Asian Spectator

Bankruptcy by numbers

  • Written by John Papadopoulos

Bankruptcy, personal insolvency agreements and debt agreements are formal options people can utilise to help them resolve unmanageable debt.

It’s not a moral decision, nor is it a decision that you should be terrified of making. It’s a way of clearing debt when there may be no other options available and they allow most people to make a totally fresh start.

If bankruptcy is an option you’re considering to help resolve a difficult financial situation, we’ve put a handy cheat sheet together to give you a quick overview of personal insolvency in Australia by numbers:

31,859 is the number of Australians who utilised the Bankruptcy Act between 2017 and 2018. This is the highest number recorded in eight years in Australia

26,849 is the number of non-business related personal insolvencies during 2017 and 2018. Contrary to popular belief, almost 90% of people utilising the bankruptcy act do so because of personal debts such as credit cards, unsecured loans, tax debts and shortfalls

16,811 is the number of people who became bankrupt in Australia last financial year

14,834 is the number of people who proposed a Debt Agreement (also known as a Part IX or a Part 9) in the last financial year

5,013 is the number of Queenslanders who became bankrupt last financial year – twice as many people when compared to Western Australians in the same situation

214 people entered into a Personal Insolvency Agreement (also known as a Part X or a PIA) last financial year

57% of people who went bankrupt in 2017 were men vs 43% women, meaning men are 14% more likely to become bankrupt than their female counterparts

5 years is the standard length of time that a personal insolvency event such as a bankruptcy, debt agreement or personal insolvency agreement will typically remain on your credit file

3 years (and 1 day) is how long bankruptcy actually lasts for. After this period, you’re automatically discharged and released from your provable, unsecured debts. Most people are surprised that bankruptcy only lasts for a short period

1 in 37 Australians have, in the last twenty years, been through some type of personal insolvency. This includes bankruptcies, debt agreements and personal insolvency agreements

As you can see from the numbers, people aren’t alone in going through personal insolvency. Often, our clients have spoken with people who impart inaccurate and untrue information around personal insolvency. There are a lot of myths out there including bankruptcy lasting forever or that your salary gets taken indefinitely. A lot of the time, this information is incorrect and, depending on your own personal situation, bankruptcy can be less severe than your peers may be telling you over a coffee.

In reality, the laws surrounding bankruptcy can be complex and every situation is very different. So if you’re thinking about Bankruptcy, we’d suggest you do your research and speak with qualified professionals – that way, you’ll be in a better position to make informed decisions on how to move forward.

By John Papadopoulos

John is a CPA with more than 14 years of personal insolvency experience up his sleeves. He’s also a manager at Aravanis, an award-winning registered bankruptcy trustee firm in Australia.

Aravanis offers free bankruptcy-related information that’s specific to individual situations.

If you’re looking for a more comprehensive outline of bankruptcy see article, what is bankruptcy, or call 1300 369 108.

*Statistical information sourced from www.afsa.gov.au , www.abs.gov.au and http://dnb.com.au/

AMN Passes Milestone of 1 Billion Phone Calls Per Year

LONDON, July 10, 2020 /PRNewswire-AsiaNet/ -- Africa Mobile Networks (AMN) is pleased to announce that it now processes more than 1 billion phone calls annually for subscribers in previously...

The World's First CIIE-themed Airplane Launched by CEA Flew to...

SHANGHAI, July 10, 2020 /Xinhua-AsiaNet/-- At 5:36 on July 4, local time, the world's first CIIE-themed airplane flew from Shanghai to Paris Charles de Gaulle International Airport, performi...

Nexteer Recognized by General Motors as a 2019 Supplier of the...

AUBURN HILLS, Mich., July 10, 2020/PRNewswire-AsiaNet/-- Nexteer Automotive, a leader in intuitive motion control, was named a GM Supplier of the Year by General Motors during a virtual cere...

12th Venture Week for International Elites in Suzhou and 1st S...

NANJING, China, July 10, 2020 /Xinhua-AsiaNet/-- Two representatives of scientists were rewarded Suzhou Scientist Medal.On July 10, 2020 Venture Week for International Elites and 1st Scienti...

Komnas HAM Papua Reveals Case of Victim MB’s Death in Asiki

JAKARTA, Indonesia, July 10,2020/Antara-AsiaNet/-- The Papuan Representative Office of the National Commission on Human Rights of the Republic of Indonesia (Komnas HAM) revealed the case of ...

