3 questions to ask yourself before declaring bankruptcy
If you can't pay off your debts in 3 or less years comfortably then bankruptcy could be an option for you.
1. Can you pay off your current debts within 3 years?
Most of the time no - you don't, however it depends on your net income - if it's above $59,000 pa (after tax) enquire.
2. Do I need to make income contributions once bankrupt?
If you have a car under $8,000 you're safe. If you own a house it's more complicated. It all comes down to how much equity you have in the house.
3. Do I have any assets I can lose