The bankruptcy process can be very stressful and confusing for many people. However, if you are struggling to understand what assets you can keep whilst bankrupt, our friendly and experienced team at Australian Bankruptcy Services are here to help.
Your household effects (including your clothes and other personal effects) will be protected from sale in bankruptcy.
Your car worth up to will also be protected from sale in bankruptcy. If your car is worth more than you may be able to agree with your trustee to pay the difference, or if your trustee sells your car, they will need to give you .
If you are a tradesman, your tools worth up to will also be protected from sale in bankruptcy.
Money in your bank account will also be protected but only up to the value of . If you hold any more than $2,000 at the date of your bankruptcy you will need to surrender the difference.
Below is a list of some other protected assets in bankruptcy:
- Superannuation
- Personal injury claims and compensation
- Life insurance policies
These statutory thresholds are maintained by AFSA and updated every six months or so. Please check the AFSA website for the current threshold amounts.
For more information about bankruptcy, please call our friendly and professional bankruptcy consultants on 1800 462 767. Our bankruptcy hot-line is open 24/7 including weekends.