How long does a No Asset Procedure last for?

What you need to know

Once you have applied for entry you may not obtain credit (including hire purchase), either alone or jointly, of more than $NZ100 without first informing the credit provider that you have applied for entry.  After acceptance, you may not apply for credit of more than $NZ1,000.

You are automatically discharged from the No Asset Procedure (NAP) 12 months after the date of admission.

On discharge your debts become unenforceable and you are not liable to repay any part of the debts, including any penalties or interest.

The Official Assignee has the power to terminate your NAP early if:

• You were wrongly admitted (e.g. because you concealed assets) or
• Your circumstances have changed enabling you to pay some or all of your debts or
• A creditor applies for your bankruptcy and the application is granted.

A NAP is terminated by written notice, whether or not you receive it.  All creditors are also sent the notice.

The effect of termination is that all your debts that became unenforceable on your entry to the NAP become enforceable again.