New bankruptcy fact sheet to be issued by creditors

Thursday, July 19, 2018

AFSA recently released a fact sheet to creditors, Warning – you may be declared bankrupt, to emphasise the options available to a potential bankrupt in the earliest stages of the process. This is a trial process, with the fact sheet to be issued by creditors when they issue Bankruptcy Notices (BNs). We hope that the inclusion of this document with all BNs means that issues can be resolved much faster.

For some, bankruptcy is the best option for them. But for others it’s easy to just ‘let bankruptcy happen’ or unintentionally commit an act of bankruptcy when they don’t know where to get the right information.

There is no change to the process of issuing BNs - this is just an added piece of information to provide when a notice is issued. This fact sheet highlights the ways that an individual can avoid becoming bankrupt, and get relevant information at a time when they may feel overwhelmed by the options available.

We’ve asked the creditors to give us feedback into this new addition to the process by 30 July 2018, and that will effect whether it becomes a permanent part of issuing Bankruptcy Notices.