart.
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 eliminated with bankruptcy. If you have a business with any sort of debts get some advice because it is not always so easy. Feel free to call us here over at Bankruptcy Experts Hobart if you have any questions on 1300 795 575. Or feel free to explore our website: www.bankruptcyexpertsHobart.com.au
What about my business or Company debts?
Sometimes when it comes to Filing For Bankruptcy we can assist you with your business debts, call us about this first. Remember bankruptcy applies to an individual not companies, trusts or businesses. Normally you may need to liquidate a company to deal with the debt that way. When it comes to Filing For Bankruptcy, it can be a confusing area, so remember there are implications for a business owner such as insolvent trading. At Bankruptcy Experts Hobart we specialise in business and personal debts so give us a call here at Bankruptcy Experts Hobart if you have any questions regarding Filing For Bankruptcy on 1300 795 575. Or feel free to head to our website: www.bankruptcyexpertshobart.com.au