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Bankruptcy Bunbury

ATO Debts Becoming Unmanageable? Notice to all ABN holders, your ATO Debts may now harm your credit rating. Beware of ATO Bankruptcy!

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There is sad news for business owners who have an ATO debt from 1 July 2017. Small businesses will want to be careful of ATO Bankruptcy since the ATO may divulge information of your tax debts to credit reporting agencies such as Veda Advantage and Dun & Bradstreet. This will make it much more arduous for small businesses to attain credit, potentially incapacitating them. How could this affect you? You may be affected if you fit into one of the following three categories:

  1. Have an ABN (i.e. you own a business and/or you are a contractor);.
  2. Have past debts with the ATO that are above $10,000 and are more than 90 days overdue; and.
  3. You are not in any type of payment arrangement with the ATO.

Just so you’re aware, the ATO must first notify you before they unveil your debt information to any credit agency.

If your ATO debts seem to be getting out of control and you don’t want your credit rating tarnished then you have at least one usable option: Set up a payment arrangement with the ATO. This may prevent you from ATO Bankruptcy.

Conversely, if you think there is simply no hope or the ATO is threatening legal action against you because of your unsettled ATO debts, then bankruptcy may be a practical option for you. If you would like to know more about ways to get out from under the debilitating burden of business or personal debts, just phone us here at Bankruptcy Experts Bunbury on 1300 795 575 or visit our website for more details: www.bankruptcyexpertsbunbury.com.au.

What Stays On Your Credit Report And For How Long1

What Remains on Your Credit Report And For How Long?

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A credit report is a comprehensive document that contains your history with creditors and has a considerable effect on your future financial capabilities. Having a ‘good’ credit report is conventional so long as you pay your bills and debt repayments in a timely manner. On the other hand, overlooking a repayment on a bill or debt repayment can cause considerable issues if you want to acquire credit again in the future. In recent years, the rules have been remodelled to place a greater significance on desirable history such as paying your bills on schedule, but overwhelmingly, credit reports are utilised as a way for creditors to assess your abilities to repay a loan by checking for any financial errors you’ve made in the past. If you have made some financial mistakes, how long does this information remain on your credit report? What types of financial oversights are more notable than others? This post will look at these questions to give you a better understanding of how these documents work.

 

What Do Credit Reports Entail

The following will detail the kind of information that is usually found on your credit report:

Personal Information such as your name, address, DOB and driver’s licence details

Joint applicant details if you’ve secured credit jointly with another person

Credit card information

Arrears brought up to date, for instance, any overdue or unpaid debts that have since been paid

Defaults and other infringements such as missed minimum credit card repayments and loan repayments which are more than 60 days overdue

All credit applications

Debt agreements for example bankruptcy, personal insolvency, and court judgements

Repayment history which is perhaps the most key factor of your credit report. It covers all credit accounts like home loans, car loans, personal loans and credit card loans. Any missed repayments will feature information such as the due date, paid date, amount, and any part payments if applicable

Commercial credit applications such as any business or commercial loan applications

Report requests which lists all the financial institutions who have previously requested a copy of your credit report1

 

Credit Report Defaults

Defaults with creditors will be noted on your credit report and will affect your capacity to attain credit down the road, so it’s essential to understand what constitutes a default on your credit report. If you cannot make a repayment on a debt, your loan provider has the ability to report your debt to a credit reporting agency who will then register this information on your credit report. But, loan providers can only do this if the following conditions apply:

The default amount is equal to or more than $150;

You’re a ‘confirmed missing debtor’ or ‘clearout’ which suggests the lender cannot contact you because you have changed your telephone number and address;

The debt is equal to or more than 60 days overdue; and

The lender has requested you to pay the debt by either sending you written notice in the mail, or by asking you over the phone1

Your financial institution must advise you of any intentions in lodging a report prior to doing this. Generally, your contract or service agreement will detail when a default can be made and reported to a credit reporting agency.

 

How Long Does A Default Stay On My Credit Report

For the most parts, a credit default will remain on your credit report for five years, but if a loan provider cannot contact you because you’ve changed your telephone number and address (also known as ‘clearout’), the penalties are more harsh and the default will remain on your credit report for 7 years. It is necessary to keep in mind that even when you do settle an overdue debt, the default will nonetheless remain on your credit report, however the status will be updated to show that the debt has been repaid. Whenever you apply for a loan, the creditor will always check your credit report first and if there are any defaults, the lender can reject such loan applications. If this is the case, the lender must notify you that your application has been rejected based on your bad credit report.

