If you have received a local or district court judgment it is possible that the creditor chasing you for payment can apply to the Official Receiver (an official Officer employed by the Insolvency and Trustee Service Australia for a bankruptcy notice to be issued against you. A bankruptcy notice is a formal notice issued under the Bankruptcy Act.
If you ignore a bankruptcy notice the creditor chasing you for payment can then apply for a bankruptcy petition (formally known as a Creditors’ Petition) to be registered with the Bankruptcy Court. The Bankruptcy Court will list the matter for hearing and unless you pay the debt (in full) before the court hearing you will most likely become bankrupt on the day of the hearing.
You may be able to stop a creditor from forcing you into Bankruptcy by proposing a Debt Agreement or a Personal Insolvency Agreement.
Call Debt Free toll free to see if we can help you avoid Bankruptcy. We'll discuss your situation in a stricly confidential and empathic manner. Our debt advice professionals will discuss your needs free of charge and without obligation.
