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Sunday, July 20, 2008
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131 comments:
Anonymous
said...
I have a leased vehicle for which the payments are up to date. There is no equity in the vehicle.
Anon: You probably can keep the vehicle in a bankruptcy, although some lessors have a policy of taking back vehicles where a bankruptcy is involved.
If you come to see me for a free consultation bring the vehicle documents with you I will be able to give you a definite answer after reviewing the documents.
Anon: CRA does not oppose discharges simply because they were a creditor in the bankruptcy. Any opposition to a discharge by CRA is based on the person's conduct, both before and after bankruptcy and the person's ability to pay. CRA opposes very few discharges.
I have to file bankruptcy but my wife, who has her own career and is not responsible for any of my debt, is worried that my bankruptcy will affect her.
Anon: If your wife is not responsible for any of your debt then her credit rating and assets will not be affected by your bankruptcy. For more information please refer to:
I am considering filing bankruptcy. I consolidated my debt and currently have a loan that my parents co-signed. I now have extensive credit card debts again.
How would filing bankruptcy affect my loan that my parents co-signed. I don’t want them to have to pay for the loan.
I am single and recently lost my job due to health reasons. I am now on welfare. I receive 600.00 a month. I am in debt 7500.00 and have no assets. Can I declare bankruptcy, and what will it cost in terms of fees etc. to do so?
Anon: You can file for bankruptcy. It will cost you about $1,700.00, which can be paid over 9 months.
I don’t think you should file because you are judgement proof which means the creditors cannot seize any of your assets or your welfare payments.
Judgement Proof: A term to describe assets protected from being seized by a creditor. i.e. assets a creditor cannot seize by going to court and getting a judgement.
I have a student loan since 1996, I went back to school in 2001 and finished in 2003 at my own expense. Is that laon considered 12years old or is it only 5 where I finished school in 2003. Am I eligable to declare bankruptcy on that loan?
Anon: There is uncertainty on this since the regulations and text of the new bankruptcy laws are not available. I have heard that going back to school will NOT restart the clock under the new laws but would have to see the text of the new code to be certain.
The courts in some cases have said that going back to school does not restart the clock. Please refer to this paper on student loans for the case(s):
i have filed bankruptcy and have been discharged.I recently got a copy of my credit report and it shows all my creditors as R9.Will this be erased after the 6 years?Also some creditors are still reporting on my report as of last month as R9 even though i'm over 5 years into my bankruptcy,is this legal?
Anon: The record of your debt will be erased from the credit bureau 6 years after your discharge from bankruptcy.
You might want to put a note on your credit bureau report explaining that the most recent creditor comments pertain to debt that is not current and in fact is captured by your bankruptcy. For more information on this please refer to:
I have about 40,000 in student loan debt and 10,000 in credit card debt. I don't own a home or a vehicle. I haven't been a student since 1995. I also owe for a computer and about 2,000 in personal loans. I lost my job and my EI runs out in a couple of weeks. Is filing personal bankruptcy my best option? Also can you claim a credit card debt where you were only an authorized user?
Am I supposed a list a credit card that I am only an authorized user on in my Bankruptcy? And if I do what happens to the primary card holder? are they responsible for all the debt or only purchases they signed for?
Anon: You must list that debt when you file bankruptcy. The primary card holder will be responsible for all the debt that is attached to that credit card.
I filed for personal bankruptcy in July 2002 and was discharged in April 2003. I was informed that the bankruptcy would stay on my credit report for a total of 7 years, the first year and then 6 years from discharge for a total of 7. Now people are telling me that it's 8 years from being filed. This was not what I was told in 2002. Can you resolve this for me.
Anon: The record of your bankruptcy is erased 6 years after your discharge by Equifax and 7 by Transunion. For more information on this please refer to:
I would like to know if you are able to continue to pay on one vehicle, and the other has only has a value of $1000 can you keep both vehicles if they are both required for transportation to and from work? We just took out the mortgage on our first home this past July, and can continue to pay on this, will we lose our home?
I filed for Bankruptcy in Oct.2004 and was discharged around June 2005. I have since run up debts of approx. $4000 and now the Student loan I had in 2001 which I couldn't include before is coming back to haunt me. Is there any recourse? Can I file again or is it 7 years as I have been told?
I just filed for bankruptcy on May 8,2009. When I need to fill out the income & expenses sheet,do I need to start from May 1-31 or from the day I signed the paper's(may 8) to the last of the month.
Me & my husband filed for bankrupy earlier this month.I was wondering do it go by just net income from the two us or do it go by your net income & expenses payed out, that decides if you are going to have to pay more on the bankupty.
I am planning on fling for bankruptcy around the first week in june.I heard you have to fill out expense sheets, when do i start to fill them out the first of the month or the date that i sign the papers.
Hi! I have a family member who requested I get some information for them. Hopefully you can help. He filed for Bankruptcy in the 80's and it was discharged. He filed for Bankruptcy again in 2008, has been making those payments, and it will be reviewed in August. The total amount for this Current Bankruptcy is less than $50,000. He was the beneficiary of the life insurance policy of a family member that recently passed away, for which he received $150000. He has received mixed information on what he has to do with the money now, as the amount received is more than he settled in bankruptcy. He was originally told that they would only take the amount owed, but they are now saying that they want it all because it is his second bankruptcy. Which of these is the right thing? What is the normal process here?
Myself and my common law partner are planning on filing for bankruptcy within the next few days.We are planning on getting married by the parish prist and my family is paying for the small wedding .Does this affected the bankruptcy in any way...
We filed for bankrupty a few weeks ago and now my husband has the opportunity to help out a few family members for cash money.Are we allowed to do this ,while we are under bankrupty? Do you have to tell our trustee? and also can family members give us money to help us out.
