The word “Bankruptcy” can conjure up all sorts of bad ideas and stigma but truth be told, bankruptcy can be one of the most liberating and wonderful experiences you can have. As a process specifically designed to alleviate the stress and pressure of crippling financial debt it is designed to help stricken individuals find a new and fresh start. Let us explain the importance of bankruptcy debtors petition.
Yes, bankruptcy does have some consequences to the individual but to many who find themselves overwhelmed by the burden of debt, the consequences are far outweighed by the sense of relief a new start offers.
Understanding of the process of bankruptcy coupled with expert assistance will allow you to make an informed decision on your current financial situation, so why wait. Enquire now.
Bankruptcy can happen a number of ways buit the two most common are:
- Being pushed to bankruptcy by your creditors
- Voluntarily declaring bankrupt
Obviously being pushed to bankruptcy can be a very harrowing experience. In order for a creditor to push you into bankruptcy you are required to go through the federal court system and it can often be a long and overwhelming process, ending in a creditors petition to have you declared bankrupt.
Alternatively, you can avoid the courts and the harrowing experience and simply declare yourself bankrupt by voluntarily presenting a Bankruptcy Debtors Petition. If this is what you wish to do then contact us and we can help you through the process.
The First Step
Taking your first step to a fresh start can be a little intimidating.
A bankruptcy debtors petition is an application submitted by a debtor (you) to the Australian Financial Securities Authority (AFSA) to declare that you are personally insolvent and cannot pay your debts. On court’s approval, the application is accepted, and the process of Bankruptcy begins.
Along with this petition, you must disclose information to your appointed trustee in the form of what is called a Statement of Affairs (SOA). This gives details of all your debts, all your assets and a lot of other information that must be correct and accurate. Completing this form incorrectly can result in dire consequences and this is why many people use the services of My Bankruptcy, to ensure they obtain the best possible outcome to their application and that the application is complete and correct.
Types of Bankruptcy Petition
A bankruptcy debtors petition can either be voluntary or involuntary. When a person wants to declare himself as bankrupt, it is known as debtor’s petition. On the other hand, when a creditor seeks to file for bankruptcy, it is known as creditor’s petition.
Creditor’s Petition
If you are forced to declare bankrupt by someone you owe money to a bankruptcy debtors petition is may be enacted by the Federal Court per the creditor’s request.
Creditors can be individuals or groups that a debtor owes money to. However, you cannot be made bankrupt for a debt less than $5000. However, this can be made up of a small number of creditors acting jointly.
My Bankruptcy, Your Guide to Financial Freedom
My Bankruptcy is a provider of debt solutions to individuals and business in Australia. We operate in the areas of Queensland, New South Wales, Australian Capital Territory, Victoria, South Australia, Western Australia, and the Northern Territories. You may reach us through 1300 255 059 or send an email to steve@mybankruptcy.net.au if you have problems in personal insolvency Australia.
We might be the help that you need. Don’t take any risks and work with us today! Learn more on how to claim bankruptcy here.