Myths About Bankruptcy
Many people wait too long to get the debt help they need. For most people experiencing money problems, the thought of filing personal bankruptcy or making a consumer proposal is a last resort. Their first instinct is often to sell assets. The problem with this strategy is that people are rarely able to get enough money from…
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Is it possible to consolidate different types of debt into one payment?
CAMERON ASKED: I was just wondering if I could consolidate credit cards and a line of credit as one payment? ANSWER: There are a couple of ways to consolidate your credit card debts and line of credit into one monthly payment. You could talk to your bank about getting a consolidation loan. The goal of…
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The Truth About Licensed Trustees In Bankruptcy
Licensed Trustees in Bankruptcy are officers of the court. I have seen and heard a lot of advertisements from various credit counseling firms warning people against dealing with a licensed trustee in bankruptcy. They make the case that they are working for you, the debtor, whereas a licensed trustee in bankruptcy is working for your…
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Seniors May Need Financial Help Before or After Retirement
As approximately five million Canadian seniors and boomers approach retirement, there is a real fear that they may not have enough money saved to make retirement comfortable. A recent report released by the Vanier Institute of the Family stated that “the insolvency rate for those over 55 has been on a consistent upward trend. Seniors…
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When To Open A New Bank Account
Whenever I meet with anyone that is considering making a consumer proposal or filing personal bankruptcy in Ontario, I always recommend that they do their personal banking at a bank where they don’t owe any money. In many cases this means opening a new bank account at a different bank. Why? Because when you make a consumer proposal…
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Key Differences: Trustee In Bankruptcy vs. Debt Settlement Companies
There are important reasons why using a Trustee in Bankruptcy, like Welker & Associates, will always be a better choice. These are the critical differences between a Trustee in Bankruptcy, like us, and Debt Settlement companies. A Trustee in Bankruptcy: Is Licensed by the federal government Office of the Superintendent of Bankruptcy, a division of…
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Stop Paying Your Creditors
People are always surprised when I tell them to stop paying their creditors. In many cases it’s the best advice. Once you’ve determined that you can’t dig yourself out of your personal debt issues on your own, you should stop paying the creditors that will be included in your consumer proposal or personal bankruptcy filing. Making…
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Which creditors can be included in a consumer proposal?
Creditors are a big part of the consumer proposal process. Proposals deal with all of your unsecured creditors (creditors that do not hold any assets as collateral for your debts) including: Credit cards Lines of credit Personal loans Payday loans Government debts Income taxes When filing, it is important to list all of your creditors. One…
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Is it a good idea to consider filing a consumer proposal if you have surplus income?
Yes! If you have surplus income and you file personal bankruptcy your process will be longer and you will be required to submit monthly surplus income reports. A first-time bankrupt with surplus income is not eligible for an automatic discharge for 24 months and a second-time bankrupt with surplus income is not eligible for an…
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When is a meeting of creditors required in a consumer proposal?
When you file a consumer proposal you are asking your creditors to settle the amount of debt you owe. Since you are attempting to compromise your debt you need your creditors to accept or agree with the terms of your proposal. In many cases creditors will accept it as filed however sometimes creditors are not satisfied…
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