I am working now and receive about 3400 a month between me and my wifes income, in five weeks I will be laid off and will than go on ei, our total income then will be 2400 per month, our monthly bills will come to more than our income then, we are so far behind now that eve with two of us working now we can't catch up on the bills, my wife also owes revenue Canada a substancial amount, which we have been paying very little on.Would a Trustee be able to help us out and would I have to wait untill I got laid off to file for bankruptcy
My husband left me and the kids. He is not paying support because he quit his job and there is no court order in place yet. I am struggling to pay the mortgage and bills. If I declare bankruptcy will I lose my home if I agree to keep these payments current.
i'am in bankruptcy & have never defaulted on my mortgage. the bank claims that i have more equity in my home than realestate evaluation claims. they put my house on the market, no offers for 6 months. how long can they keep it on the market for?
Anon: The only way the bank would have authority to exert control over the sale of the house is if they had foreclosed. You said you were never in arrears on the mortgage so they would not have foreclosed.
if you default ( late with the mortgage payment) on your mortgage and the bank orders your house to be listed to sell , how long can it be on the market for if it doesn't sell , the price reduced several times and still no offers.
Can I get a Federal or Provincial Student loan after I have declared bankruptcy? (I had previous student loans which were included in my bankruptcy, they were ten years old)
With respect to the time for discharge from bankruptcy: if I declared bankruptcy now, it would be my 2nd time (largely due to medical reasons, I have been unable to meet my significant financial obligations and have had to take a job earning far less income than I had planned when I accrued all my previous debt). When they say the amount of time to discharge depends on income, are they talking about my own personal income, or our joint family income, in the case of my wife and I? (my debts are all CRA and student loans).
I am a student who has one semester of school left. I currently have too much credit card debt to handle (5000) and am quite over my head. I understand that student loans are exempt from bankruptcy, but I have a student line of credit from a bank that was cosigned by two people. Would my claiming bankruptcy affect them even though I assume this loan is also exempt from bankruptcy?
I became a single mother a year ago and i currently living on welfare getting 672.00 a month from them. I have about $9000 in credit card debt which i was paying off when I was working but since I became a single mom I have not been able to pay it so therefore the credit card companies are constantly calling me telling me they are going to take me to court. I don't own a house or anything else. I just own a really old car. Should I file for bankruptcy? & if i do, do i love my family allowance?
Anon: You sound like you are judgement proof and if so do not need a bankruptcy to protect your assets from seizure.
Judgement Proof: A term to describe assets protected from being seized by a creditor. i.e. assets a creditor cannot seize by going to court and getting a judgement.
My husband and I own a 2005 vehicle which is paid for. We are looking into claiming bankruptcy but someone told us we would loose our vehicle even though there is no lien on it. Is this right Thank you
Anon: Newfoundland and Labrador exemptions allow equity of $2,000.00 in a vehicle to be retained. If the vehicle is used for business the exemption is $10,000.00:
I know that the bankruptcy act does not allow for legal action claims but if a financial institution has the first lien on our home and legal the second, are we eligible to claim. Also, does it matter what your income is and would we be allowed to keep our vehicle or any other assets. From reading questions on your site I see a vehicle is allowed $2000 equity, does this mean if your vehicle is worth more, you can't keep it.Thank you for your help.
My husband left June'09, I filed for divorce Nov'09, he has not paid anything for support since Oct'09. He was ordered by court to provide financial info by end of May'10 and back in court on June'10 so the judge can put interm support measures in place - hearing will be set for the fall for the child/spousal support, division of property and divorce. Ex has filed for bankruptcy and now I have been given 10 days to pay $46000 back to bank (visa & line of credit) and he wants a market assesment done on the house (I've made all the mortgage payments since separation - only 7 yrs remaining on mortgage), myself and our son live in this house. Can my soon-to-be-ex do this while things have not been settled in court? I do not want to file for bankruptcy, I am currently unemployed and have had to avail of income support - can he force me into it?
I noticed that after 5 years out of school you can claim bankruptcy on student loans if under certain circumstances... what are some of these circumstances?
Anon: You said: "I noticed that after 5 years out of school you can claim bankruptcy on student loans if under certain circumstances... what are some of these circumstances?"
You still have to have to have been out of school 7 or more years to have student loan debt erased in a bankruptcy. There is a "hardship" provision which allows a bankrupt or former bankrupt to make an application to court to have the student loan debt erased after 5 years. Please refer to:
i recectly got my absolute discharge from bankruptsy.my house did not have any equity and it did not sell when the trustee put it up for sale.i;m planning to move . can i sell the house now?
hiya...im currently in the 6th month of my bankruptcy...i have only incomed 930$/mth for the first 6 mths...now i have an opportunity to make a lot of money with a new job....my trouble is....if i start work now, will the surplus income extend my discharge date...? or should i wait until the bankruptcy ius over...?
p.s- - i hear that the 1834$ a single bankrupt can earn/mth is done on an average...i mean according to that i have 5400$ after the first 6 mths which was under my surplus income amount.....or does this go mth to mth?
Anon: At the eight month the trustee will average the income earned in the 1st. 7 months of the bankruptcy and your bankruptcy will be extended if the that average results in monthly required payments of $100/month or more.
