If you are overwhelmed by debt and you are checking out at Bankruptcy, there are certainly 3 effects you need to consider before anything else.
For the 3 years you are bankrupt you may have to pitch in some of your income back toward your debt despite being bankrupt. (see table below).
This is actually critical when it concerns Bankruptcy because If you do not supply from your salary like you are presumed to, the consequences are serious, your bankruptcy may be expanded until you do re-pay the required sum.
There are some factors to consider with this aspect of your income though, firstly if you pay any child support that comes out of your income first thing, so in other words your net income will be calculated 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 all of these figures are based upon individual incomes not put together so with no dependents each partner can earn $1,010.45 weekly.
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 earnings is up and down the figure will be determined annually and not each week. If you earn over the limit amount weekly then you will be required to contribute weekly from your pay.
When people come to me regarding Bankruptcy I’m often asked ‘what assets will I lose when I file for bankruptcy?’ It is probably simpler to picture it this way: Your household belongings are not going to be affected. The assets that you will lose will be big things like vehicles, boats, houses etc. You are able to have a car to the value of $7,500 in equity. So simply put if you have a $20,000 car with a $20,000 car loan connected 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 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 complex area of Bankruptcy, if you have questions about assets because you are checking out Bankruptcy phone us here at Bankruptcy Experts Maitland on 1300 795 575, or visit: www.bankruptcyexpertsmaitland.com.au
Your home may also be of concern for you, because you may have the chance to keep your house and still declare bankruptcy, When it concerns Bankruptcy though there is certainly a lot of opposing information out there, so do some online research and ensure you actually know what is going to happen. Give us a call if you would like to know more about houses and Bankruptcy in Maitland.
The bottom line with bankruptcy and international travel is easy. If you get the best advice and apply for bankruptcy properly to begin with, then you will not have an issue going overseas as frequently as you want while you are bankrupt.
The process is a simple 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 Maitland on 1300 795 575, or visit: www.bankruptcyexpertsmaitland.com.au