personal bankruptcy trustee

When Is Personal Bankruptcy
A Good Idea?

When you decide to file for personal bankruptcy, it only means that you can’t repay all your debts. However, bankruptcy whether it be personal or business bankruptcy is not the only option you have. A licensed insolvency trustee Red Deer professional can show you the best option for your situation. They are highly trained and qualified debt counselors who can administer consumer proposals or bankruptcy in Canada. The initial consultation is free, and you’re not obliged to return or move forward.

Since bankruptcy should be your last resort, here are some important things to consider before filing your application.

  • What Will Happen To Your Home?

If it’s already difficult for you to make your mortgage payments, maybe it will become easier if your debts are wiped out. 

  • What Will Happen To Your Car And Other Properties? 

It will depend on what you have done with your properties as well as the property exemption laws you’re qualified for.  If you have a secured loan and you put up one of your cars as collateral, the creditor may still get your asset even if you’re in bankruptcy.

  • What Debts Will And Will Not Be Wiped Out? 

Tax debts, child support, and alimony are some examples of debts that can’t be forgotten through a bankruptcy process. 

 

  • Are Your Pension Plans Safe? 

State laws protect most life insurance policies and pension plans, but it’s still a good idea to know whether your life insurance policy or pension plan will still be protected even after filing for bankruptcy.

 

  • Are Your Credit Card Debts Going To Be Wiped Out? 

If you spent beyond your means or you provided false information during your credit card application, bankruptcy won’t wipe out your credit card debt.

 

    Remember that when you file for bankruptcy, you will be required to show the court all aspects of your financial life. Other people may also know that you filed for bankruptcy.

What Kind Of Protection Does Bankruptcy Offer?

  • Your salary is protected from wage garnishment. Any current garnishment is suspended, and you are provided legal protection against garnishment in the future. 
  • If you have not been a full-time student for over 7 years and you want to declare bankruptcy, you may not be required to pay your student loan debts. 
  • Your job won’t be affected by your insolvency. In some cases, the jobs assigned to you or your position may be restricted. In most cases, however, you’re not required to disclose your insolvency. Employers can’t fire you for declaring insolvency because it’s prohibited in Canada. 
  • Bankruptcy will eliminate your tax debts, but special rules are observed regarding this matter. A licensed Red Deer insolvency trustee can assess your situation and verify if your tax debt will be wiped out when you file for bankruptcy. 
bankruptcy protection

What Kind Of Protection Does Bankruptcy Offer?

If you’re considering bankruptcy and you want to know what options you have, just call us, and we will be ready to help! Our licensed insolvency trustee Red Deer will be with you every step of the way to help you gain control over your financial life once more. We will assess your personal situation and help you determine the best option for you.

Source: https://Insolvencytrusteereddeer.ca