3.5 years ago, I filed a consumer proposal with a trustee in alberta. Literally, 2 months later, I was home in Newfoundland and very ill. I have been on disability to this very day. My question is: I have obviously defaulted on the proposal but have not had any contact from the trustee or creditors since. what shold I do? I'm stessed over 'not knowing' what to do. Will the debt leave my credit record after the 6th year? Thanks
Hi I am doing this on be half of my boyfriend he is in dept really bad and were not sure what to do. We have a car and a truck that have been leased out and were really behind on the truck and car and he is reciving phone calls about being sued and going to court the trcuk has good value but the car only has a value of 5,000 and all this is in his name i dont own it but if we were to file bankruptcy are we able to keep the car that has no value really because we have children and he has to work and were so far from a hospital. then he ows revenu canada 15,000 and credit cards 3,000 I want to know is he able to file bankruptcy on goverment bills.so what is the best thing for him to do.
I separated from my wife 6 months ago. We have 2 kids. There is $19,000 equity in our home. I am renting an apartment and she is living in the home. The mtge is still in both our names as she does not qualify for the mtge as she is unemployed and the bank stated I have to remain on it. I am paying alimony. She is now making the mtge pmts. The house will stay in both our names. I will never get my $9500 equity from her but the main thing is that my 2 kids still have a home.
Do I qualify for the $10,000 principal residence exemption if I file for bankruptcy or do I have to pay my $9500 equity which i don't have to the trustee. It's still my home, i am signed on the mtge and my 2 kids live in the home. I own no other property. I still consider the home my principal residence since my kids live there.
Anon: You cannot use the $10,000 exemption as the house is not your principal residence. If you hypothesize a sale by factoring in real estate commission and property taxes and any mortgage arrears your equity will be very much less than $9,500. The trustee will also have problems realizing on the house if your wife fights any forced sale.
I suggest you sit down with one of the trustees on this site and have a frank discussion on what can be done for the benefit of all concerned (including the creditors).
I recently moved back to Newfoundland after 5 years in the US and I have Canadian and US debt. I have no choice to file for bankruptcy. Can I do this in Canda? How does that work when you have cross border debt?
Anon: A Canadian bankruptcy will erase the Canadian and the US debt in Canada. However if you move back to the states you can be pursued for the US debt.
I am a single parent.Who went through a divorce leaving me in debt of over $15000 and have no assets and am now on Social Assistance.I receive about 600.00 a month. which includes child support. Can I declare bankruptcy, and what will it cost in terms of fees etc. to do so?
"I am a single parent.Who went through a divorce leaving me in debt of over $15000 and have no assets and am now on Social Assistance.I receive about 600.00 a month. which includes child support. Can I declare bankruptcy, and what will it cost in terms of fees etc. to do so?
How much would it cost a month to declare bankruptcy if you on a fixed income?"
Please see this calculator which will tell you what a bankruptcy will cost and how long you will be in bankruptcy:
There is one debt that I cannot seem to get a handle on. I'ts a credit card of almost $20,000 which I fell behind on after being laid off. I have two houses, both mortgaged, one my principal residence, the other a rental. I have onother credit card and line of credit that's pretty well up to date. I applied for consoladition at the bank but was turned down due to the one $20,000 debt as it pulled down my credit rating. My wife has a small income from a convenience store and has perfect credit. Hope to be back to work at descent paying job in May of this year. Credit card company just sent me a 'statement of claim' via their lawyers office. So, in some way I need to act quick. Can you advise.
You can't give advice. Gosh, just thought that a Trustee could offer something, since you are the experts. So there is no sense in phoning or coming in to see you? Now I have no idea whatsoever what to do. I am more perplexed now than before I posted my comment.
I am working for the federal government and was transferred to NL, which is home for my wife and I, when we left AB our home was put on the market and I haven't been able to sell it for the past two years. It has cost me all my savings, maxed to credit cards and lots of stress and finally I sent the keys to the Bank, foreclosure has gone through and my home was sold for $70K less that the mortgage, if I we have to pay for this with our current debt can we claim bankruptcy? Will the home I now live in, a mortgage we did a year ago instead of paying rent, have to be sold? Also I use my car for work will it have to be sold?
I have a tax free annuity which is payed on my behalf though Mutual Life from a car accident. My question is do I have to disclose that information to the trustee during bankruptcy?
Anon: You said: "I have a tax free annuity which is payed on my behalf though Mutual Life from a car accident. My question is do I have to disclose that information to the trustee during bankruptcy?"
Anon: You said: "I have a question I have a overpayment from social assists and was wondering if I would be able to add that into the bankruptcy as well?"
This debt is not erased in a bankruptcy as it is considered fraud. Please refer to:
My wife and I are currently in bankruptcy. my question relates to lotto winnings. If we were to win a large amount, what would happen to these winnings. Also what happens if we happen to win a valuable material item, ie vehicle, tv etc.?
Anon: Lottery winnings or any material winnings belong to the bankruptcy estate so long as you are in bankruptcy or the triggering event happened when you where in bankruptcy.
in teh sale of a home where husband and wife have separated would my share of the proceeds be exempt from creditors were I to file for personal bankruptcy
If I were to file a bankruptcy this month, how long would it take for my payments to my creditors to cease. Also I am paying a monthly payment for my car so I would like to know if I can keep my car.
I have an ex boyfriend in Alberta which I had cosigned a skidoo and have purchased a mobile home with. 3 years I moved out, moved back to NL and he continued to live in this mobile and still does. He unfortunately has not been paying the mortgage for many months now.. Question is.. if he files bankruptsy what happens to the home in Alberta and am I then Liable for that home on my own? He has not been paying on the skidoo either. So, my credit is being ruined very quickly. What are my options? I will not be able to afford to pay on a home in Alberta or a skidoo that is in Alberta. If I have to file for bankruptsy, does it only effect things belonging to me, because I recently got married and have a son and I do not need this to affect my husband. Thanks
I have an ex boyfriend in Alberta which I had cosigned a skidoo and have purchased a mobile home with. 3 years I moved out, moved back to NL and he continued to live in this mobile and still does. He unfortunately has not been paying the mortgage for many months now.. Question is.. if he files bankruptsy what happens to the home in Alberta and am I then Liable for that home on my own? He has not been paying on the skidoo either. So, my credit is being ruined very quickly. What are my options? I will not be able to afford to pay on a home in Alberta or a skidoo that is in Alberta. If I have to file for bankruptsy, does it only effect things belonging to me, because I recently got married and have a son and I do not need this to affect my husband. Thanks
my father recently passed away in newfoundland.he left no will.he has left considerable debt. including a $3000 amount owed to the government.can i apply for bankruptcy on his behalf. thank you.