As you can see, credit reports are serious documents that can considerably impact your borrowing capacity and financial flexibility. In the majority of cases, credit reports are either a pass or a fail, so any default, regardless of how big or small, will be specified on your credit report for five years. Although there are measures to improve your credit rating (for example paying your bills on time), loan providers are really only interested in any defaults on your credit report and can reject a loan application based on a single default. If anything, this article highlights the importance of paying your bills and debt repayments in a timely manner, so if you find yourself with any financial complications and can’t pay your bills by their due date, talk with Bankruptcy Experts Bunbury on 1300 795 575 for help, or visit their website for more information: www.bankruptcyexpertsbunbury.com.au

 

Sources:

https://www.moneysmart.gov.au/borrowing-and-credit/borrowing-basics/credit-reports

 

What Is It Like To Go Bankrupt

What Is It Like To Go Bankrupt?

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There’s no doubt that bankruptcy isn’t the ideal situation to be confronting. There are some severe financial repercussions involved and it’s a very difficult and stressful process that will affect you financially for a couple of years to come. Finding yourself in mountains of debt can develop faster than you think, and many individuals find themselves in this situation due to a variety of factors. Not having the ability to work resulting from illness is one of the most frequent reasons why people file for bankruptcy. It’s not as if they had any control over the situation, but being unable to repay their debts due to the fact that they have no income is the hard reality they must face. In reality, 7,900 people in Australia filed for bankruptcy in the March 2017 quarter1, so it’s not as unusual as some people think. If you ask me, I think that bankruptcy is neither good nor bad. Indeed, those who declare bankruptcy have made some poor financial decisions and will reprimanded as necessary, however declaring bankruptcy is also the first step to financial freedom. A great deal of folks struggle for years just to make ends meet, while their debts keep worsening, so in many cases, bankruptcy is an opportunity for a fresh start for individuals that are unable to repay their debts.

Though I’ve never been bankrupt personally, I’ve witnessed the journey of many people who have and surprisingly, lots of people are better off and glad they went through the process. If you’re enduring financial distress and thinking about bankruptcy, this post will explain what life is like after you file for bankruptcy.

 

You Won’t Be Completely Debt Free By Filing For Bankruptcy

Bankruptcy is considerably complicated, and there is a general misconception that all debts are removed by filing for bankruptcy. This is certainly not the case. There are various debts that won’t be eliminated, including Centrelink debts, HECS debts, child support, court imposed fines (for example speeding tickets), as well as money that is owed to an insurance provider resulting from a car accident where you were uninsured and liable. On the other hand, declaring bankruptcy will clear debts such as credit cards, GST and tax, and unsecured personal loans. The fact is, you will still have debts to pay after you declare bankruptcy, but the most notable debts in many cases, such as credit cards, will be cleared.

 

Feelings Of Guilt And Shame Are Regula

Bankruptcy is a taxing process and many individuals who declare bankruptcy have feelings of regret and shame; as if they’ve lost in life. This is quite regular, however it’s important to overcome these emotions because the truth is, humans make errors, and bankruptcy is a way that you can go back to square one financially and get your life back on track. The sooner you recover from these feelings of self-loathing, the sooner you’ll be able to begin the recovery process and work out a plan of how you’re going to repay your outstanding debts and rebuild your credit rating. Bear in mind, bankruptcy lasts for three years and after seven years, it will no longer appear on your credit rating, so it’s definitely not the end of the world.

 

You Can’t Borrow Any Money For Three Years

Unfortunately, by filing for bankruptcy you won’t be able to borrow any money under any circumstances for three years. During this time, it’s crucial that you start rebuilding your credit report by maintaining a regular income and paying your bills and outstanding debts on time. It’s simple but effective. After this three-year process, you become a discharged bankrupt and will have the opportunity to secure loans for secured assets like houses and cars, but your interest rates will be much higher because of your poor credit report. Though it’s not always advisable to acquire loans straight away, it is possible. After seven years from the time you became bankrupt, your credit history will be clean, and you will have the chance to obtain all types of loans again at competitive rates.

