What Debts are wiped out if I go Bankrupt?
The practical answer is that when it concerns Filing For Bankruptcy most debts are wiped, and I have featured a table below for you to look at.
But, put simply some of the exceptions are Centrelink Debts, Child Support, Court fines (like speeding fines) in addition to any debts arising from uninsured Motor-vehicle claims and educational debts like HECS or FEE-HELP. These debts are not wiped out when you file for bankruptcy.
What about Secured Debts?
A secured debt is a vehicle loan or a home loan; it is a debt that has some real security linked to it. So for instance if you buy a new car for $40,000 dollars the security for this car is the actual car itself.
So, can my secured debts be erased if I file for bankruptcy?
Yes. If you have a car loan for $40,000 you can have that debt eliminated if you simply hand back 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 may be wiped but the asset has to be sold or returned. This is just one part that, when it comes to Filing For Bankruptcy, it is essential to get professional help – like that available at Bankruptcy Advice Perth.
What about my Tax Debts with the ATO can they be removed 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 right here at Bankruptcy Advice Perth if you have any questions on 1300 879 867. Or feel free to explore our website: www.bankruptcy-advice.com.au/Perth.com.au
What about my business or Company debts?
In some cases when it involves Filing For Bankruptcy we can really help you with your business debts, call us about this first. Remember bankruptcy applies to an individual not companies, trusts or businesses. Generally 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 complicated area, so remember there are implications for a business owner such as insolvent trading. At Bankruptcy Advice Perth we specialise in business and personal debts so call us here at Bankruptcy Advice Perth if you have any questions regarding Filing For Bankruptcy on 1300 879 867. Or feel free to go to our website: www.bankruptcy-advice.com.au/Perth.com.au