If you are staggered by debt and you are investigating at Bankruptcy, there are 3 consequences you need to think about to start 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 important when it concerns Bankruptcy because If you do not give from your salary like you are supposed to, the repercussions are severe, your bankruptcy may be increased until you do re-pay the demanded level.
There are some factors with this aspect of your income though, to start with if you pay any child support that comes out of your income first, so in other words your net income will be calculated once you pay your tax and after that child support, what remains 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 in the hand every week.
If one partner in a relationship is bankrupt the non-bankrupt partner is able to earn any income simply because it’s not factored into the equation.
If you are self-employed or your income level is up and down the figure will be determined annually and not weekly. 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 probably simpler to picture it this way: Your household belongings are not going to be impacted. The assets that you will lose will be significant 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 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 case it’s the equity or the difference between the loan and the value of the car. But I don’t want 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 give us a call here at Bankruptcy Experts Fremantle on 1300 795 575, or visit: www.bankruptcyexpertsfremantle.com.au
Your house may also be of concern for you, since you may have the chance to keep your house and still file for bankruptcy, When it concerns Bankruptcy though there is definitely a lot of opposing information out there, so do some groundwork and see to it that you actually understand what is going to happen. Give us a call if you would like to know more about houses and Bankruptcy in Fremantle.
The bottom line with bankruptcy and overseas travel is easy. If you get the best advice and declare bankruptcy properly to begin with, then you will not have a worry going overseas as often 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 Fremantle on 1300 795 575, or visit: www.bankruptcyexpertsfremantle.com.au