Life after filing for bankruptcy surely isn’t easy, but the emotional relief that most people experience after beginning the process certainly softens the blow. There are some serious financial consequences involved, but filing for bankruptcy is the first step towards financial freedom and securing a bright future for you and your family. If you’re dealing with financial hardship, it’s always best to seek professional advice sooner rather than later. Whatever you do, don’t keep struggling financially for years because you fear the stigma connected with bankruptcy. It’s challenging, but it’s also not the end of the world. If you ‘d like to talk with someone about your financial position, get in touch with Bankruptcy Experts Bunbury on 1300 795 575 for a confidential discussion, or alternatively visit their website for more information: www.bankruptcyexpertsbunbury.com.au

 

Sources:

https://www.afsa.gov.au/statistics/personal-insolvency-statistics-0

 

Bankruptcy in Australia - What To Understand about Debt Collection 1

Bankruptcy in Australia – What To Know About Debt Collection

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Many individuals deal with financial difficulties at some time in their lives, and most of these people are probably familiar with debt collectors. A debt collector is an individual whose job is to collect debts on behalf of a firm. A debt collector can either be an employee of an organisation you owe money to, or they can be a 3rd party servicing a lender. As you can envision, it’s not an easy task to squeeze money out of people who simply don’t have any. It would be fair to say that many people in debt are already strained about their financial difficulties, and other people phoning them to remind them of this doesn’t always end well. As a result, debt collectors have a lot of adverse connotations. There have been a large number of cases of individuals being harassed by debt collectors so it’s imperative that people who are being contacted by debt collectors understand their rights and how to handle these types of interactions.

 

Learn about Your Legal Rights.

Understanding what debt collectors can and can’t do is vital in having the capacity to suitably manage any interactions you may have with them. Under Australian Consumer Law, a debt collector must not:

Use any physical force or coercion (forcing you to do something).

Hassle or harass you to an unreasonable extent.

Mislead or deceive you (or attempting to do so).

Take advantage of people that are vulnerable, disabled, or have any other similar circumstances affecting them.

Not only do these laws relate to a debt collector’s behaviour towards you, but also your partner or spouse, family members, or anyone else connected with you. If you find yourself in a situation where a debt collecting is breaking these Laws, make a formal complaint to the Australian Competition and Consumer Commission (ACCC)1.

 

How And When Debt Collectors Can Contact You.

It’s equally useful to understand how and when debt collectors can contact you. They can do this by phone, mail, emails, social networking sites or by seeing you in person. Whenever you have communications with debt collectors, it’s vital that you maintain a record of such interaction including the time and date of contact, the methods of contact (letter, phone, person), the debt collector’s name and business name, and what was said during the correspondence. It’s also crucial to note that debt collectors must respect your right to privacy and providing your financial info to another party without your authorisation is breaking the Law.

 

The Australian Consumer Law also specifies that:

Debt collectors can only make up to three phone calls or letters per week (or 10 each month).

Debt collectors can only phone you between 7:30 am and 9pm on weekdays and 9am to 9pm on weekends.

Debt collectors can only make face-to-face contact between 9am and 9pm on weekdays and weekends, once a month, and can only visit you if you haven’t answered any of their previous attempts at communication.

There is to be no contact from debt collectors on national public holidays.

Debt collectors must be reasonably sure that if they contact you electronically (social media or email), that your account is not shared with another person and their correspondence can not be seen by anyone but you.

If you do agree to meet a debt collector in person, any threats of assault or violence should be reported to the police immediately1.

 

Know What Options You Have.

A debt collector’s job is not to be warm and give you a series of debt relief options. Their task is to urge you to repay as much of your debt as possible, as quickly as possible. So, the best thing to do is to have an understanding of what your debt relief alternatives are. You can conduct some research on the net to find what options you have or you could seek professional debt management advice (most firms will offer free advice in the beginning). Once you recognise what alternatives you have, you’ll be more confident in dealing with debt collector’s threats or demands, or any other collection tactics. If you don’t understand what your options are, it makes the job of the debt collector much simpler by being able to govern the interaction and advising you of what alternatives you have, whether they’re true or not.

It’s always a tricky situation when you come into contact with debt collectors. Their job is difficult, and they’ll use any means possible for you to repay your debt since the quantity of debt you repay and how fast you repay it determines the commissions that debt collectors receive from creditors. The best way to deal with interactions with debt collectors is to understand your legal rights, when and how they can contact you, document all communications, and understanding what debt relief choices you have. If you’re aware of these points, then it will notably improve your communications with debt collectors and hopefully won’t add additional stress to your current financial predicament. If you need any advice about what debt relief options you have, talk with the professionals at Bankruptcy Experts Bunbury on 1300 795 575 or visit their website for more details: www.bankruptcyexpertsbunbury.com.au.

