christhelawyer : HiWelcome to JustAnswer. My first response will follow shortly. Please feel free to follow up if anything is not clear
christhelawyer : Bankruptcy may well be the best answer because all your debts will be written off.
christhelawyer : There are consequences which you should be aware of. The hire purchase company may repossess your car, but may not if the payments are kept up. If you have a mortgage and a house this may also affect your ownership.
christhelawyer : The details for bankruptcy are as follows
christhelawyer : This is normally a three year procedureYour credit rating can be affected for up to seven yearsThere are several responsibilities and restrictions during bankruptcyYour assets could be sold
christhelawyer : Responsibilities During bankruptcy you must:Cooperate fully with the Official Assignee at all times. This may include requests for information.Notify the Official Assignee whenever you change your:Name (for example, on marriage)AddressEmploymentTerms of employmentIncome and/or expenditureNotify the Official Assignee if your financial circumstances change.Continue to file tax returns if required (this remains the tax payers responsibility) | Read more. Restrictions During bankruptcy you must not:Be a director of a limited liability company.Withhold information or mislead the Official Assignee.Incur credit of more than $1,000 without making the creditor aware that you are currently bankrupt (this should be done in writing to avoid any misunderstandings)Conceal assets.Stop, attempt to stop, or hamper the Official Assignee dealing with any property or assets. During bankruptcy you must not without first gaining consent:Leave New Zealand Enter into, carry on, or take part in the management or control of any business | Learn more.Be employed by a relative or entity owned, managed, or controlled by a relative |
christhelawyer : The best reason is that you can make a fresh start without the burden of the debt.
So, sounds like I will stay without work for 3 years because no one will want me? And I will not aloud to work for my family member?
christhelawyer : You can still work, and work for family. It isn't regarded as being criminal, but just a bit of bad luck. What sort of job would you look for?
My business was online fashion sales
and i have hobbies like modeling and acting
christhelawyer : Many who apply for bankruptcy find it takes a lot of stress off you. And in any event, Inland Revenue may force you into bankruptcy anyway if you cannot pay, so starting the 3 years sooner is better.
Will you suggest me to keep paying my current debts for personal loans and credit cards?
and if someone will come to re-possess my personal things, will it include my laptop, or fridge?
generally, to whom i can say : I'm a bankroupt now so will not pay my debt?
Hello?? Are you here?
christhelawyer : If you are made bankrupt the Official Assignee will let you keep your household effects like the laptop and fridge and clothes etc. but you want have to pay the other debts, although you will not be allowed a credit card until after the 3 years. The bankruptcy is a matter of public record so you don't generally have to tell people
do I have to tell about it to banks?
christhelawyer : yespeople yes, although the debt to them will be written off too.
christhelawyer : Sorry typo there ignore the first two words
if i'm now using debit card, not credit card, will it be cancelled as well?
christhelawyer : The insolvency regime prohibits you obtaining credit, so a debit card does not offend against this restriction. You are just spending money which you have rather Han on credit.
at least something easy...
Should I stop re-paying for my other bank credit card as i will inform them that I'm a bankrupt soon anyway?
christhelawyer : If you intend applying soon, then you might as well