Filing for personal bankruptcy may seem daunting and catastrophic. Debt affects many individuals daily and it is important to recognize when you need help. In speaking and working with a Licensed Insolvency Trustee, you will find a committed helping hand. Any individual who has lived and has had business in Canada within the last 12 months can qualify for personal bankruptcy as long as they are insolvent. To file for personal bankruptcy you must owe a minimum of $1,000 and have difficulty making payments to your creditors as they become due. A Licensed Insolvency Trustee will offer personal solutions to your financial difficulty and will deal directly with your creditors. If your Licensed Insolvency Trustee has suggested bankruptcy as the most suitable option, you may feel disheartened and overwhelmed. We understand that experiencing financial distress takes a toll on your mental and physical health, as well as your personal relationships. Our hope is that a personal bankruptcy proceeding will help alleviate some of the burdens you are experiencing and set you up for a positive financial future.

One of the worst parts of dealing with debt is to have to be reminded of it as you are trying to relieve yourself from the financial burdens. Threats, lawsuits, or collection agencies’ calls are constant reminders that you are in financial debt. The first benefit of filing for bankruptcy with a Licensed Insolvency Trustee is immediate protection from your creditors. The immediate protection is also known as a stay of proceedings. Once you file for personal bankruptcy, the Licensed Insolvency Trustee will inform any party involved, including the courts, to stop any legal action or threat against you, excluding actions related to child and spousal support. No need to take your phone off the hook; think of your Licensed Insolvency Trustee as your financial bodyguard.

Have you been asking yourself, “how long will I be bankrupt?”; if you have never filed for personal bankruptcy before, you could receive a discharge from your eligible debts in as little as nine months. There are a few things to consider that may prolong personal bankruptcy. The discharge will be delayed if you make surplus income as per the Superintendent of Bankruptcy’s guidelines, if you have filed for bankruptcy before, or if you fail to complete your duties, which your Licensed Insolvency Trustee will outline to you prior to filing an assignment in bankruptcy. The second benefit of filing for personal bankruptcy is once you receive a discharge, you can restart your life and build up your credit. As long as you stay on track and follow the recommendations and requirements laid out for you by a Licensed Insolvency Trustee, you will be discharged of your eligible debts in no time.

The discharge of your eligible debts is a third benefit of filing for personal bankruptcy. Eligible debts that can be discharged following a personal bankruptcy are unsecured debts stemming from items such as, lines of credit, credit cards, personal income taxes, personal loans, payday loans, and, in some cases, student loans.

Are your finances causing emotional stress? Are your credit cards at the maximum limit? Are you paying one credit card with a cash advance from another credit card? Are you borrowing from payday loan companies? Are high-priority bills being paid with credit cards? Are you failing to make important payments on time? Once an initial financial assessment has been completed, your Licensed Insolvency Trustee will evaluate if personal bankruptcy is the best option for you. If you have any concerns regarding personal bankruptcy or want to inquire about filing for personal bankruptcy, call Pollard & Associates Inc. today!