 

Sources.

https://www.accc.gov.au/consumers/debt-debt-collection/dealing-with-debt-collectors.

 

4 Types Of People Who Have Money Issues

Four Types Of People Who Have Money Problems

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When it comes to money, a person’s personality represents a substantial role in their financial decision-making. Every person is unique, and that’s what makes us human, so it really shouldn’t come as a revelation that there are certain types of personalities that are more likely to have money concerns than others. It’s tough to reshape your personality traits, particularly when you’re older, so simply being aware of how your personality has an effect on your financial decisions can help you make better financial decisions in the future. It’s definitely an important topic to understand, as money problems can intensify quickly and you can find yourself in hot water within the blink of an eye. This article will look into 4 different types of personalities whom are more likely to have money challenges, in conjunction with some suggested ways to improve your financial situation if you fall into one of these personality classifications.

 

The Risk-Takers

Fiscally speaking, the higher the risk the higher the reward, but the odds of experiencing high risk success is significantly low. Some people are born as risk-takers, others develop this personality trait with time; but the majority of the time, it’s the thrill of the risk that these types of people take pleasure in. Statistically, the odds of financial success for the risk-takers are low, so it is crucial for these types of people to diversify their risks to increase their probability of financial success. These individuals can make high-risk investments, but they can’t put all their eggs in one basket. A mixture of high-risk and low-risk investments will drastically improve their financial future.

 

  1. The Spenders

Regardless if they’re wealthy or not, the spenders are the types of folks who live life to the fullest without taking into consideration the financial implications of their decision-making. Whether they’re spending money to have a good time, look good, or to simply please others, the spenders are more likely to incur massive amounts of debt which can take a long period of time to repay. Subsequently, their likelihood of financial success are noticeably impaired. Saving money is the key to financial success, so to avoid overspending, the spenders need to consider forming a budget to monitor their spending habits and at the same time, review the triggers that cause them to spend their money in the first place. Confronting the triggers that cause these types of people to overspend is the key to resolving the issue.

 

  1. The Ignorants

The ignorants are usually the type of individuals that are financially uneducated and have no interest in improving their financial skills. The ignorants may have a similar rationality to the risk-takers in that they want to ‘live life to the fullest’ and consequently, spend all of their money and find themselves in debt. It’s critical that individuals with this personality trait learn the value of money and how it can be used to provide a better future. Instead of thinking about now, they should attempt to think about how spending their money now will have a bearing on their future. Take an interest in learning how to budget by reading online blog posts and articles. Who knows, they might actually enjoy it?

 

  1. The Pessimists

In bleak contrast to the risk-takers, the pessimists typically pass up on opportunities to make money simply because they’re afraid they won’t succeed. When it involves large investments like purchasing a house or investing in the stock exchange, the pessimist will avoid taking any risks for fear of losing their hard-earned money. The issue with the pessimists is that by avoiding all risks, they will feel more protected, and this will hinder their chances of financial growth and success. A good solution for the pessimists is to diversify their investments in a wide-range of markets to make sure they have a well-balanced portfolio that is low-risk and offers an opportunity for a good return.

There are undoubtedly many other personality types than the ones specified above, however these are perhaps the most common personality traits that restricts financial growth and can result in money issues. In today’s world, money is without question extremely important not only for survival, but also to be able to enjoy the only life we have. Just because you have particular personality traits doesn’t signify that you can’t modify some of them in time to be more financially responsible. If you need any support with your finances, or you’ve found yourself facing a mountain of debt caused by overspending, phone Bankruptcy Experts Bunbury on 1300 795 575 for assistance, or visit www.bankruptcyexpertsbunbury.com.au for more information.

 

What Is Debt Consolidation

What Is Debt Consolidation?

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All of us have seen the plethora of debt consolidation ads on TV. There is a great deal of competition in the debt consolidation market because sadly, lots of individuals are struggling financially and these companies provide much needed financial relief. Home loans, car loans, credit cards; individuals can obtain loans from a vast range of lenders for practically anything these days. The problem is that all these loans are tough to manage and if you fall behind in your monthly repayments, you can end up in a lot of trouble.

