I’ve been served with a bankruptcy notice. What now?

If you haven't paid your debts, the person or organisation you owe money to may serve you with a bankruptcy notice[?] - a formal demand for payment. You have 2 options:

1.   Reach an agreement with your creditor:
You have 21 days from the day you receive the notice to come to an agreement with your creditor. Contact your creditors to discuss payment options.

2.   Don’t reach an agreement with your creditor:
If you don’t meet the demands for payment, you may be committing an 'act of bankruptcy'[?]. Your creditors may use this to make you bankrupt by order of the court. We call this a sequestration order[?].

You can get help to consider your options from a financial counsellor. We suggest you also seek your own independent legal advice. See Seek legal assistance.

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