How I went from $90,000 in debt to $10k of savings in 1 year

How I went from $90,000 in debt to $10k of savings in 1 year

“So, to put my story into context, I need to tell you;

This is not a heroic budgeting, frugal living type blog post, it’s just exactly as the title reads. This is the exact way I achieved this. Legally, quickly and happily.

Alright, I’ll start from the beginning. How I accumulated all the debt in the first place.

It started when I was 18. I got a letter from my bank about a low limit credit card, sounded harmless enough. I had this plan that I would just instantly transfer all the money over that I used, and it started out great.

After proving my responsibility to myself, I decided to take out a personal loan for a procedure that I wanted done. It was a 10k loan, good repayments, and I thought I could manage it, as I was hardly using the credit card at all. So I went ahead with the loan. Then I got another letter for a platinum credit card with an AMEX, so again I said yes.

After using the Amex for ‘points’ for various purchases over a few years, I was left with 20k of debt. Due to illness, I had to stop working, so I took out another credit card, and ended up maxing that out too. I was up to about 30k in debt. When I returned to work, I was chipping away at the repayments, that’s when my car broke down. I had a friend who was a cars salesperson who said he could get me a great deal! A $30,000 loan later, there I was with a $60,000 debt – not sure where to even begin because I had completely lost track of where the debt was coming from! Just when I thought things couldn’t get worse, I received an ATO debt of $10,000 from back when I was a sole trader!

As a result, I found myself with crippling anxiety and depression and was forced to leave my job. I would literally get calls every single hour of the day, demand notices, you name it. In the time that I had accumulated the debt, interest piled up, late fees piled up, and I found myself in $88,000k of debt. I was 22. I thought my life was over, because it would take about 70 years to pay off (at the minimum repayments).

I couldn’t afford Rent, food, petrol. Nothing.

I was trying to get on with my life, and I knew I needed to do something drastic.

I took to google to find out my options. Bankruptcy Solutions Australia came up, I clicked, inquired and within 15 minutes my consultant ‘Tanika’ had called me and explained to me in full detail the pro’s and con’s of bankruptcy and had taken me through a full consult to determine if bankruptcy was a right fit for me.

It took about 2 weeks to get everything organised. Then the letter from the government came saying I was bankrupt. I have to say opening that letter was extremely daunting. Until I opened my bank account… instead of a negative of 10’s of thousand’s there was just my little savings of $10 (I told you I was broke). Can you imagine opening your bank account of -$88,000+ every single day and then one day having a positive figure appear over night? Well to put it into perspective, I cried for 20 minutes.

The whole experience up to that point had motivated me to be so much better with my money. I decided to take an online course on how to budget. I put all of my new budgeting skills into action, and to this day I have not stressed about rego, insurance and any other sneaky bills that pops up.

I really didn’t even notice that I was bankrupt most of the time. I couldn’t take out a car loan until the three years was up, but I didn’t want to after feeling freedom from debt. So, I saved and bought a really cheap car which got me by until I was on my feet again.

At the end of the first year of my bankruptcy, I had saved 10k. This was surprisingly easy to do without having every hard earned cent going back to debts!

Now, three years on, My Husband and I have applied for a home loan and I can’t believe it – WE GOT IT! I emailed Tanika the second we were approved to say a massive Thank You because without Bankruptcy Solutions Australia, this would have never of happened.

Tanika asked me to share this story in the hopes that it might help someone else. It was the best decision I could have ever made. Bankruptcy as a word is much scarier than the actual process. Don’t let debt ruin your life.

*Last name of client has not been added to protect her privacy

If you would like more information please do not hesitate to contact us here:

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The Bankruptcy process

The Bankruptcy process

Many people put dealing with their debts aside, simply because they are not sure how it all works, or what to do.

We are here to show you how it all works!

Here is our four step process to Finacial freedom.

Step 1. Your free consultation.

We have a team of experts here at Bankruptcy Solutions. Your details will securely and confidentially be under the supervision of one of our consultants. They will organise a call with you via SMS text message. This way, you will know exactly who it is trying to contact you. At an organised time, they will have a conversation with you about your situation. They will ask a few questions and also answer a few questions that arise. By the end of the phone call, your consultant will know if bankruptcy is the right option for you. We never suggest bankruptcy unless it is necessary. If there are any risks, your consultant will clearly outline what they are and give you some direction to move forward.

Step 2. After your phone call, you can take the time to decide if It really is something you wish to proceed with. Your consultant will send you information by email, that you can read through and think about.

Step 3. If you decide to move forward, your consultant will send you some simple paperwork and work with you to get ready for lodgement.

Step 4. Your consultant will assist you in lodging the bankruptcy

We keep it simple and easy for you, and we do the work so that you don’t have to. Financial stress and anxiety can be immobilising, that’s why we are here. We can take the pressure off of you.

So if you are considering bankruptcy or debt relief in any way, shape, or form, please take a few seconds to provide your details. We simply need to be able to contact you for your free, over the phone, consultation. You can easily do this by clicking ‘Learn more’ below We are here to help!

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Stop Creditors Today

Stop Creditors Today

You may have unmanageable debt and need help to work out what to do. We can help you look at all your options before you make a final decision.

We are here to ensure you make the right decision for your situation.

When we speak to new clients who decide that bankruptcy is the right option for them, they stop paying all their creditors. This is because they are heading into the bankruptcy process and wish to avoid preferential debt payments.

Put simply, if you are declaring bankruptcy, you do not want to favour one creditor over another before lodgement of your bankruptcy.

This allows instant freedom for people who need this debt solution. They can immediately stop paying their debts and file for bankruptcy to rid themselves of the debt entirely.

If you need this or simply just need to speak to someone regarding your situation, we offer a completely free consulting service. All you need to do is enter your details into our confidential and private form, and we will have a consultant contact you.


Click here for the start to Finacial freedom!

All about Bankruptcy

All about Bankruptcy

Bankruptcy is a process that needs to be carefully thought out and understood. Knowing all about bankruptcy is what we pride ourselves on at Bankruptcy solutions. We will share our knowledge with you to help you know if bankruptcy is right for you and your situation.

We are extremely confidential in our approach and offer a free consultation to discuss your options. This can be done over the phone or even over email, whichever is more comfortable for you.


  • Do I have debts that are out of my control?
  • Are my debts affecting my mental health?
  • Is my financial situation putting pressure on my relationships?
  • Am I insolvent?
  • Are my money problems causing me to go without sleep?
  • Is my income less than my minimum monthly repayments?

If you answered yes to any of these questions, Bankruptcy needs to be considered.

Our strongest suggestion is that you fill out our on site questionnaire, so that one of our consultants can evaluate your individual situation and help you know what is best for the future.

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and we will have you looked after.

Farm Bankruptcies

Farm Bankruptcies

The Australian Financial Security Authority reveal a 7 per cent rise in personal bankruptcy nationally, and unfortunately our Australian farmers are suffering.

We have had an influx of farmers from all over the country, in despair and not knowing what to do next.

Many of the common questions that farmers ask are:

– Will we loose our personal assets?

– What happens to the stock involved?

– Do we need a foreclosure attorney?

– Do we need liquidation?

and many more.

We can help answer all of these questions for you and map out a plan to move forward.

Our farmers matter to us as a nation and we at Bankruptcy Solutions have had experience with helping many people find a way out of the situations they are in. Before heading down an emotional and stressful path, or if you are already in this place, please do not hesitate to contact us. We will help wherever we can.