The idea behind debt consolidation is that you can bring all of your existing debts together and consolidate them into one, easy to handle loan that is simpler and gives you a far clearer picture of your financial future. For a number of people, there are a range of advantages in consolidating your debts, and this article will explore debt consolidation in detail and the benefits they provide to give you a better understanding if debt consolidation is a good choice for your financial condition.

 

The Basics

Debt consolidation enables you to pay off all your current debts with a new loan that generally has different (and in many cases more appealing) interest rates and terms and conditions. There are a couple of reasons that individuals use debt consolidation services.

 

High-Interest Rates

All loans have varying interest rates and terms and conditions, however, credit cards likely have the highest interest rates of all loans. While credit card companies often have a no interest period of about one or two months, the interest rates after this time can rocket up to 25% or higher. If you find yourself in a position where you’re paying 25% interest on your credit card loans, it’s highly likely that your debt will grow much faster than you’re able to pay it off. Typically, debt consolidation can provide lower interest rates and better terms, which can save you a considerable amount of money in the long-run.

 

Too much confusion with multiple loans.

When you have a wide range of debts with varied interest rates and minimum repayments that are due at different times, there’s no question that it can be problematic to manage and can become confusing at times. This increases the probability of forgeting a repayment which can give you a poor credit rating. Debt consolidation substantially helps in this situation by combining all of your debts into one which is far easier to take care of and gives you a clearer picture of when you’ll be debt free.

 

High Monthly Repayments

When people are dealing with multiple debts, it’s difficult to manage your cash flow as a result of the high minimum repayments required for each debt. In addition to this, different debts have different repayment dates and this can cause individuals to struggle just to make ends meet. If you miss a repayment because you simply don’t have the money in the bank, your interest rates are likely to be increased, you can get a poor credit report, and your financial position can go south particularly quickly. Debt consolidation loans provide one repayment each month, and you can negotiate your monthly repayment amounts depending on the length of time you wish your loan to be.

With that being said, if you’re interested in consolidating your debts, it’s crucial that you conduct appropriate research to find the best debt consolidation interest rates and terms and conditions. You’ll find a vast range of debt consolidation companies, some are good, some are bad, and some are straight-out predatory. First and foremost, you’ll want to pick a debt consolidation company that has lower interest rates and fees than all your current debts. You’ll also want to assess the terms diligently. A number of consolidation loans can be secured against your home or other assets, and you may be required to pay extra fees such as application fees, legal fees, stamp duty and valuation. The truth is, there is a great deal of research that needs to be done before you can figure out if debt consolidation is the right option for you.

As you can clearly see, there are a lot of benefits associated with debt consolidation for individuals that are struggling financially. Lower interest rates and fees, lower monthly repayments, and less confusion with multiple debts can save you loads of money in the long-run, and it’s most likely better for your psychological wellbeing too. This article isn’t meant to encourage you to consolidate your debts, as it all depends on your financial position. Due to the complexity and the many variables to consider, it’s highly recommended that you seek professional advice so you can at least get an idea of what option is best for you if you’re experiencing financial adversity. In some scenarios, declaring bankruptcy is a better alternative, so before you make any decisions about your financial future, get in touch with Bankruptcy Experts Bunbury on 1300 795 575 or visit their website for additional information: www.bankruptcyexpertsbunbury.com.au

 

What Happens After You Declare Bankruptcy

What Happens After You File For Bankruptcy

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Bankruptcy is not a decision that should be taken lightly. There are some major financial consequences involved and your financial freedom will be restricted for several years to come. This doesn’t suggest that declaring bankruptcy is the end of the world though. It should really be considered as the first step in securing a bright financial future for you and your family. Millions of individuals file for bankruptcy every year and most of them have the ability to buy homes, cars and attain credit cards after they’re discharged. In addition to this, understanding what life is like after you have declared bankruptcy will evidently give you insight into making better financial decisions in the future.

Basically, once you have filed for bankruptcy, you surrender control of your finances and assets to a Trustee for protection against litigation that may be taken by your creditors. Once the legal process has been finalised, you’ll be undischarged for a specific period of time (in most cases three years) after which time you’ll become discharged, which means that the financial stipulations you sustained during bankruptcy are removed. Once discharged, your name will permanently appear on the public record (NPII) as a discharged bankrupt. What this article tries to achieve is to give you an understanding of what happens after you declare bankruptcy and what options you’ll have after you become discharged.

