Personal Bankruptcy Archives - Page 21 of 82

Is it possible to include a loan secured against a mortgage in a consumer proposal?

Posted on March 1, 2015April 14, 2016 by Jordan Rumanek

Is it possible to include a loan secured against a mortgage in a consumer proposal?

The first step is to confirm whether the secured creditor did its homework and actually registered their interests against your house or car (usually they have). Verify the registration by asking your lawyer to check the parcel registry on your house, or do a PPSA search in respect of your car or other assets. If the loan is registered properly, it will be included in the Consumer Proposal documents, but will not be among the debts reduced or stayed (put on hold) by the proposal. If you do have secured loans, talk to your Trustee about your options.

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.

How are student loans affected by a proposal or a bankruptcy?

Posted on March 1, 2015April 14, 2016 by Jordan Rumanek

How are student loans affected by a proposal or a bankruptcy?

It depends on the age of the student loan.

If the bankruptcy or proposal is filed more than 7 years since the end of your last semester using student loan funds, then the loan is dischargeable. When the process is done, the debt is gone.

If the bankruptcy or proposal is filed more than 7 years since the end of your last semester using student loan funds, the loan is still included in the consumer proposal or bankruptcy. No collection action can be taken against you during the process, but once the bankruptcy is discharged or the consumer proposal is complete, the loan is collectible again. Discuss this with your Trustee, as interest will still accrue, and you should have a plan to address it.

There is a provision in the Bankruptcy Act that if a person demonstrates true financial hardship, and the bankruptcy was file less than 7 years, but more than 5 years, after the last semester, the court may order that the debt does not survive.

Responsibilities For Spouse’s Credit Cards?

Posted on March 1, 2015April 14, 2016 by Jordan Rumanek

Responsibilities for spouse’s credit cards?

– Responsibilities for spouse’s credit cards? If the parties have signed for the credit card or loan as co-applicants or joint account holders, each person is responsible for its payment in full (joint and several liabilities). In these cases, the monthly bill will usually be addressed to both responsible parties.

– The principal card holder is fully responsible for charges against a supplementary (e.g. spouse’s) credit card. In these cases, the bill is addressed to the principal card or account holder.

– Sometimes, creditors will pursue the supplementary account holder for the debts of the principal card holder. In these cases, it would be helpful to be able to prove that the charges were not on the supplementary card.

Bankruptcy Help

Posted on March 1, 2015April 14, 2016 by Jordan Rumanek

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.

Category: Personal Bankruptcy

Is it possible to include a loan secured against a mortgage in a consumer proposal?

Is it possible to include a loan secured against a mortgage in a consumer proposal?

How are student loans affected by a proposal or a bankruptcy?

Responsibilities For Spouse’s Credit Cards?

Responsibilities for spouse’s credit cards?

Bankruptcy Help

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