What happens after I'm annulled from Bankruptcy?

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asked on Dec 8, 2017 at 10:21
by   cinnabon
edited on Dec 20, 2017 at 00:33
I have just been annulled as a bankrupt by the High Court.  Can someone advise what happens after this?  How do I go about clearing my records from the system so that I can open bank accounts, renew my passport, apply for jobs?

I am quite hesitant about applying for jobs right now as most companies will do a credit search (I believe on CTOS?) on job applicants and my name may still be blacklisted.  

Please advise.  Thank you!
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answered on Dec 8, 2017 at 11:55
by   jeff005
edited Dec 20, 2017 at 00:39
I have just been annulled as a bankrupt by the High Court. 
For what reasons were you "annulled"?
Is this debt still there?
Are there other bank debts?

The CTOS blacklisting will still stand, only a special note will be there stating the "annulment". Most banks will not open account. Others may, depending on your CCRIS standing after a period of 1 year.

Is yours "Annulment"  or "Discharged"  from bankruptcy?
Which one is correct? This two terms have different Legal Credit standings.
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answered on Dec 8, 2017 at 12:19
by   cinnabon
Hi Jeff005,

I was annulled after I paid my debt in full via Insolvency after negotiating with all my creditors.  No I don't have any other outstanding bank debts. 

My immediate concern is when I apply for a job, and what will happen if my potential employer does a credit check.  And do you have any idea how long it will be before I can renew my passport?
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answered on Dec 8, 2017 at 13:12
by   jeff005
edited Dec 20, 2017 at 01:30
how long it will be before I can renew my passport?
Bring your "Annulment" court papers to the Malaysia Immigration for faster service.

Annulment - nothing has happened - records are expunged.
Discharged - have reported in to Jabatan Insolvensi Malaysia (JIM). Negotiate with creditors for discount, paid thru JIM. Records remains in CCRIS, CTOS and all the other credit ratings companies, not only CTOS!

Your Lawyer says it's Annulment?
Nevermind.. past is past
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answered on Dec 8, 2017 at 13:28
by   cinnabon
edited Dec 20, 2017 at 01:31
My Official Assignee from Insolvency said I should apply for an annulment and not a discharge as I have settled all my debts in full, hence that was what my lawyer did. 

I next question would be, will my records be automatically expunged from the system or will I need to go to the banks, credit rating companies, one by one to get them to expunge it?  Because as I understand from a friend who's a bank employee, it's very easy for them to blacklist an individual but the moment the individual is no longer a bankrupt, no one bothers to go about clearing the tarnished record from the system.
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answered on Dec 12, 2017 at 19:46
by   curiousity
Hi Cinnabon,

How much discount given by the bank from your total debts? 

After how long, you know that you were made bankrupt? 
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answered on Dec 16, 2017 at 11:47
by   Lindane
edited Dec 20, 2017 at 01:33
Hi @Cinnabon

I was also ANNULLED after paying off my creditors via Jabatan Insolvensi Malaysia (JIM). You can read it here

My understanding of annulment vs discharged is if you pay off your debts in full, you will be annulled. But if you use the Pengarah JIM's discretion on medical ground, old age etc you will be discharged.

Let me try to answer your questions.

Records expunged from system.
For CTOS, as they rely on public information for their records, it might take time for them to get it. So I emailed in my court papers and asked them to update their records. The bankruptcy note will still be in their records for 2 years. I guess I will have to email them again after my 2-year anniversary.

For CCRIS, since the individual banks update the records from the bank, you will have to push JIM to make the payments to the creditors quickly then get the banks to issue clearance letter and update your records in the CCRIS system.

For passports, Immigration updates their records very efficiently. Almost immediately you can apply for passport. My name was TIADA HALANGAN when I checked online about 2 weeks after annulment. No need to do anything.

Bank account - I used the same account during my bankruptcy years so I did not need to open new account. I just cancelled the Standing Instructions from the account. Even though I have a letter from JIM to cancel the SI, the bank did not even ask for it. Just fill in SI cancellation form. Anyway I would assume the banks will allow you to open an account without much problems except maybe the bank you defaulted before.

New job - Yes most companies will check your records. I know ex-bankrupts still have some negative reputation. Just come up with a good story to explain to them I guess. 

I recently applied for a car loan (1.5 years after annulment) and was approved. The bank did mention about the bankruptcy but then they also noted that it was paid off. So if banks can ignore the bankrupt note in your records, I am sure potential employers will too.

Congrats on your annulment and good luck for the future!
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answered on Dec 18, 2017 at 16:18
by   cinnabon
edited Dec 20, 2017 at 01:41
Hi @Lindane,

Thanks for taking the time to answer my questions, point-by-point.  I now have a much clearer picture of what to expect, post-annulment.  

As of last week, my passport status has been changed to 'TIADA HALANGAN'.  It's really such a relief to see those 2 little green words!  And I've just received a copy of my release letter from Insolvency, in which it's addressed to Maybank & FIS Data Reference (I think this is CTOS?) asking them to update my annulled status in their system.  I'm not sure if this is the same clearance letter you were talking about? 

Last I checked, Insolvency still has not disbursed the money to my creditors.  Apparently they have to wait for instructions from the court first so I'm guessing it will take some time.  Lol.

Congrats to you too, Lindane on your annulment and new lease of life.
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answered on Dec 18, 2017 at 16:23
by   cinnabon
Hi @Curiosity,

I had several different creditors, and  I managed to negotiate the initial over-inflated amount down to the amount I actually owed.  Hope this helps.  Good luck!
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answered on Dec 18, 2017 at 17:29
by   curiousity
Hi @cinnabon

Thanks for the answer.. 

Congrats to you.. starting a new life 
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answered on Mar 11, 2018 at 23:06
by   Dove
Hi Cinnabon, 

First of all, Congratulations to you on your new life. 

My husband has been verbally annulled by High Court on 8th March 2018. Our lawyer said, next step is to wait for Court Order. May I know how long does it take for the Court Order to be out ? And what are the procedures for it ? 

Our lawyer is not being helpful in the whole episode. That's the reason I'm seeking for 2nd opinion. Thank You 
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