NSW Credit Law

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January 2021

In March 2020, the Australian Government announced a series of changes to bankruptcy law, as part of the wider economic response to the COVID-19 pandemic. The temporary changes included: an increase in the debt threshold, which enabled creditors to apply for a bankruptcy notice an increase to the timeframe for a debtor to respond to a bankruptcy notice an increase to the temporary debt protection period available to debtors. As of 1 January 2021, those temporary changes have ceased. An amendment has also been made to adjust the bankruptcy threshold. This means: the minimum amount of debt that can trigger bankruptcy is $10,000,