The normal period of bankruptcy is 3 years from the date that your bankruptcy application is accepted, however you can be kept bankrupt for up to 5 or 8 years.
Normally, you will automatically be discharged from bankruptcy after the period of 3 years, counting from the date that your bankruptcy application is accepted.
o In case of voluntary bankruptcy when you apply for bankruptcy, it normally ends 3 years and 1 day from when your bankruptcy normally ends 3 years and 1 day from when the statement of affairs is y application is accepted
o In case of forced bankruptcy when a creditor makes you bankrupt, it accepted
Even after that period finishes, you are still required to cooperate with the trustee. Your bankruptcy will be annulled if you repay your debts in full, including the trustee’s fees.
Who handle all cases of bankruptcy?
Australian Financial Security Authority (AFSA) handles your bankruptcy if you decide to go bankrupt. It is an executive agency in the Attorney-General’s portfolio AFSA provide improved and equitable financial outcomes for consumers, business and the community through application of bankruptcy and personal property securities laws, regulation of personal insolvency practitioners, and trustee service.