Bankruptcy is a legal process that can help people who are unable to pay their debts. It is governed by the Bankruptcy Act and administered by a registered trustee.

How long does bankruptcy last in Australia?

Most bankruptcies last for three years and one day, although obligations can continue in certain circumstances.

Can I keep my car if I go bankrupt?

In many cases yes. Whether a vehicle is protected depends on its value and your specific circumstances.

Can I travel overseas while bankrupt?

You generally need permission from your trustee before travelling overseas while bankrupt.

Will bankruptcy affect my credit file?

Yes. Bankruptcy is recorded on your credit file and the National Personal Insolvency Index.

Can I own a house while bankrupt?

Property ownership during bankruptcy depends on the equity held and ownership structure.

What happens to my income during bankruptcy?

You may need to make income contributions if your income is above the relevant threshold. The amount depends on your income, dependants and circumstances.

Who manages my bankruptcy?

A registered trustee manages the bankruptcy, deals with creditors, reviews assets and income, and explains your obligations during the process.

How do I apply for bankruptcy?

You can apply for bankruptcy by completing the required forms through a Registered Bankruptcy Trustee like Aravanis or through AFSA. Aravanis can explain the process and help you understand whether bankruptcy is the right option.

Bankruptcy Archives

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Bankruptcy and What’s Changed Since COVID-19

In an attempt to help individuals and businesses caught up in the economic fallout of the Coronavirus (COVID-19), some important temporary changes have been made to Australian Bankruptcy laws. ...

Bankruptcy stays on a credit file for 5 or 7 years?

Bankruptcy stays on a credit file for how long? We recently ran a Facebook poll on this very question. While we’re happy to report that 76% of people knew the answer, 1 in 5 people were still ...

Personal bankruptcy vs Business bankruptcy – What’s the Difference?

What is Personal Bankruptcy? In Australia, people sometimes use the term Personal Bankruptcy, as if there’s a separate type of bankruptcy for companies. SPOILER ALERT: There isn’t. Instead, we ...

Bankruptcy NSW – the numbers are in and they’re up

While the numbers for Bankruptcy NSW rose during 2018, the east-coast state isn’t alone According to the Australian Financial Security Authority (AFSA), the numbers for Bankruptcy NSW are ...

Tradies and tax debt… what you need to know!

In a recent article published by service.com.au, I spoke about some of the common pitfalls faced by tradespeople and self-employed people when running a business. Something I’ve learned ...

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