Hi, I am an international student. I have over 20,000 $ in credit card debt with interest rate of 20.00 %. I dont have any assent here or abroad. I have finished my studies and earning around 2,000 $ /month aand I am single. is a personal bankruptcy a solution for me?
We were discharged out of bankruptcy in febuary 2004,we have since brought our credit rating back to the 750 range.we applied for a mortgage this year and they still see the bankruptcy on our file,how long shoud this be visable?
We were discharged out of bankruptcy back in febuary 2004 and have since brought our credit rating back to the 750 range.We just applied for a mortgage and they still see the bankruptcy on our file.How long is this supposed to stay visable?
131 comments:
I have a leased vehicle for which the payments are up to date. There is no equity in the vehicle.
Will I be able to keep it in a bankruptcy?
Anon: You probably can keep the vehicle in a bankruptcy, although some lessors have a policy of taking back vehicles where a bankruptcy is involved.
If you come to see me for a free consultation bring the vehicle documents with you I will be able to give you a definite answer after reviewing the documents.
Will the CRA usually oppose a discharge if the debt owed to them was included in the bankruptcy? If yes, is there a minimum amount before opposing?
Anon: CRA does not oppose discharges simply because they were a creditor in the bankruptcy. Any opposition to a discharge by CRA is based on the person's conduct, both before and after bankruptcy and the person's ability to pay. CRA opposes very few discharges.
I have to file bankruptcy but my wife, who has her own career and is not responsible for any of my debt, is worried that my bankruptcy will affect her.
Will it?
Anon: If your wife is not responsible for any of your debt then her credit rating and assets will not be affected by your bankruptcy. For more information please refer to:
http://newfoundland.bankruptcycanada.com/faq.htm#9
I am considering filing bankruptcy. I consolidated my debt and currently have a loan that my parents co-signed. I now have extensive credit card debts again.
How would filing bankruptcy affect my loan that my parents co-signed. I don’t want them to have to pay for the loan.
Anon: If you file bankruptcy then your parents will be responsible for repaying the debt that they guaranteed.
I am single and recently lost my job due to health reasons. I am now on welfare. I receive 600.00 a month. I am in debt 7500.00 and have no assets. Can I declare bankruptcy, and what will it cost in terms of fees etc. to do so?
Anon: You can file for bankruptcy. It will cost you about $1,700.00, which can be paid over 9 months.
I don’t think you should file because you are judgement proof which means the creditors cannot seize any of your assets or your welfare payments.
Judgement Proof:
A term to describe assets protected from being seized by a creditor. i.e. assets a creditor cannot seize by going to court and getting a judgement.
I have a student loan since 1996, I went back to school in 2001 and finished in 2003 at my own expense. Is that laon considered 12years old or is it only 5 where I finished school in 2003.
Am I eligable to declare bankruptcy on that loan?
Anon: There is uncertainty on this since the regulations and text of the new bankruptcy laws are not available. I have heard that going back to school will NOT restart the clock under the new laws but would have to see the text of the new code to be certain.
The courts in some cases have said that going back to school does not restart the clock. Please refer to this paper on student loans for the case(s):
http://www.bankruptcycanada.com/Canadian-Bankruptcy-Insolvency-Lawyers.htm#papers
If my wife & I file for bankruptcy, do we each get the home equity exemption, i.e. $10000 x 2?
i have filed bankruptcy and have been discharged.I recently got a copy of my credit report and it shows all my creditors as R9.Will this be erased after the 6 years?Also some creditors are still reporting on my report as of last month as R9 even though i'm over 5 years into my bankruptcy,is this legal?
Anon: Yes, you each will get the #10,000 home equity exemption.
Anon: The record of your debt will be erased from the credit bureau 6 years after your discharge from bankruptcy.
You might want to put a note on your credit bureau report explaining that the most recent creditor comments
pertain to debt that is not current and in fact is captured by your bankruptcy. For more information on this please refer to:
http://newfoundland.bankruptcycanada.com/credit-rating.htm#creditreport
what happens if you have filed for bankrupcy and later realize it was a mistake? Is it to late to make a proposal instead?
Anon: You can file a proposal while in bankruptcy. Please discuss this with your trustee.
WHAT WILL HAPPEN WHEN I FILE BANKRUPTCY WITH MY HOME &VECHICLE
Anon: You are allowed to keep some of the equity in your house and a vehicle.
Please refer to:
http://newfoundland.bankruptcycanada.com/newfoundland-bankruptcy-exemptions.htm
I have about 40,000 in student loan debt and 10,000 in credit card debt. I don't own a home or a vehicle. I haven't been a student since 1995. I also owe for a computer and about 2,000 in personal loans. I lost my job and my EI runs out in a couple of weeks. Is filing personal bankruptcy my best option?
Also can you claim a credit card debt where you were only an authorized user?
Anon: All your debts, including the credit card where where you are only an authorized user, are erased in a bankruptcy.
Am I supposed a list a credit card that I am only an authorized user on in my Bankruptcy? And if I do what happens to the primary card holder? are they responsible for all the debt or only purchases they signed for?
Anon: You must list that debt when you file bankruptcy. The primary card holder will be responsible for all the debt that is attached to that credit card.
I filed for personal bankruptcy in July 2002 and was discharged in April 2003. I was informed that the bankruptcy would stay on my credit report for a total of 7 years, the first year and then 6 years from discharge for a total of 7. Now people are telling me that it's 8 years from being filed. This was not what I was told in 2002. Can you resolve this for me.
Anon: The record of your bankruptcy is erased 6 years after your discharge by Equifax and 7 by Transunion. For more information on this please refer to:
http://newfoundland.bankruptcycanada.com/credit-rating.htm#bankruptcypolicy
I would like to know if you are able to continue to pay on one vehicle, and the other has only has a value of $1000 can you keep both vehicles if they are both required for transportation to and from work? We just took out the mortgage on our first home this past July, and can continue to pay on this, will we lose our home?
Anon:
You are allowed to keep the equity in assets as set by the province. Please refer to:
http://www.bankruptcycanada.com/Newfoundland-Bankruptcy-Exemptions.htm
You can probably keep the $1,000.00 vehicle if you pay the trustee for it.
I filed for Bankruptcy in Oct.2004 and was discharged around June 2005. I have since run up debts of approx. $4000 and now the Student loan I had in 2001 which I couldn't include before is coming back to haunt me.
Is there any recourse? Can I file again or is it 7 years as I have been told?
Anon: You can include student loans in a bankruptcy if you have been out of school 7 or more years. Please refer to:
http://newfoundland.bankruptcycanada.com/new-bankruptcy-laws.htm
I just filed for bankruptcy on May 8,2009. When I need to fill out the income & expenses sheet,do I need to start from May 1-31 or from the day I signed the paper's(may 8) to the last of the month.
Me & my husband filed for bankrupy earlier this month.I was wondering do it go by just net income from the two us or do it go by your net income & expenses payed out, that decides if you are going to have to pay more on the bankupty.
Anon: You go by your take home pay.
Do you have to cash in your RESP's when you go bankrupt.
Anon: No, you don't. Please refer to:
http://newfoundland.bankruptcycanada.com/newfoundland-bankruptcy-exemptions.htm
I am planning on fling for bankruptcy around the first week in june.I heard you have to fill out expense sheets, when do i start to fill them out the first of the month or the date that i sign the papers.
Anon: You will fill out the Revenue and Expense form after the 1st month and monthly after that until you are discharged from bankruptcy.
You trustee will supply you the forms and instructions on how to fill them out.
Is it possible for a person who has filed bankruptcy to still apply for and receive student loans?
Anon: I have heard that this is possible. Contact student loans for up to date information on this.
I owe a few family members money. Can I still paid them when I file for bankruptcy(is their a certain amount that you can only pay them)?
Anon: Once you file bankruptcy you are not allowed to repay any of your creditors, including family members and friends.
Hi! I have a family member who requested I get some information for them. Hopefully you can help. He filed for Bankruptcy in the 80's and it was discharged. He filed for Bankruptcy again in 2008, has been making those payments, and it will be reviewed in August. The total amount for this Current Bankruptcy is less than $50,000. He was the beneficiary of the life insurance policy of a family member that recently passed away, for which he received $150000. He has received mixed information on what he has to do with the money now, as the amount received is more than he settled in bankruptcy. He was originally told that they would only take the amount owed, but they are now saying that they want it all because it is his second bankruptcy. Which of these is the right thing? What is the normal process here?
Anon: The Bankruptcy and Insolvency Act calls for all the $50,000 debt plus 5% interest to be paid and the balance to go back to the bankrupt.
If the trustee wants more your family member should contact an insolvency lawyer.
Myself and my common law partner are planning on filing for bankruptcy within the next few days.We are planning on getting married by the parish prist and my family is paying for the small wedding .Does this affected the bankruptcy in any way...
Anon: The wedding and costs paid by your family will not be affected by the bankruptcy.
We filed for bankrupty a few weeks ago and now my husband has the opportunity to help out a few family members for cash money.Are we allowed to do this ,while we are under bankrupty? Do you have to tell our trustee? and also can family members give us money to help us out.
Anon: You are allowed to work for cash and accept help from your inlaws. You must advise the trustee of all income earned.
I am working now and receive about 3400 a month between me and my wifes income, in five weeks I will be laid off and will than go on ei, our total income then will be 2400 per month, our monthly bills will come to more than our income then, we are so far behind now that eve with two of us working now we can't catch up on the bills, my wife also owes revenue Canada a substancial amount, which we have been paying very little on.Would a Trustee be able to help us out and would I have to wait untill I got laid off to file for bankruptcy
Pat: A trustee should be able to help you and your wife. You don't have to wait until you are laid off.
The trustees at the following link will give you a free consultation:
http://www.bankruptcycanada.com/nfltrustees.htm
My husband left me and the kids. He is not paying support because he quit his job and there is no court order in place yet. I am struggling to pay the mortgage and bills. If I declare bankruptcy will I lose my home if I agree to keep these payments current.
Anon: You are allowed to keep$10,000 of equity in a home. Please refer to:
http://newfoundland.bankruptcycanada.com/newfoundland-bankruptcy-exemptions.htm
How do I go find inormation about a consumer propsal ? I would like to speak to somebody. clarsonpayne_@hotmail.com
If you wish to talk to someone about a consumer proposal please contact one of the trustees at the following link:
http://www.bankruptcycanada.com/nfltrustees.htm
I owe 15,000 in fines to the government are they covered in bankruptcy
Anon: If the fines were imposed by the courts then they are not erased in a bankruptcy. For more information on this please refer to:
http://newfoundland.bankruptcycanada.com/faq.htm#11
i'am in bankruptcy & have never defaulted on my mortgage. the bank claims that i have more equity in my home than realestate evaluation claims. they put my house on the market, no offers for 6 months. how long can they keep it on the market for?
Anon: The only way the bank would have authority to exert control over the sale of the house is if they had foreclosed. You said you were never in arrears on the mortgage so they would not have foreclosed.
I suggest you review this with your trustee.
if you default ( late with the mortgage payment) on your mortgage and the bank orders your house to be listed to sell , how long can it be on the market for if it doesn't sell , the price reduced several times and still no offers.
Anon: Please refer to the following on how foreclosures work:
http://www.canadianlawsite.ca/debt-collection.htm#b
Can I get a Federal or Provincial Student loan after I have declared bankruptcy? (I had previous student loans which were included in my bankruptcy, they were ten years old)
Anon: This is a question you should ask Student Loans.
With respect to the time for discharge from bankruptcy: if I declared bankruptcy now, it would be my 2nd time (largely due to medical reasons, I have been unable to meet my significant financial obligations and have had to take a job earning far less income than I had planned when I accrued all my previous debt). When they say the amount of time to discharge depends on income, are they talking about my own personal income, or our joint family income, in the case of my wife and I? (my debts are all CRA and student loans).
Anon: Please refer to this calculator for the cost and length of time you will be in bankruptcy:
http://www.bankruptcycanada.com/BankruptcyTermPredictor.php
i have bought a car a couple years ago and is now only worth about 500 my debt is over $8k would i lose my car??
Anon: You would keep the vehicle because as its allowed under the NL bankruptcy exemptions:
http://newfoundland.bankruptcycanada.com/newfoundland-bankruptcy-exemptions.htm
I am a student who has one semester of school left. I currently have too much credit card debt to handle (5000) and am quite over my head. I understand that student loans are exempt from bankruptcy, but I have a student line of credit from a bank that was cosigned by two people. Would my claiming bankruptcy affect them even though I assume this loan is also exempt from bankruptcy?
Anon: If you file bankruptcy the $5,000 loan that was co-signed will be erased but the co-signers will be responsible for repaying the debt.
I became a single mother a year ago and i currently living on welfare getting 672.00 a month from them. I have about $9000 in credit card debt which i was paying off when I was working but since I became a single mom I have not been able to pay it so therefore the credit card companies are constantly calling me telling me they are going to take me to court. I don't own a house or anything else. I just own a really old car. Should I file for bankruptcy? & if i do, do i love my family allowance?
Anon: You sound like you are judgement proof and if so do not need a bankruptcy to protect your assets from seizure.
Judgement Proof:
A term to describe assets protected from being seized by a creditor. i.e. assets a creditor cannot seize by going to court and getting a judgement.
My husband and I own a 2005 vehicle which is paid for. We are looking into claiming bankruptcy but someone told us we would loose our vehicle even though there is no lien on it.
Is this right
Thank you
Anon: Newfoundland and Labrador exemptions allow equity of $2,000.00 in a vehicle to be retained. If the vehicle is used for business the exemption is $10,000.00:
http://newfoundland.bankruptcycanada.com/newfoundland-bankruptcy-exemptions.htm
I know that the bankruptcy act does not allow for legal action claims but if a financial institution has the first lien on our home and legal the second, are we eligible to claim. Also, does it matter what your income is and would we be allowed to keep our vehicle or any other assets.
From reading questions on your site I see a vehicle is allowed $2000 equity, does this mean if your vehicle is worth more, you can't keep it.Thank you for your help.
Anon: Almost all debt is erased in a bankruptcy. Please see:
http://newfoundland.bankruptcycanada.com/faq.htm#11
If your vehicle has equity is excess of its exemption you can pay the difference to the trustee and keep the vehicle.
My husband left June'09, I filed for divorce Nov'09, he has not paid anything for support since Oct'09. He was ordered by court to provide financial info by end of May'10 and back in court on June'10 so the judge can put interm support measures in place - hearing will be set for the fall for the child/spousal support, division of property and divorce. Ex has filed for bankruptcy and now I have been given 10 days to pay $46000 back to bank (visa & line of credit) and he wants a market assesment done on the house (I've made all the mortgage payments since separation - only 7 yrs remaining on mortgage), myself and our son live in this house. Can my soon-to-be-ex do this while things have not been settled in court? I do not want to file for bankruptcy, I am currently unemployed and have had to avail of income support - can he force me into it?
Anon: You should be putting these questions to your matrimonial lawyer.
I noticed that after 5 years out of school you can claim bankruptcy on student loans if under certain circumstances... what are some of these circumstances?
Anon: You said: "I noticed that after 5 years out of school you can claim bankruptcy on student loans if under certain circumstances... what are some of these circumstances?"
You still have to have to have been out of school 7 or more years to have student loan debt erased in a bankruptcy. There is a "hardship" provision which allows a bankrupt or former bankrupt to make an application to court to have the student loan debt erased after 5 years. Please refer to:
http://newfoundland.bankruptcycanada.com/faq.htm#17
What constitutes financial hardship?
i recectly got my absolute discharge from bankruptsy.my house did not have any equity and it did not sell when the trustee put it up for sale.i;m planning to move . can i sell the house now?
Anon: Double check with your trustee that he has released the home.
i have a "lis pendes "on my house will a bankruptsy remove this?
