I can’t go bankrupt on only $5,000
There is no magic number or threshold that must be reached to be eligible to file a bankruptcy or proposal, some people think “I can’t go bankruptcy ononly $5,000”. The reality is that $5,000 for some people might as well be $5,000,000 based on their means.
Although it would not make any sense to file a bankruptcy or proposal for such a small amount of debt, the official threshold is only $1,000 and having the inability to pay debts as they become due. The costs of administration exceed the debt threshold making such an insolvency less than practical.
Nonetheless, if you are having trouble finding a solution to your debt problem, however small, give the office a call remember that bankruptcies and proposals are not the only solutions and we may be able to help you out.
Consultations are always free of charge 519-646-2222