There are often going to be choices and conclusions in life, and Bankruptcy is no different!

You truly need to make sure you know as much as practical about Bankruptcy in Rockhampton. So when it comes down to Bankruptcy in Rockhampton, there are a great number of choices that we can have concerning who we are, who we approach, and simply what has occurred. So I want to tell you about 3 alternatives to Bankruptcy that individuals are often confused about– Debt Consolidation, Personal Insolvency Agreements, and Debt Agreements– with any luck I can support you become less confused when it comes to Bankruptcy and your options.

CHOICE 1 – Debt consolidation.

This is where you can have an agency wrap up your financial obligations into a single bundle.


Can help save money on interest.


There are huge amounts of fees required (Often canceling out the interest saved).

Won’t assist if your credit rating is poor.

Won’t provide you a clean slate– simply tidying up the old debt.

When it involves Bankruptcy in Rockhampton, I would like you to become aware that everybody who provides you advice is going to feature some kind of viewpoint (even myself) and so be sceptical with anything someone tells you about Bankruptcy. This is certainly critical when you take a look at Debt consolidation because if you talk to a person who works for one, they will obviously tell you that it is the best way since they want your money. Every loan that they help you wrap up into just one nice and simple bundle is going to be another fee– there is a reason they are such a substantial money-making industry. But, it can still be a good choice for you if you feel that getting all your financial obligations in the one place is going to benefit – because even a small amount of interest saved over years easily adds up.

But chances are that in the event that you read this, you have probably already tried out this action, and found out that your credit rating is so poor that you can not get a combined loan, that you are pretty much too far advanced and the small amount of interest saved will not make a difference. More than likely you’ve just had enough of the telephone calls, demands and feeling of anguish that debt brings– and you are looking out for a resolution that can provide you a fresh start.

CHOICE 2 – Personal Insolvency Agreements.

A PIA is an adaptable way to lay out your financial obligations without becoming bankrupt, often it is a way of decreasing the quantity owed and arranging just how and when everything is to get paid out. It doesn’t go as far as insolvency, but has a number of quite similar elements and includes appointing a trustee to control your property and develop a proposal to your creditors.

It is not Bankruptcy, but rather an ‘act of Bankruptcy’ which indicates that if you fail to properly establish a PIA a creditor can simply apply to a court to declare you Bankrupt and push you to follow those steps. So it may appear that PIA is a really good option when it comes to Bankruptcy, but it is seldom an easy process to actually get all your creditors to agree– and if you don’t get at least 75% of them to agree, the PIA fails and this will complicate the concern with Bankruptcy.

OPTION 3 -Debt Agreements.

Debt agreements are another type of binding agreement between debtor and lender just like a Personal Insolvency agreement.

So when it concerns Bankruptcy in Rockhampton, what’s the big contrast then?

Well the initial obstruction is that it relies on the amount of salary you are handling, and specific other thresholds– If you come under the requirements you can lodge a debt agreement or a PIA, but if you are over your only option is a PIA. Likewise, you can not have had quite similar financial complications in the previous 10 years for a Debt Agreement, but it is only 6 months for a Personal Insolvency Agreement.

So with Bankruptcy, what is the benefit to a Debt Agreement? The debt agreement is often quicker to establish and are a little bit simpler when it involves regulating trustees and coping with the government. It can also make it easier to maintain operating your small business or be a director of a company.

When it involves Bankruptcy I’ve become aware of creditors going with less than 80 % on rare occasions, but that generally only occurs with a public company entering into receivership with outstanding substantial sums of money (the sort that makes the headlines). If you are owed $10million and you realize the people who owe you the money have a group of brilliant lawyers and some very clever frameworks in place and they offer 5 % of the financial debt, you might take it and be grateful. Regretfully, ordinary people like you and me in Rockhampton aren’t going to get that lucky!

So in summary, you have 3 choices to Bankruptcy– Debt Consolidation, Personal Insolvency Agreements, and Debt Agreements.

I would recommend starting by taking a look at a debt consolidation– but if you are too much in debt, it probably won’t make a lot difference and you will be inundated with expenses.

Then, you need to take a look at whether you are a candidate for a Debt Agreement. If you aren’t, take a look at a Personal Insolvency Agreement. But no matter which one you decide on, you should be reasonable with your expectations considering that when it involves Bankruptcy nothing is simple.

If you would like to find out more about just what to do, where to look and what questions to ask about Bankruptcy, then feel free to speak to Bankruptcy Experts Rockhampton on 1300 795 575, or visit our website: