fbpx

What can I keep and lose if I’m bankrupt?

When you are declared of bankruptcy, you have to accept that you will lose your assets to pay for debts. However, to enable your ability to go forward with your life, there remains some items you can keep to afford basic living demands.

Here are things that you can keep or may lose if you are in a bankruptcy:

THINGS YOU CAN KEEP:

  • Necessary household furniture and personal things (clothes, sentimental value such as medals, trophies, wedding ring,…)
  • Motor vehicles with equity under a certain threshold
  • Trading tools used to earn income up to a certain value

THINGS YOU WILL LOSE:

  • Any house or land that is solely under your title. In case of a jointly owned house or property, the trustee will own your share of the property. Pressure may be placed on the other owner to either sell or buy your interest. If necessary your trustee can get a court order for the sale of the property, which adds significantly to costs of sale
  • Expensive jewellery and valuable furniture
  • Motor vehicle which is over the threshold amount for its equity will be sold
  • Stocks and shares
  • Inheritances received under a will, gifts and any lottery winnings received while you are bankrupt

Noted: A court can look at fraudulent or undervalued transactions to return assets when the real reason for disposing of the property was to save it from your creditors. Things that you gave away or sold for less than market value up to 5 years ago may also be recovered by your trustee.

Bankruptcy. Commercial Law
Share on facebook
Facebook
Share on linkedin
Linkedin

Related Articles

Create business, Business help

Get legal help on creating a business

Although you might sail through the process yourselves with various online guidance, it is recommended to find a companion with business law firms who can deliver a customised shortcut to your success via valuable consultations from their commercial law expert system.

Lawyer advice fro Bankruptcy

Should I contact a Lawyer for a Bankruptcy?

The majority of people filing for bankruptcy with the assistance of an attorney. It is always recommended to get experts’ advice when you are in serious debt due to the following reasons:

Follow us

Let Our Experience Be Your Guide 

Get Your First Consultation Now

Legal Insight

How many type of bankruptcy?
How many type of bankruptcy?

Might you get this Notice or Court papers relating to bankruptcy, stay calm and ask for legal assistance from your business lawyer

what is a Power of Attorney?
What is a Power of Attorney?

The authorized agent can be subjected to full or limited legal power to make decisions about the principal’s property, finances or medical care.

Subscribe to our newsletter

Save time

Book Appointment

Whether you want to book an appointment or get enquire, just go from here.

iLawyer

Go online and self-book to join your appointment by remote video or phone call.

We can help

Scroll to Top

Request a call back now