 

You Can’t Leave The Country Without Permission

One of the limitations of declaring bankruptcy is that you cannot exit the country while you’re undischarged only if you seek permission from your Trustee. To do this, you’ll have to supply a lot of information relating to your destination, length of stay, contact numbers, and the reasons for your travel. It’s an offence to travel to another country without prior approval from your bankruptcy Trustee, and in most cases will increase the duration of your undischarged bankruptcy to a minimum of five years instead of three.

 

You Will Be Offered Credit Right Away

One thing that surprises lots of discharged bankrupts is that they will immediately be offered credit by a vast range of financial institutions. The explanation behind this is that you won’t be able to declare bankruptcy again for a lengthy period of time, so creditors understand that they have a good chance of getting their money back if you secure a loan. In certain situations, securing a loan and making timely repayments will help strengthen your credit score, which will aid you in the recovery process. But be mindful, you don’t want to take every offer thrown in your direction as some creditors are very dubious and include hidden fees and charges that can put you in debt again immediately. The key is to rebuild your credit score gradually.

 

Buying A Home Is Definitely Possible

There’s a common misconception that once you file for bankruptcy, you will no longer have the opportunity to attain credit for a mortgage. This is certainly not the case. Even though bankruptcy will leave you with a bad credit history, you can still purchase a home if you have the capacity to rebuild your credit within a few years, you pay all your bills on time, and you display a responsible use of credit. Naturally, you won’t have the ability to get a mortgage straight after you’re discharged, so it’s imperative to build your credit rating wisely before even contemplating securing a mortgage.

 

Check Your Credit On A Regular Basis

Most financial experts advise that discharged bankrupts should review their credit report about twice a year. After initially filing for bankruptcy though, it’s crucial that you take a look at your credit report each month for at least the first six months into your bankruptcy. Certain creditors may still be requesting payments despite the fact that you are not required to make payments on any debts that were discharged in the bankruptcy process. So to avoid any further complications, it’s pressing that you monitor your credit report to ensure it’s correct and up to date.

While bankruptcy isn’t the preferred position to be in, it doesn’t mean that your financial future is permanently restrained. There are some severe financial restrictions imposed on individuals that file for bankruptcy, but after they become discharged and slowly rebuild their credit rating, they’re perfectly capable of securing a bright financial future. Securing a mortgage and other credit lines will be possible a few years after discharge if the recovery process is well-planned and implemented. For this reason, it’s vital that you seek professional advice from bankruptcy experts to assist you in the process, as bankruptcy is rather complicated and there are many factors to should be considered to ensure a smooth recovery process. If you’re thinking about filing for bankruptcy, reach out to Bankruptcy Experts Bunbury on 1300 795 575 or visit their website for additional information: www.bankruptcyexpertsbunbury.com.au

 

Is Bankruptcy My Best Alternative How To Know If Bankruptcy Is Right For You

Is Bankruptcy My Best Alternative? How To Know If Bankruptcy Is Right For You

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Going through financial hardship is a pretty stressful situation and unfortunately, millions of individuals across the globe end up in this situation every day. Individuals in this scenario have various options to recover from their financial issues, and bankruptcy should be considered as a last resort when all other alternatives have been exhausted. You’ve possibly seen a few of those debt consolidating companies promote their services on television for example. Often, it can be complicated to try to work out the best way to recover from financial struggles, and many will resort to bankruptcy simply because it seems the easiest way of doing so. But how do you know if bankruptcy is the right option for you? This article will shed some light into bankruptcy to help you figure out if bankruptcy is the best option for your particular circumstances.

Bankruptcy has some pretty serious financial penalties: a bad credit rating, increased difficulty in obtaining loans, and higher interest rates are just several of these. So needless to say, bankruptcy should never be taken lightly. There are plenty of debt consolidating businesses that are happy to help, which is similar to bankruptcy as all your debts are merged into one. This is often considered a sensible alternative to bankruptcy as the financial penalties aren’t as severe. But the best way to figure out if bankruptcy is the best alternative for you is to ask for professional advice from bankruptcy experts. In the meantime, however, here are some signs that your financial position is in a critical condition and bankruptcy may be the best alternative for you.

No Savings

If you don’t have any savings in the bank and you’re grappling with a mountain of debt, then bankruptcy may well be the best alternative for you. Even if you are capable to work a second job to increase your earnings, will this allow you to recover from your debts in the next 5 years? If no, then you should consider seeking professional advice about your situation, as bankruptcy can be a feasible alternative. Filing for bankruptcy will relieve you of these debts and while there are financial penalties, it’s probably the best way to recover in this situation.

