It can be stressful when faced with repossession from the courts. Even then do not worry since you will not end up penniless or homeless since you have filed for personal bankruptcy. Keep on reading for more tips, if you wish to learn more about how you can file a claim.
Avoid getting an attorney for the bankruptcy when you are under pressure. You need to be calm when you engage a lawyer. Besides, it is expected that you pay for the services. Determine upfront the amount you are to pay the lawyer prior to engaging one.
Though it may be tempting, avoid running up credit cards just before you file for bankruptcy. In many instances, some people buy expensive items, such as appliances, jewelry, and furniture just before they realize they have to declare themselves bankrupt. Oftentimes, they still will be held responsible for repaying this debt.
You also need to go through a financial evaluation. Since the set of laws concerning the process are constantly changing. Therefore, be sure you talk to an attorney as you will get help in navigating the process.
Filing For Bankruptcy
You should not feel guilty or embarrassed as you file for bankruptcy. Most Singaporeans concerned that they might be looked upon as second-class citizens once file for bankruptcy. Even so, it is not so. The choice to file for bankruptcy was established by the Singaporean government. This allows help to be offered to those who find themselves being overwhelmed by debts yet want a chance to start over.
In 2013, more than 1.4 million Singaporeans filed for bankruptcy and most of them are currently leading a happy, yet debt-free life. Therefore, you need not be afraid of the bankruptcy stigma.
Before filing for bankruptcy, ensure that have all the essential documentation and financial information is ready. Your attorney will require access to all financial information as well as other important documentation, for them to prepare your petition. The information should include an elaborate list of all the monthly expenses, bank statements, details about any property that you own, and any documents concerning ownership of a car or a house.
Once you complete filing for bankruptcy, you will need to work towards re-establishing your score. Remember that 35% of the score is worked out using your payment history. Make sure you make your payments promptly since you will need to fight the bankruptcy record on your history for ten years to come.
Singapore has bankruptcy attorneys who are exclusively responsible for looking at laws related to this kind of claim. You need to realize that not all people who file for bankruptcy are poor or irresponsible, therefore you should not feel bad!
Which Debts Will Not Be Cleared
After an individual or a business has been discharged, almost all debts including any personal loan will get removed apart from cases of alimony, child support, student loans, fraud debts and court fees.
What Can I Expect Throughout The Filing Process In Singapore
- Counseling Sessions
The counseling sessions often are done in your trustee’s office. Your bankruptcy trustee can help their client in finding out the reasons behind their bankruptcy. They will then start instructing on preventative methods to help you avoid financial difficulties in future.
- Your Bankruptcy Trustee Prepares a Report For The OSB.
Your bankruptcy trustee will identify your activities and might recommend a discharge. Immediately after your discharge has been granted, you will have a distributed copy. The option of declaring bankruptcy is considered as the last solution if your finances have spiraled out of control.
In taking the time to understand the process, and opting for the help of an experienced trustee. A bankruptcy candidate will be better prepared for this process. They will also be ready for the steps to follow for the 9 months ahead.
How Can I Pay Off The Debt
One major role of the bankruptcy trustee is to provide their clients with 1 monthly payment. The specific debtor is then to pay the cash towards the bankruptcy trustee. They, in turn, pay the actual moneylenders. The trustee goes over their client’s contribute and revenue factors, such as family expenditures. They thereafter calculate a monthly total.
Your specific bankruptcy trustee can talk to your creditors and explain your financial circumstances. The moneylenders can certainly present guidelines to your trustee regarding the repayment. However, this is not a usual part of approaching the bankruptcy for a debtor. This is because declaring bankruptcy will separate the debtor from their moneylenders.
On many occasions, this specific meeting is often done between your trustee and your creditors. Some people will go to licensed moneylenders to take out emergency funding like a personal loan. More so when they are cannot pay off their monthly amount promptly since they are cannot access a personal loan offered by banks for a rather long period.
How Long Will Bankruptcy Remain On Public Record
When you have paid off fully your target contribution within 7 years. You can have your name removed from Singapore’s public record that is 5 years after the discharge. If after 7 years, you, however, have not repaid fully your target contribution. A debtor can still qualify for a discharge, however, their name will stay on the public record for good.
Can I Apply For a Discharge From Bankruptcy
You have to go through an official Assignee, in order for you to apply for discharge from bankruptcy. Then you will be able to send an application to the Court for a discharge order. When the Court considers that you are capable of repaying your target contribution.
Remember that the tips mentioned in this article, as you will know how to go about the situation with confidence.