519-646-2222Blog Articles
ARE GROCERIES GETTING TOO EXPENSIVE FOR YOU?
Still think minimum wage is too high? Prices at the grocery stores have been steadily increasing for a very long time, some apples are at five bucks a pound. They used be fives bucks for ten pounds – not that long ago. More and more, people are using credit cards to purchase groceries – not […]
Read moreDON’T TALK TO A TRUSTEE UNTIL YOU READ THIS
There are many myths about Insolvency (Bankruptcy) Trustees. Rethink your conversations. The fact remains that Licensed Insolvency Trustees (formerly Licensed Trustees in Bankruptcy) are the best trained debt-help professionals in the country. Just because you speak to a trustee does not mean that your information is automatically on the public record. Speaking to trustee will not […]
Read moreBANKRUPTS CAN LEAVE THE COUNTRY
There are a lot of urban myths about bankruptcy – one is that bankrupts cannot travel outside of the country. Canadian bankruptcy laws do not impose an automatic travel restriction on people filing for bankruptcy. Of course there are exceptions to every rule and if it were thought that a bankrupt individual might be planning […]
Read moreINSOLVENCY STATISTICS – MAY 2014
Interesting differences between Ontario and most other provinces. The latest insolvency statistics have been released by the Office of the Superintendent of Bankruptcy. Although May 2014 (the last reported month) saw a slight decrease in the number of filings over the same month in the prior year overall the numbers have increased slightly. However, what […]
Read moreWHAT IS THE FORMULA TO QUALIFY FOR A MORTGAGE
Many Canadian banks use TDS (Total Debt Service) and GDS (Gross Debt Service) Ratios to help them determine how much money you can afford to pay for your mortgage. The rules and guidelines for getting people into the largest single debt they will ever carry are somewhat fuzzy. As a first time homebuyer you can […]
Read moreHOW FLEXIBLE ARE CONSUMER PROPOSAL PAYMENTS?
Can the proposal’s terms be varied (changed) once agreed to? Consumer Proposals can be made provided that the total of all debts excluding a mortgage on a principal residence do not exceed $250,000. That value does, however, include car loans and mortgages on properties that are not a principal residence. Proposals can be very creative, […]
Read moreBANKRUPTCY AND THE CRA
Many people query whether or not the Bankruptcy & Insolvency Act (“BIA”) applies to the Canada Revenue Agency (“CRA”) in respect of government debt. The answer in most situations is categorically “YES“. Insolvency professionals (trustees) have a long history of working with the CRA and other government agencies to assist debtors in finding relief from […]
Read moreWHAT PERCENTAGE OF DEBT DO I PAY IN A PROPOSAL?
This is the magic bullet question. The Insolvency Trustee’s role in negotiating a proposal is to find the appropriate balance point between what you can reasonably afford to pay and what your creditors would find acceptable. The trustee is not there to either maximize returns for the creditors (that is their own role in the […]
Read moreLOVE AND MARRIAGE AND SHARED DEBT
Married people don’t always share debts. Just because you are married does not automatically mean that you share all of each other’s responsibilities in life. Many people think that they share their spouse’s debts but that is not ‘simply’ the case. There are different ways you can become responsible for someone else’s debts: If you […]
Read moreNEW ANTI-SPAM LEGISLATION IS IN EFFECT
Are you giving consent? Personally I never realized how much junk mail I actually get until people and companies actually started asking for permission to send me their emails. Most come from people I do business with already or I use as referral sources for clients and others. Initially I thought that I may offend someone […]
Read moreWHAT IF I DON’T MAKE MY BANKRUPTCY PAYMENTS
Not making the required payments in a bankruptcy will have a consequence. But it is not the end of the world. If you are having difficulty making payments you should discuss the problem with your trustee and work out an alternative arrangement. Remember small payments are better than no payments. There are processes in place […]
Read moreHOW WILL BILL 55 STOP DEBT CONSULTANTS?
That is a very interesting question and one that has a surprising answer. The Bill was intended to prevent Debt Consultants from charging exorbitant fees for what may be questionable services. The effect of the passage of Bill 55 is to amend the Collection Agencies Act to include companies offering “Debt Settlement” services. Such companies are […]
Read moreRECENT TESTIMONIAL
“if I know of anyone that need great service and, help I’ll give them your card” Mike That testimonial came from a recently discharged bankrupt. Trustees in bankruptcy all get similar testimonials. The interesting thing is that people are often caught like the proverbial deers in headlights until they have actually met with a trustee […]
Read moreYou need to change your mind about debt
Far too many Canadians are caught up in the debt cycle and it is costing them billions of dollars of wasted income every year It is legal in Canada to charge 60% interest. It is also legal in Canada to allow people 275 years to repay their credit card balances. Bank employees are rewarded with […]
Read moreSEVEN SIMPLE STEPS TO FILING A CONSUMER PROPOSAL
HOW A CONSUMER PROPOSAL WORKS 1. Free initial Consultation with Tom or Megan to determine if a Consumer Proposal is the correct option 2. Thoroughly complete an extensive application form either during the initial meeting or it may be taken away and returned completed 3. Review the application with Tom or Megan to ensure all required […]
Read moreMalfeasance in banking – is that news?
There are many instances of numbers being “fudged” to facilitate lending at banks around the world. While it is the RBS that is currently in the news, Canadian bankers are not exempt from bad behaviour. That behaviour can range from utilising inflated house appraisals to fudging other information to qualify borrowers for credit cards and […]
Read moreHow many times can someone go bankrupt:
There are no set limits on how many times an individual can file for bankruptcy. However, the outcome on application for discharge may be different for each subsequent bankruptcy. A first or second time bankrupt is usually entitled to an automatic discharge. A person filing for three or more times will be required to attend in […]
Read moreWHAT DOES A BLADE OF GRASS HAVE TO DO WITH ELEPHANT TESTICLES?
If you have watched the movie “JFK” you might recall Kevin Costner explaining the “magic bullet theory”. This was the official notion that one bullet was able to completely switch direction several times. Anyway part of his explanation about statistics went something like this: “Using the right statistics, you can make an elephant dangle over […]
Read more407 ETR ISSUES CONTINUE FOR BANKRUPTCIES AND PROPOSALS
In the face of the Supreme Court ruling the 407 ETR is closely reviewing its options. As at this writing the 407 ETR position remains unclear as their legal team is reviewing how individuals making proposals and bankruptcies will be treated. It appears that there is some clarity for bankrupts who have been discharged from […]
Read moreIs a good credit report really important?
Credit can be good or bad. Let’s take a few minutes to think about the reasons why a good credit report is important. If we want to purchase something we can’t afford we will need to borrow money (go into debt) to be able to afford it. Of course to be able to borrow money […]
Read more