If you are swamped by debt and you are investigating at Bankruptcy, there are actually 3 consequences you must consider to begin with.
For the 3 years you are bankrupt you may be needed to pitch in some of your income back toward your debt despite being bankrupt. (see table below).
This is actually vital when it involves Bankruptcy because If you do not provide from your salary like you are expected to, the effects are serious, your bankruptcy may be extended until you do re-pay the required amount.
There are some factors with this element of your income though, firstly if you pay any child support that comes out of your earnings first, so in other words your net income will be determined once you pay your tax and after that 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 put together so with no dependents each partner can earn $1,010.45 in the hand each week.
If one partner in a relationship is bankrupt the non-bankrupt partner will be able to earn any income simply because it’s not factored into the situation.
If you are self-employed or your income is up and down the figure will be measured annually and not each week. If you earn over the threshold amount weekly then you will be obligated to contribute weekly from your pay.
When people come to me concerning Bankruptcy I’m often asked ‘what assets will I lose when I file for bankruptcy?’ It is likely simpler to visualize it this way: Your household belongings are not going to be affected. The assets that you will lose will be large things like cars, boats, houses etc. You can have a car to the value of $7,500 in equity. So in other words 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 total value that matters in this particular case it’s the equity or the difference between the loan and the value of the car. But I don’t wish to talk too much more about assets since it is a complex area of Bankruptcy, if you have questions about assets because you are looking at Bankruptcy contact us here at Bankruptcy Experts Toowoomba on 1300 795 575, or visit: www.bankruptcyexpertstoowoomba.com.au
Your home may also be of concern for you, since you may have the chance to keep your house and still declare bankruptcy, When it concerns Bankruptcy though there is definitely a lot of opposing information out there, so do some online research and make certain you actually are aware of what is going to happen. Give us a call if you want to know more about houses and Bankruptcy in Toowoomba.
The bottom line with bankruptcy and international travel is clear-cut. If you get the right advice and apply for bankruptcy properly from the beginning, then you will not have a concern travelling overseas as frequently as you want while 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 issues In Bankruptcy about Assets, Income, Credit Rating, and travel limitations call us here at Bankruptcy Experts Toowoomba on 1300 795 575, or visit: www.bankruptcyexpertstoowoomba.com.au