Generally, but not always you will receive a letter from the Bankruptcy Regulator (AFSA) – see attached at the bottom of this post for a sample. Make sure you get a discharge letter because it serves a few purposes, such as peace of mind knowing its over, closure which is important for your mental well-being and finally it’s great to have on file to make sure this discharge is reflected on your credit file.
There are a few things you need to know about bankruptcy and getting discharged and the potential pitfalls of what would cause delays.
1. Make sure you remain compliant for the 3 years you are bankrupt. There is an ever-growing list of things required of bankrupts, importantly make sure you respond to the trustee for the 3 years you are bankrupt. The trustee can and will request things like income details for the period of bankruptcy. If you fail to provide this information your bankruptcy will likely be extended to 5 or 8 years or in some indefinitely until you do. If your bankruptcy has been extended or you need assistance with your bankruptcy feel free to call us, we can help you get things back on track.
2. Once you have been discharged from your bankruptcy it’s important to keep in mind that some debts (if you have them) you will still be liable for such as;
• HECS & HELP Student Loans
• Court Imposed Fines – Speeding Fines etc
• Debts incurred by fraudulent means
• Child Support Debts
• Debts you incurred once your bankruptcy is finished
• Some proceeds of crime law debts
• Remaining Income Contribution Debts payable to the trustee
3. If you earned over the income threshold amount while you were bankrupt, you will be liable to make payments to the trustee while you are bankrupt. If for whatever reason you have not made these payments your discharge will be delayed until you do. The key here is get your tax returns done and keep the trustee posted on any changes to your income as you go.
4. Property and Bankruptcy Discharge is a complex kettle of fish. In most cases if you have retained a property while you are bankrupt you will need to deal with that separately it doesn’t automatically go back to you at the end of the 3 years. If you have a property and you are currently bankrupt you will want to seek out professional advice, feel free to contact our office and we can guide you through what you can do.
5. Finally, bankruptcy is a serious decision and is a complicated process. We are here to assist people go through the entire process so that it doesn’t become the biggest mistake of your life. We offer a free consultation simply call: 1300 795 575.