If you are destroyed by debt and you are taking a look at Bankruptcy, there are probably 3 effects you have to think about to begin with.
For the 3 years you are actually bankrupt you might have to contribute some of your income back toward your debt despite being bankrupt. (see table below).
This is really crucial when it involves Bankruptcy because If you do not give from your salary like you are expected to, the consequences are severe, your bankruptcy may be increased until you do re-pay the required amount.
There are some factors in this aspect of your income though, to start with if you pay any child support that comes out of your earnings first thing, so in other words your net income will be calculated once you pay your tax then child support, what’s left is your net income.
If you are a couple and you both declare bankruptcy these figures are based upon individual incomes not combined so with no dependents each partner can earn $1,010.45 per week.
If one partner in a relationship is bankrupt the non-bankrupt partner is able to earn any income because it’s not factored into the situation.
If you are self-employed or your earnings is up and down the figure will be measured annually and not per week. If you earn over the threshold amount weekly then you will be required to contribute weekly from your pay.
When people come to me concerning Bankruptcy I’m often asked ‘what assets will I lose when I apply for bankruptcy?’ It is perhaps simpler to consider it this way: Your household belongings are not going to be impacted. The assets that you will lose will be substantial things like motor vehicles, boats, houses etc. You can have 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 thanks to the fact that it’s got no equity in it. So it’s not the overall value that matters in this case it’s the equity or the distinction between the loan and the value of the car. But I don’t wish to talk too much more about assets because it is a complicated area of Bankruptcy, if you have concerns about assets because you are considering Bankruptcy give us a call here at Bankruptcy Experts Shellharbour on 1300 795 575, or visit: www.bankruptcyexpertsshellharbour.com.au
Your home may also be of concern for you, because you may have the chance to keep your house and still file for bankruptcy, When it comes to Bankruptcy though there is certainly a lot of contradictory information out there, so do some groundwork and ensure that you actually comprehend what is going to happen. Give us a call if you would like to know more about houses and Bankruptcy in Shellharbour.
The bottom line with bankruptcy and international travel is uncomplicated. If you get the best advice and declare bankruptcy properly from the beginning, then you will not have an issue taking a trip overseas as frequently as you want whilst you are bankrupt.
The process is a basic online application you pay $150 and you are on your way.
If you are concerned about any one of these concerns In Bankruptcy about Assets, Income, Credit Rating, and travel limitations contact us here at Bankruptcy Experts Shellharbour on 1300 795 575, or visit: www.bankruptcyexpertsshellharbour.com.au