519-646-2222Bankruptcy is Great!
It’s true bankruptcy is great, for some people. Bankruptcy is a great option to resolve challenging debts, in fact it was very popular, but has recently been usurped by consumer proposals. We explained consumer proposals in this BLOG, so in this one we will focus entirely on bankruptcies.
Qualifying for Bankruptcy:
You must live in Canada, do business in Canada or own property in Canada, and…
- You owe $1,000 or more of debt provable in a bankruptcy.
A claim provable in bankruptcy is a claim for a debt that was acquired prior to the date of bankruptcy and includes debts that were acquired before the date of bankruptcy but become due after the date of filing – the most common example is a deferred payment for furniture bought during a don’t pay a cent event.
- You cannot afford to pay your bills as they become due.
If you do not have sufficient funds to be able to cover your basic living expenses and pay your bills on the due dates.
- A sale of realizable property would not result in sufficient funds to repay your creditors.
Most commonly owned property cannot be seized and sold to pay your debts, this includes furniture, clothing, pensions, RSPs, Life Insurance, a vehicle, an amount of equity in your house, and more. For more details call the office at 519-646-2222
Starting the Process:
Call the office at 519-646-2222 to arrange for your free no obligation consultation. We can arrange to meet in person at pour location or yours, by telephone or by Zoom. At the consultation we will help you to complete an application form or provide one for you to take home and complete. Alternatively, you can download one here on our website.
Signing the Documents:
Once we have all the information we require, primarily the application form, proof of ID as well as account numbers for creditors and serial numbers for vehicles, we can arrange a time to get together to sign the official documentation. After the signing of the official documents, they are efiled and the process begins.
That’s it, simple!
Bankruptcy is a great option for people with few assets, more debt than they can afford to pay and low or relatively low income. For people who are homeowners or who have more substantial assets and higher incomes a proposal usually makes more sense.
Contact the office to find out what the best solution for your and your family might be.