Going bankrupt or being declared bankrupt by a creditor -who is owed money that can’t be repaid- is a serious matter and has legal consequences.
Understanding what is bankruptcy
The journey into bankruptcy often starts with a small debt that wasn’t settled in time and then forgotten. But with late payment fees, penalty charges and high credit interest, that small debt can quickly become a crushing financial burden.
Add to that personal factors such as unemployment, relationship breakdowns or ill health and a difficult financial situation can quickly become desperate.
Ma’ata Solofoni, a senior solicitor at the Surry Hills Financial Rights Legal Centre, says she’s receiving a growing number of calls about bankruptcies.
“What I’m…
