It is never easy for a business or an individual to make the decision to file bankruptcy. This is generally a decision that is made when all other efforts have been ineffective at solving a financial crisis. The are important benefits when filing bankruptcy. They avoid legal complications and allow the filer to restart without the burden of overwhelming debt. To manage the complicated process it is important to have legal representation. This provides guidance throughout and ensures that all paperwork is prepared and filed correctly to avoid delays. In order to hire a bankruptcy lawyer in Singapore from IRB Law, the client will need to meet specific guidelines.
- The filer must be a Singaporean resident and own property in Singapore.
- The business must have been in operation in Singapore for at least one year before the application was filed.
- They must have a debt amount of at least $15,000.
- Reviews of their case must prove that they lack the cash or other assets to pay their debts.
There are other avenues to pay off debts and avoid bankruptcy. A legal adviser will help their client to determine if private payment arrangements, credit counseling services or a repayment scheme established by the court may be preferable. In many cases, these methods are no longer feasible by the time people contact a bankruptcy attorney.
The courts will also encourage the debtor to consider other means to eliminate the need for bankruptcy. The Official Assignee to the case will investigate the circumstances, determine the assets held by the debtor and arrange for distribution of any assets to the creditors. New reforms allow first-time filers to be eligible for discharge from their bankruptcy within five to seven years and seven to nine years for those that have previously filed. During this period of time, people will have the opportunity to establish a budget, rebuild their credit score and learn how to manage their finances more effectively.
Bankruptcy is never a first choice or a happy decision but it does help everyone to have the opportunity to work towards the future they desire. The first step is to discuss the case with a bankruptcy lawyer and to learn more about the legal process.