Making Minimum Repayments Only

If you can only manage to make the minimum repayments on your debts, then the interest on these debts will magnify rapidly and you should really consider bankruptcy before your situation decays further. Without any supplementary income, it can often times take up to 30 years to settle your debts by making minimum repayments only, so all the interest you’ll be paying over this time can certainly amount to considerable sums of money. Whilst you’ll still be paying off debts with interest after filing for bankruptcy, normally you can arrange better terms on conditions on your debts after filing for bankruptcy.

Debt Collectors Are Calling You

When you’re being persistently hassled by debt collectors on the phone and in the mail, it’s an indicator that your financial scenario is worsening and you ought to make some changes. When you’re being contacted by debt collectors, it means that your creditors have sold your debts at highly discounted rates to debt collectors because they feel that you aren’t in a situation to pay off these debts in an acceptable time frame. This is a clear indication that you should honestly look at declaring bankruptcy as it’s most likely the best option for both your finances and your mental well-being.

While there are some severe financial implications, bankruptcy isn’t the end of the world and in most cases, it’s the first step to financial freedom. When you’re grappling with a mountain of debt and you can’t see any way of recovering in the near future, it’s time to seek professional advice to figure out what options you have. While there are many alternatives available to help you in financial hardship, if you’re encountering any of the above warning signs then chances are that bankruptcy is the best alternative to ensure you and your family can secure a prosperous future. In any case, if you’re experiencing financial difficulties, it’s best to consult with bankruptcy professionals sooner rather than later. For a confidential discussion concerning your financial situation, contact Bankruptcy Experts Bunbury on 1300 795 575 or visit www.bankruptcyexpertsbunbury.com.au

How you can Save Money On Your Groceries

How To Save Money On Your Groceries

Providing food for your family is paramount and the costs of doing so can vary greatly depending upon your mood, financial situation, and whether or not you’re hungry when you go to the supermarket! But the fact is that food is a big expense for a large number of families, and seeking out ways to save at the supermarket can amount to a great deal of money over time. You might even be able to take the family on a getaway with all the money you can save on food over the year if you spend your money intelligently. All of us wish we could save more money on groceries, so here’s a short guide on some useful tips on how to do exactly that.

 

Plan Your Meals

It’s regular for people to go to the supermarket with a list of items they need, but seldom do they plan every meal of the week and all the ingredients that are involved. Organising your meals and ingredients beforehand will enable you to spend your money only on what is needed. In doing this, you’ll also should know what you currently have at in the pantry, so it’s a smart idea to make use of the items you currently have in preparing your meals for the week. There are also some meals that are considerably more affordable than others, so if you really wish to save money, opt for meals that are low cost but fulfilling. You can find loads of cheap meal menus on the net. It’s also a great idea to have a paper and pen in the kitchen so as soon as you run out of a particular ingredient, write it down immediately so you remember the next time you’re at the grocery store.

 

Don’t Go To The Grocery store When You’re Hungry!

It’s vital that you always eat some food prior to heading to the grocery store for your weekly shopping. If you’ve ever been to the grocery store when you’re starving, you’ll know what I mean! In my experience, I start salivating when I find foods that I like but don’t really need and consequently, they end up in my shopping trolley. Even if you’ve planned your meals for the week and have a list with you, quite often the temptations are overwhelming and can cause you to spend extra money on unnecessary items.

 

Use Loyalty Cards

An awesome way to save money on food is to use loyalty cards at the checkout. Normally, you’ll get a discount on some items that aren’t displayed and you’ll also acquire points which can be used either by buying a gift card or various other featured items. Regardless, you’ll be saving money that would otherwise be going down the drain!

 

Compare Prices

There are many substitutes for the same kind of food so it’s important that you invest some time examining the prices to make sure that you get the best value for money. You don’t always have to buy the ‘no frills’ brands, but grocery stores will regularly have sales on a variety of items so it’s useful to do your homework. In addition to this, whenever there’s a sale on a particular item, it’s always a fantastic idea to stock up when the prices are at their lowest. You’ll likewise want to compare the prices of your most often used foods at different supermarkets to find out which items are more affordable. It could be the case where you travel to two grocery stores when embarking on your weekly shopping expedition, but the price savings are well worth it.