Anon: An LP may be removed by a bankruptcy. Please check with your trustee so he can review the documents and give you a more certain answer.
hiya...im currently in the 6th month of my bankruptcy...i have only incomed 930$/mth for the first 6 mths...now i have an opportunity to make a lot of money with a new job....my trouble is....if i start work now, will the surplus income extend my discharge date...? or should i wait until the bankruptcy ius over...?
p.s- - i hear that the 1834$ a single bankrupt can earn/mth is done on an average...i mean according to that i have 5400$ after the first 6 mths which was under my surplus income amount.....or does this go mth to mth?
Anon: At the eight month the trustee will average the income earned in the 1st. 7 months of the bankruptcy and your bankruptcy will be extended if the that average results in monthly required payments of $100/month or more.
3.5 years ago, I filed a consumer proposal with a trustee in alberta. Literally, 2 months later, I was home in Newfoundland and very ill. I have been on disability to this very day. My question is: I have obviously defaulted on the proposal but have not had any contact from the trustee or creditors since. what shold I do? I'm stessed over 'not knowing' what to do. Will the debt leave my credit record after the 6th year? Thanks
Anon: You defaulted on your consumer proposal, which will go on your credit record. This will drop off your credit record in 6 years.
Hi I am doing this on be half of my boyfriend he is in dept really bad and were not sure what to do. We have a car and a truck that have been leased out and were really behind on the truck and car and he is reciving phone calls about being sued and going to court the trcuk has good value but the car only has a value of 5,000 and all this is in his name i dont own it but if we were to file bankruptcy are we able to keep the car that has no value really because we have children and he has to work and were so far from a hospital. then he ows revenu canada 15,000 and credit cards 3,000 I want to know is he able to file bankruptcy on goverment bills.so what is the best thing for him to do.
Anon: Government debt can be erased in a bankruptcy. If there is no equity in the vehicles, which is common with leases, the vehicles can be retained.
Equity in one vehicle can be retained to the amount of $2,000.00 in accordance with NL exemptions. Please see:
http://newfoundland.bankruptcycanada.com/newfoundland-bankruptcy-exemptions.htm
I separated from my wife 6 months ago. We have 2 kids. There is $19,000 equity in our home. I am renting an apartment and she is living in the home. The mtge is still in both our names as she does not qualify for the mtge as she is unemployed and the bank stated I have to remain on it. I am paying alimony. She is now making the mtge pmts. The house will stay in both our names. I will never get my $9500 equity from her but the main thing is that my 2 kids still have a home.
Do I qualify for the $10,000 principal residence exemption if I file for bankruptcy or do I have to pay my $9500 equity which i don't have to the trustee. It's still my home, i am signed on the mtge and my 2 kids live in the home. I own no other property. I still consider the home my principal residence since my kids live there.
Anon: You cannot use the $10,000 exemption as the house is not your principal residence. If you hypothesize a sale by factoring in real estate commission and property taxes and any mortgage arrears your equity will be very much less than $9,500. The trustee will also have problems realizing on the house if your wife fights any forced sale.
I suggest you sit down with one of the trustees on this site and have a frank discussion on what can be done for the benefit of all concerned (including the creditors).
I recently moved back to Newfoundland after 5 years in the US and I have Canadian and US debt. I have no choice to file for bankruptcy. Can I do this in Canda? How does that work when you have cross border debt?
Anon: A Canadian bankruptcy will erase the Canadian and the US debt in Canada. However if you move back to the states you can be pursued for the US debt.
I am a single parent.Who went through a divorce leaving me in debt of over $15000 and have no assets and am now on Social Assistance.I receive about 600.00 a month. which includes child support. Can I declare bankruptcy, and what will it cost in terms of fees etc. to do so?
How much would it cost a month to declare bankruptcy if you on a fixed income?
Anon: You asked:
"I am a single parent.Who went through a divorce leaving me in debt of over $15000 and have no assets and am now on Social Assistance.I receive about 600.00 a month. which includes child support. Can I declare bankruptcy, and what will it cost in terms of fees etc. to do so?
How much would it cost a month to declare bankruptcy if you on a fixed income?"
Please see this calculator which will tell you what a bankruptcy will cost and how long you will be in bankruptcy:
http://www.bankruptcycanada.com/BankruptcyTermPredictor.php
There is one debt that I cannot seem to get a handle on. I'ts a credit card of almost $20,000 which I fell behind on after being laid off. I have two houses, both mortgaged, one my principal residence, the other a rental. I have onother credit card and line of credit that's pretty well up to date. I applied for consoladition at the bank but was turned down due to the one $20,000 debt as it pulled down my credit rating. My wife has a small income from a convenience store and has perfect credit. Hope to be back to work at descent paying job in May of this year. Credit card company just sent me a 'statement of claim' via their lawyers office. So, in some way I need to act quick. Can you advise.
Anon please.
Anon: Sorry, but we cannot give advice.
Hi,
You can't give advice. Gosh, just thought that a Trustee could offer something, since you are the experts. So there is no sense in phoning or coming in to see you? Now I have no idea whatsoever what to do. I am more perplexed now than before I posted my comment.
I am working for the federal government and was transferred to NL, which is home for my wife and I, when we left AB our home was put on the market and I haven't been able to sell it for the past two years. It has cost me all my savings, maxed to credit cards and lots of stress and finally I sent the keys to the Bank, foreclosure has gone through and my home was sold for $70K less that the mortgage, if I we have to pay for this with our current debt can we claim bankruptcy? Will the home I now live in, a mortgage we did a year ago instead of paying rent, have to be sold? Also I use my car for work will it have to be sold?
Anon: The shortfall on the sale of the Alberta home will be erased in a bankruptcy. The exemptions for a home and car are set by the province:
http://newfoundland.bankruptcycanada.com/newfoundland-bankruptcy-exemptions.htm
I have a tax free annuity which is payed on my behalf though Mutual Life from a car accident. My question is do I have to disclose that information to the trustee during bankruptcy?
amount:
( $1030.00 tax free a month )
I have a question I have a overpayment from social assists and was wondering if I would be able to add that into the bankruptcy as well?
