North Adelaide Debt & Bankruptcy Lawyers

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Bankruptcy applies to individuals, while liquidation is the process of winding up a company's affairs.;Both processes involve selling assets to pay creditors, but the legal implications and procedures differ.

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Each type has different eligibility criteria and legal implications for the debtor.

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Protected assets typically include household goods, tools of trade, and a limited amount of equity in your home.;Certain personal items and a vehicle with limited value may also be protected from seizure.

Ask a Debt & Bankruptcy lawyer in North Adelaide

Bankruptcy significantly impacts your credit rating, making it difficult to obtain credit in the future.;The record of bankruptcy remains on your credit report for up to five years or longer in some cases.

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You can travel overseas while bankrupt, but you must obtain written permission from your trustee.;Failing to get permission can result in penalties, including extending your bankruptcy period.

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Bankruptcy usually lasts for three years and one day from the date it is declared.;In some cases, the bankruptcy period can be extended up to eight years if the trustee determines misconduct.

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Consequences of bankruptcy include loss of assets, impact on credit rating, and restrictions on obtaining credit.;You may also face limitations on running a business and certain travel restrictions.

Ask a Debt & Bankruptcy lawyer in North Adelaide

To declare bankruptcy, you must complete and submit a Bankruptcy Form to the Australian Financial Security Authority (AFSA).;It is advisable to seek legal or financial advice before proceeding with a bankruptcy declaration.

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A bankruptcy trustee is responsible for managing your bankruptcy, including selling assets and distributing proceeds to creditors.;The trustee also investigates your financial affairs and ensures compliance with bankruptcy laws.

Ask a Debt & Bankruptcy lawyer in North Adelaide

Debt agreements can be an alternative to bankruptcy, allowing you to pay back a portion of your debts over time.;Entering into a debt agreement requires the approval of your creditors and can avoid the need for bankruptcy.