Q14. Trust Deeds or Bankruptcy - What is the difference?
A trust deed is a voluntary agreement which transfers your assets to a trustee to be administered and sold for the benefit of creditors and the payment of debts. Bankruptcy is awarded either by the Court, if it is a petition by one of your creditors, or by the Accountant in Bankruptcy if you apply for your own bankruptcy. More information about trust deeds can be found in the publication 'Trust Deed Guide'. If you are made bankrupt a trustee will be appointed to administer your bankruptcy, collect contributions from you and sell off assets you have for the benefit of your creditors.
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