Category: Consumer Proposal

Bankruptcy – Reboot Your Life

Ok, so your financial life is in the toilet. It could be the result of illness, job loss, a disaster of some kind. Whatever the reason you still have your family and your mind. Of course, there are the emotional issues of filing a debt consolidation proposal or bankruptcy. Treat the emotional issues as an advertising issue. All of the banks, financial institutions (visa, mastercard etc.) have been telling us that we should pay our debts. Yeah! Right! What they want is for us to pay the minimum monthly payment so it takes us thirty years to pay the debt. We pay interest until we are old and grey- assuming we never have an emergency and have to charge anything during those thirty years. The law (Bankruptcy and Insolvency Act) is meant to help an unfortunate debtor who is in debt over their head to be absolved of most (if not all) of their debts so that they can rebuild their lives. I do not mean to imply that bankruptcy is a simple process, it is not. But it is not as hard as you might have heard. In the majority of bankruptcies you get to keep your clothes, furniture, car and, yes, even your house. Your employer is informed of the bankruptcy only if there is a garnishee on your paycheque. The garnishee is stopped by the law but the letter from the trustee that stops the garnishee unfortunately tells the employer what is going on.

Many trustees offer a free initial consultation. If you feel that you are in financial trouble take advantage of this. At this first meeting bring a list of your assets and liabilities as well as a list of all of your questions. Remember, there are no silly questions- ask everything. If there are alternatives to a bankruptcy (such as a debt consolidation proposal) your trustee will discuss them with you. As you proceed through the bankruptcy your trustee and his administrators will guide you during the process. When you are discharged from your bankruptcy you will continue to receive help in rebuilding your credit rating and in obtaining a credit card.

Contact Rumanek & Company Ltd. for more information on bankruptcy and debt solutions. Or please fill out the free bankruptcy evaluation form. To learn more please visit our YouTube Channel. Rumanek & Company have been helping individuals and families overcome debt for more than 25 years.