Washington Companies Refuses Safety Recommendations

LAS VEGAS, NV, Jul 10, 2020 - (ACN Newswire) - Through the discovery process in an ongoing federal lawsuit emails were provided of a safety meeting held at the Washington Companies Modern M...

Huion Unveils Its Latest Kamvas 22 Kamvas 22 Plus to Empower...

SHENZHEN, China, July 10, 2020 /PRNewswire-AsiaNet/ -- Huion, one of the leading manufacturers of graphic input devices, launched two 21.5-inch pen displays today, namely Kamvas 22 and its h...

Lifequest World (LQWC) subsidiary Biopipe Global enters US Market with Shipment of its Revolutionary Sludge-Free Biological Wastewater Treatment Plant to California

Ridgefield Park, NJ, Jul 10, 2020 - (ACN Newswire) - Lifequest World (LQWC) subsidiary Biopipe, the world's first biological and only scalable sludge and chemical free wastewater treatment ...

Up to JPY3 Mil. Available for "Take on Challenges Beyond Commo...

TOKYO, July 10, 2020 /Kyodo JBN-AsiaNet/-- - Supported by Japanese Ministry of Internal Affairs and Communications -- Subsidy for Extraordinarily Ambitious Ideas; No Restrictions on Age, Nat...

Merck Opens its Largest M Lab(TM) Collaboration Center in Shan...

DARMSTADT, Germany, July 10, 2020 /PRNewswire-AsiaNet/ -- -- Focus on improving and optimizing drug discovery, development and manufacturing-- Integrated lab with customizable solutions, val...

TOYOTA GAZOO Racing WRC Challenge Program

Toyota City, Japan, Jul 10, 2020 - (JCN Newswire) - The TOYOTA GAZOO Racing WRC Challenge Program will resume when the 2020 FIA World Rally Championship season restarts at Rally Estonia on ...

Komnas HAM Papua presents the case of victim MB's civilian death in Asiki

Jayapura, Papua, Indonesia, Jul 10, 2020 - (ACN Newswire) - The Papuan Representative Office of the National Commission on Human Rights of the Republic of Indonesia (Komnas HAM) revealed th...

Vestas is joined by world-class expert and industry leader Dr ...

MELBOURNE, Australia, July 10, 2020 /PRNewswire-AsiaNet/ -- Grid connection of wind power in rapidly evolving grids will play an increasingly vital role in the global energy transition. As a...

2020 WAIC Summit Online Opens in Shanghai

SHANGHAI, July 10, 2020 /Xinhua-AsiaNet/-- 2020 World Artificial Intelligence Conference (WAIC) Summit Online opened at Golden Hall of Shanghai Expo Center on July 9, according to World Arti...

The Mark Hotel Ranked "#1 City Hotel in the US" and "#1 Hotel ...

NEW YORK, July 10, 2020 /PRNewswire-AsiaNet/ -- The iconic Mark Hotel, which reopened its doors on June 15th and is located in one of Manhattan's most elegant and discreet neighborhoods in t...

SKF Launched Smart Supplier 4.0 Gen 2: Rethinking machine main...

KUALA LUMPUR, Malaysia and SYDNEY, July 9, 2020 /PRNewswire-AsiaNet/ -- Digitalising preventive maintenance for light industries in Southeast Asia and Australia are now more achievable than ...

SPA Australia Awarded Force Design Support Contract

CANBERRA, Australia, July 10, 2020 /PRNewswire-AsiaNet/ -- Systems Planning and Analysis Australia Pty Ltd (SPA Australia) was awarded a contract to support the Force Design Division of the ...

Career Star Group Reach Milestone to Shake Up the Outplacement...

LONDON, July 9, 2020, /PRNewswire-AsiaNet/-- Career Star Group announce ownership of innovative global outplacement platform via the asset deal of CareerArc by Gi Group.Gi Group, one of the ...

The Era of Precision Currency Has Arrived: Thousand Cities Str...

PARIS and SHENZHEN, China, July 9, 2020 /PRNewswire-AsiaNet/ -- -With its Sovereign Asset Currency AI System, TCSA will change how a country measures the true value of money.Reinventing Bret...



News Company Media Core

Content & Technology Connecting Global Audiences

More Information - Less Opinion