Bankruptcy Information Archives - Page 3 of 45

Categories of Debt

Posted on December 30, 2016March 15, 2018 by Jordan Rumanek

Categories of Debt

All debts are either secured or unsecured. In the case of a secured debt, if the debt is not paid, the creditor has some type of collateral it can look to for payment. The best examples are mortgages and liens arising from the purchase or lease of a car. Any debt that is not a secured debt is unsecured debt.

When a debtor has an unsecured debt the creditor has no collateral it can look to if the debt is not paid. Most credit cards are unsecured debt. There are three different categories of unsecured debt: debt owed to the government, debt arising from a consumer transaction, and non-dischargeable debt. Eliminating debt owed to the government can be challenging. Settling government debt is not available nor is credit counselling. Government debt, however, can often be eliminated when the consumer makes a consumer proposal or files for personal bankruptcy.

Eliminating unsecured consumer debt is less daunting. A consumer might be able to take advantage of a limitation period, make a one-time lump sum payment, do credit counselling, make a consumer proposal, or file for personal bankruptcy. Non-dischargeable debts are those debts which cannot be eliminated by making a consumer proposal or filing for personal bankruptcy. These include the following:

Spousal support and child support obligations
Government fines
Student loans where a person ceased to be a student less than seven years ago
Civil judgments involving fraud

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 Can I Avoid Collection Calls?

Posted on November 25, 2016April 12, 2016 by Jordan Rumanek

How can I avoid Collection Calls

Many Canadians are very uncomfortable receiving a collection call from a bill collector. In some instances it can be a major headache for an Ontario resident to get a collection call at the workplace. There are three basic strategies for avoiding collection calls:

Reduce the likelihood that a bill collector can find your phone number

You might want to get a new phone number if you are getting phone calls or you anticipate receiving collection calls. If you have a landline you should consider getting an unlisted number—and advising friends and family not to give out this unlisted number to anyone. Furthermore, you should avoid having your name mentioned on your voicemail greeting.

Effectively screening potential phone calls from bill collectors

There are a substantial number of tactics you might employ to screen your calls:

Letting all incoming calls go to voicemail
Using the call display feature on your phone to screen your calls
Have someone else answer your phone
Decline to give out your name to callers unless they first identify the name of their employer

Dealing with a bill collector who does get you on the phone

If a bill collector does get you on the phone then you have every right to hang up on the bill collector—or simply put the phone down on the table, or let them talk to your dog—at any time! You are under no legal obligation whatsoever to speak to a bill collector.

If I Declare Bankruptcy can I be a Director?

Posted on November 11, 2016April 12, 2016 by Jordan Rumanek

If I Declare Bankruptcy can I be a Director?

Under the Ontario Business Corporations Act, you are not allowed to be a director of a corporation while you are in the bankruptcy process. During the period from the date when you sign the initial bankruptcy papers to the date when you are discharged from your bankruptcy, you must not be a director of any corporation, whether for profit or not. If you are a director of your church via a Not-For-Profit corporation, you should resign your position as a director. As soon as you are discharged from your bankruptcy, you may become a director again. Note that this does not apply if you are filing a Consumer Proposal – it only applies to a bankruptcy.

When you file an Assignment in Bankruptcy, you must assume that your creditors will do a computer search within their bank system. If you are a director of your church, a letter will be sent to the church by your creditor requesting clarification of your status. In extreme circumstances – if your church has a bank loan, the bank may reduce the authorized total loan available to the church or ask that the loan be paid off. Unfortunately, the letter will be sent to the person at the church who normally deals with banking matters. It may or not be you.

Discussing this with your trustee before you file the bankruptcy papers will save on the embarrassment later.

Bankruptcy and Student Loans in Canada

Posted on November 4, 2016May 26, 2022 by Jordan Rumanek

Bankruptcy and Student Loans in Canada.

We have written many articles over the years about student loans. We recently found the enclosed article which details the history of student loans and bankruptcy in Canada. It is reproduced in its entirety:

The History of Bankruptcy and Student Loans in Canada

Treatment of Student Loans Under Canadian Bankruptcy Law

Tag: Bankruptcy Information

Categories of Debt

Categories of Debt

How Can I Avoid Collection Calls?

How can I avoid Collection Calls

If I Declare Bankruptcy can I be a Director?

If I Declare Bankruptcy can I be a Director?

Bankruptcy and Student Loans in Canada

Bankruptcy and Student Loans in Canada.

We have written many articles over the years about student loans. We recently found the enclosed article which details the history of student loans and bankruptcy in Canada. It is reproduced in its entirety:

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<img decoding="async" class="alignright size-full wp-image-2797" src="https://b2015488.smushcdn.com/2015488/wp-content/uploads/2013/04/bankruptcy_debt.jpg?lossy=1&strip=1&webp=1" alt="bankruptcy" width="150" height="150" />Categories of Debt

<img decoding="async" class="alignright size-full wp-image-1558" src="https://b2015488.smushcdn.com/2015488/wp-content/uploads/2012/03/Bankruptcy_People.png?lossy=1&strip=1&webp=1" alt="Bankruptcy People" width="150" height="150" />How can I avoid Collection Calls

<img loading="lazy" decoding="async" class="alignright size-full wp-image-5437" src="https://b2015488.smushcdn.com/2015488/wp-content/uploads/2012/02/bankruptcy1.jpg?lossy=1&strip=1&webp=1" alt="Bankruptcy" width="150" height="150" />If I Declare Bankruptcy can I be a Director?

<img loading="lazy" decoding="async" class="alignright size-thumbnail wp-image-5223" src="https://b2015488.smushcdn.com/2015488/wp-content/uploads/2012/01/54-150x150.jpg?lossy=1&strip=1&webp=1" alt="Bankruptcy" width="100" height="100" />Bankruptcy and Student Loans in Canada.

We have written many articles over the years about student loans. We recently found the enclosed article which details the history of student loans and bankruptcy in Canada. It is reproduced in its entirety:

Get Started Now

Schedule Your

Categories of Debt

How can I avoid Collection Calls

If I Declare Bankruptcy can I be a Director?

Bankruptcy and Student Loans in Canada.