Category Archives: Personal Bankruptcy

Advice and information on personal bankruptcy in Canada provided by Bankruptcy Canada trustees. Learn important facts about filing bankruptcy then contact one of our local bankruptcy trustees in your province who can help.

Is There Still A Social Stigma About Filing Bankruptcy?

 10 Mar 2014
social stigma embarrassed bankruptcy

In the “old days”, twenty or thirty years ago, there was definitely a social stigma about filing bankruptcy. Much of the media stories about bankruptcy involved companies and not individuals. Canadians believed that if you borrowed money you should pay it back and this belief was reinforced with stories about…

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Bankruptcy and Traffic or Parking Tickets. Are They Included?

 05 Mar 2014
parking and traffic tickets in bankruptcy

Tickets and fines are not debts that are dealt with by the Bankruptcy and Insolvency Act. This includes parking tickets, speeding tickets or any court imposed fine as a result of an offence.  These are debts specifically excluded under section 178 (1) of the Bankruptcy and Insolvency Act. The only way I…

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What Types Of Personal Bankruptcy Are There In Canada?

 03 Mar 2014
personal bankruptcy Canada

Bankruptcy in Canada is governed by the Bankruptcy & Insolvency Act (BIA or the Act). Individuals who are having personal debt problems have the option under bankruptcy law to file personal bankruptcy or a consumer proposal in order to eliminate their debt. Bankruptcy is seen as the solution of last…

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Student Loans: The 5-Year Hardship Provision

 26 Feb 2014
student loans bankruptcy hardship

As a follow-up to our post about how the 7-Year Student Loan Rule works if you file bankruptcy or a consumer proposal, we thought we would explain in more detail how a student can reduce the waiting period to five (5) years under certain specific conditions. Under the Bankruptcy & Insolvency…

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Student Loans: The 7-Year Rule Explained

 24 Feb 2014
student loan bankruptcy 7 year rule

One of the most complicated areas of bankruptcy law is the rules surrounding bankruptcy and student loans. Almost everyone by now knows that there is a 7-year bankruptcy rule for student debt. This rule has been around since 2008, but is commonly misunderstood. The Bankruptcy and Insolvency Act, specifically section 178….

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3 Most Asked Bankruptcy Questions

 17 Feb 2014
personal bankruptcy FAQ

While there are dozens of questions that people may ask when they are thinking of filing personal bankruptcy, the three most common are those that directly affect their day to day lives. Most want to know what happens to their car if they file bankruptcy because they need transportation to…

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What is the Credit Reporting Process For A Bankruptcy?

 12 Feb 2014
bankruptcy credit report

In Canada, credit reports are maintained by two main credit bureaus: Equifax Canada Inc. and TransUnion of Canada. Their objective is to collect information that lenders would consider important in making a decision about whether or not they should grant you a loan. What each credit bureau does is collect…

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Bankruptcy Does Not Discharge Support Payments

 10 Feb 2014
bankruptcy and support payments | child support | alimony

Filing bankruptcy does not discharge your obligation to pay court ordered alimony, spousal or child support payments. This includes both arrears and on-going payments. Unlike other unsecured debts, arrears for court ordered child support or alimony are not discharged by either a bankruptcy or a consumer proposal in Canada.  The…

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Will My Assets Be Sold if I File Personal Bankruptcy?

 03 Feb 2014
does bankruptcy trustee sell all my assets

When you file personal bankruptcy in Canada, you are permitted to retain certain assets while others are subject to seizure by your bankruptcy trustee. Your trustee has a responsibility to ‘realize’ on these non-exempt assets, which means that they have to turn the value of these assets into cash to…

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7 Options For Student Loan Debt Reduction

 29 Jan 2014
student loan debt reduction options

Student loans are discharged in a bankruptcy if they are more than 7 years old but what if you don’t want to file bankruptcy or your loans are less than 7 years old.  If you owe money on student loans, you have the following debt reduction options. Option 1 –…

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