After you are discharged from bankruptcy and perhaps even before you are discharged from bankruptcy, it is time to start researching what steps you need to take in order to rebuild your credit. Once you are discharged, you will be essentially starting over at zero in terms of credit history and standing. Step 1: Research all major credit card companies and find out who is willing to give you a credit card. You may have to apply to a few different banks in order to get approved. Each application reduces your credit score. Mastercard has several credit cards such as Capital One, Canadian Tire and Affirm may be a place to start. You may want to research pre-paid secured credit cards as a safe place to start. Once you have been approved, use your card each month but be careful never to exceed the card limit. It is crucial to pay off these cards in full each month to improve your credit history—this is your fresh start and the foundation of good credit history, it will give you more freedom in the future. Good Luck!
Our children and grandchildren are our future and what better gift can we give them than the gift of financial literacy. We need to teach the next generations about money: how to save, how to think about spending, how to budget, how to think about their financial future and who to go to for extra financial advice—when the time comes. Children need to understand the practical basics of money and develop a positive relationship with money in order to help them achieve what they want.
Here are a few tips to help parents get started:
First, know that parental involvement is key in children’s financial success
Teach children the value of money, how to earn money and how to budget
Do not spoil your children regardless of your income
Do not pay for whining or crying children
Do not always say no!
Discuss your family budget openly and often
Open a bank account for your child
Develop the idea of quality over quantity
Develop the notion that you can’t always get what you want
Teach young children how to count change and introduce and explain tax
Have a family discussion about allowance: Is it necessity?
Teach the “Pay yourself First” lesson or let them read: The Wealthy Barber
Introduce the idea of Good vs. Bad spending
Discuss the true nature of Credit Cards: Pros and Cons
Introduce the idea of charity and why people give to others—if possible
Can a Senior File a Consumer Proposal or go Bankrupt?
There are no rules that prevent anyone from filing a Consumer Proposal just because you are 65 years of age. With today’s average of $69,000 in unsecured debt for those 60 years and over, the need to take action is important. The advantage that a senior has is that their pension income is a constant cash flow which can be used to finance the payment required for the Consumer Proposal. As well, creditors seem willing to accept a more reasonable (i.e. lower) settlement than they would if the offer to settle comes from a younger person. When every dollar counts, it pays to take advantage of anything you can.
It can often feel lonely when you are in debt because it is often embarrassing and difficult to talk about financial problems. You have options and you can find people to help you and talk to you—perhaps you can find these people in the form of a support group. Debtors Anonymous is a group of people who have been or are currently experiencing financial problems. The program is a 12-step program and you gather with other people to share your experiences, find a sponsor to help you set up a spending plan and essentially help you get your financial life back on track—especially if you feel your life is unmanageable. You can search for a support group by going to www.debtorsanonymous.ca to find a location near you. This website also offers information regarding various events, news you can use and different groups in your area.