 

Shop At The End Of The Day

I know it sounds challenging especially after a long day at the office, but shopping at night is the best time to find discounts. Perishable goods like fruits and vegetables and bakery items are usually discounted if there is too much inventory for the next day. The best part is that these items are almost as good as new except cheaper! You’ll be surprised with how many discounts you’ll uncover at the grocery store if you go shopping in the evening.

So there you have it folks! There’s lots of ways to save money on groceries and the above recommendations are really just scratching the surface. If you manage to save $20 a week on groceries, which is very achieveable, you’ll be saving over $1,000 in the year! On the other hand, if you’ve tried all of the above techniques and are still struggling to find enough money, it might be best to seek professional advice regarding your financial situation. If this is the case, phone Bankruptcy Experts Bunbury on 1300 795 575 or visit their website for more information: www.bankruptcyexpertsbunbury.com.au

 

Signs You Could Be Having Money Issues

Signs You May Be Having Money Problems

Everybody loves money, especially spending it! Buying new toys or new clothes which make you feel and look good is important for your confidence and self-esteem. But how do you know if you’re good with money or not? Just because you get paid heaps of money doesn’t indicate you’re good with it. There are plenty of successful individuals who have significant problems with money simply because they weren’t familiar with the warning signs. In today’s world, it’s critical to be money conscious so here are 5 signs that you may have problems with money which can inevitably lead to serious financial problems down the track.

 

You don’t have any savings

Many of us get complacent with our lifestyles – our car, our home, our work – and forget that things can in fact go wrong and every person needs some financial protection for rainy days. Without having any savings in the bank, what will cover you from events like hospitalisation, job loss or car accidents? If you’re living paycheque to paycheque, all it takes is one financial hit and you’ll be in a lot of trouble. You’ll need to get a short-term, high interest loan which will just compound the problem – you can’t save any money now so how will you repay an added expense? Though it’s easy to neglect, having no savings is a recipe for disaster and you should take action now before it’s too late. Most financial advisors strongly recommend having three to six months of living expenses in an emergency fund.

 

You have no idea where your money goes

Being good with money means that you know when and how much money you receive, and where it goes when you spend it. If you have no idea where your money is being spent, it suggests a lack of care and respect for your hard-earned cash, and can naturally lead to financial issues down the track. Try making a budget and actively adhering to it. This will support you in having a greater awareness of your finances so you can recognise how much of your money is being squandered on nonessential items. After a month or so, reward yourself for sticking to your budget and you’ll value spending money on yourself a great deal more.

 

Making minimum repayments only

If you can only afford to make the minimum repayments on your loans, mainly credit cards, then you’re heading for financial problems. It can take years, even decades, to erase a credit card debt by only making minimum repayments. In the meantime, interest payments will be eating away all your prospective savings while you’re virtually just treading water. If this seems familiar, it’s time to make a change and quickly. You ought to get your priorities right by creating a plan, adhering to a budget, and saving as much money as possible to settle your ongoing debts.

 

Spending more than you earn

The clearest sign of money issues is where your spending eclipses your earnings. Regardless of whether you have a healthy savings account, you should always ensure that your earnings is greater than your expenses, it’s just basic maths really. If you find yourself in a bad habit of spending excessively, it can come to be addictive and lead to even more issues, on top of probable financial difficulties. Certain people attempt to mask this problem by paying bills with their credit cards which just makes the issue worse in the long-term. Do you even know if your income is higher than your spending? If you’re unsure, it’s definitely a good time to find out and make some changes.

 

You have new clothes in your wardrobe that you don’t use

A basic way to check if you have money issues is to search through your wardrobe. Do you have clothes that still have the tag on them? Almost everyone loves a sale, and it’s a great way to save money when cash is tight and you’re in need of something. But purchasing clothes only because they’re on sale may suggest that you have money troubles. If this is the case, you may also be inclined to buy other items just because they’re on sale too. Purchasing nonessential items under the perception that you’re saving money is something that has to be amended.

Regardless of how much you get paid, if you’re not good with money then now is the time to adjust your habits to avoid potential complications in the future. If any of these warning signs sound familiar to you, it may indicate that you have problems with money and should seek advice before it’s too late. All it takes is one financial blow and you’ll be sucked into the financial abyss. To find out what options you have, or to speak with someone about your finances, reach out to Bankruptcy Experts Bunbury on 1300 795 575 or visit http://www.bankruptcyexpertsbunbury.com.au