Paving new paths: How to move on from bankruptcy

When you’ve filed your bankruptcy paperwork, it gives you the ability to set a whole new take on life, provided you go about it the right way. In this post, we’ll highlight all the ways you need to set yourself up for success, so you can reap the benefits of your fresh start.

What happens when you go bankrupt in Australia?

If you have any outstanding utility bills or are behind on rent, bankruptcy does protect you in these instances, but it may not be best for you to leave them unattended altogether. This is because, either way, you need these aspects – not to mention a roof over your head – to establish and live your best life.

If your past bills aren’t up to date, getting services connected in the future will be an issue for you. As for rent, keeping on top of this will ensure you’re able to be approved for a property when and if the time arises.

While it’s not always the case, some providers do consider payment history an important part of their decision-making process. It may just be the make or break to your application. For this reason, it’s also encouraged that you speak to one of our experts to understand the differences between debt agreements vs. bankruptcy.

This is exactly why we recommend that, if you’re considering bankruptcy as the answer to your current financial circumstances, you carefully consider how your future may pan out. Settling old bills that have a part to play in your new life is important to get the most protection moving forward.

But it’s not just utility and rent payments that you’ll need to resolve. Any outstanding parking tickets or speeding fines and road tolls should also be taken care of. These are all included in what’s called a ‘bankrupt estate’ and if you don’t pay them, you might even have your licence suspended. This can significantly impact the new, fresh life you’re looking to take on.

Ultimately, filing for this kind of change in your life should be about positives and creating new paths that progress you further, not take you backwards. At Understanding Bankruptcy, we help you take on the best possible approach to this new phase in your life.