Anon: You said: "I have a tax free annuity which is payed on my behalf though Mutual Life from a car accident. My question is do I have to disclose that information to the trustee during bankruptcy?"
Yes, you must disclose this to the trustee.
Anon: You said: "I have a question I have a overpayment from social assists and was wondering if I would be able to add that into the bankruptcy as well?"
This debt is not erased in a bankruptcy as it is considered fraud. Please refer to:
http://newfoundland.bankruptcycanada.com/faq.htm#11
I will owe CRA a substantial Amount after this tax season is ended?? Will CRA accept bankrupty from me??
I worried sick!!!!!!
Anon: CRA debt is erased in a bankruptcy.
My wife and I are currently in bankruptcy. my question relates to lotto winnings. If we were to win a large amount, what would happen to these winnings. Also what happens if we happen to win a valuable material item, ie vehicle, tv etc.?
Anon: Lottery winnings or any material winnings belong to the bankruptcy estate so long as you are in bankruptcy or the triggering event happened when you where in bankruptcy.
in teh sale of a home where husband and wife have separated would my share of the proceeds be exempt from creditors were I to file for personal bankruptcy
in the case of separation and the sale of principle residence would my proceeds from sale be exempt from creditors if Ifiled for personal bankruptcy
Anon: The province sets the equity that can be retained in a bankruptcy:
http://newfoundland.bankruptcycanada.com/newfoundland-bankruptcy-exemptions.htm
If I were to file a bankruptcy this month, how long would it take for my payments to my creditors to cease. Also I am paying a monthly payment for my car so I would like to know if I can keep my car.
Anon
Anon: Once you file bankruptcy you are not allowed to make any payment to any of your unsecured creditors.
In most cases you are allowed to keep a car on which you are making payments. Your trustee will review this and advise you if you are able to do this.
If you declared BNKRUPCY IN 2004 AND NOW FIND YOURSELF FACING THE SAME SITUATION . HOW LONG WILL IT TAKE FOR A DISCHARGED
ALL DEBT IS IN MY NAME WILL IT AFFWCT MY WIFE'S INCOME OR OTHER MONEYS THAT MAY COME HER WAY
Anon: Please refer to our Bankruptcy Calculator to find out how long you will be in bankruptcy and how this will affect your wife:
http://www.bankruptcycanada.com/BankruptcyTermPredictor.php
Will a lien registered by workers compensation be released after discarged.
Anon: A WCB lien may not be released after bankruptcy if it is a debt acquired through misrepresentation:
http://newfoundland.bankruptcycanada.com/faq.htm#11
I have an ex boyfriend in Alberta which I had cosigned a skidoo and have purchased a mobile home with. 3 years I moved out, moved back to NL and he continued to live in this mobile and still does. He unfortunately has not been paying the mortgage for many months now.. Question is.. if he files bankruptsy what happens to the home in Alberta and am I then Liable for that home on my own? He has not been paying on the skidoo either. So, my credit is being ruined very quickly. What are my options? I will not be able to afford to pay on a home in Alberta or a skidoo that is in Alberta. If I have to file for bankruptsy, does it only effect things belonging to me, because I recently got married and have a son and I do not need this to affect my husband. Thanks
I have an ex boyfriend in Alberta which I had cosigned a skidoo and have purchased a mobile home with. 3 years I moved out, moved back to NL and he continued to live in this mobile and still does. He unfortunately has not been paying the mortgage for many months now.. Question is.. if he files bankruptsy what happens to the home in Alberta and am I then Liable for that home on my own? He has not been paying on the skidoo either. So, my credit is being ruined very quickly. What are my options? I will not be able to afford to pay on a home in Alberta or a skidoo that is in Alberta. If I have to file for bankruptsy, does it only effect things belonging to me, because I recently got married and have a son and I do not need this to affect my husband. Thanks
Anon: If he files bankruptcy you will be responsible for all the joint debt.
If you file bankruptcy it will not affect your husband since he did not sign for any of the Alberta debt.
my father recently passed away in newfoundland.he left no will.he has left considerable debt. including a $3000 amount owed to the government.can i apply for bankruptcy on his behalf. thank you.
Anon: A deceased person's estate can file for bankruptcy.
Hi,
I am an international student. I have over 20,000 $ in credit card debt with interest rate of 20.00 %. I dont have any assent here or abroad. I have finished my studies and earning around 2,000 $ /month aand I am single.
is a personal bankruptcy a solution for me?
Anon: Bankruptcy is an option for you. You can set up a free consultation with one of the trustees listed at the following link:
http://newfoundland.bankruptcycanada.com/St.-John%27s-Bankruptcy-Trustees.htm
if I am buying a car and making my payments on time every month, will i lose my car if i file for bankruptcy
Anon: In most case you will keep the car if you file bankruptcy. Your province sets the equity in assets you can retain in a bankruptcy:
http://newfoundland.bankruptcycanada.com/newfoundland-bankruptcy-exemptions.htm
i wanna know if i clam bankruptcy will i lose my 2004 car?.... i payed for it my self ...
i wanna know if i own a car will i lose it in bankruptcy? its a 2004 and my son help me pay for it....
Shelley & Anon: The Newfoundland laws allow a person to keep equity in a vehicle of up to $2,000.
Please see:
http://newfoundland.bankruptcycanada.com/newfoundland-bankruptcy-exemptions.htm
We were discharged out of bankruptcy in febuary 2004,we have since brought our credit rating back to the 750 range.we applied for a mortgage this year and they still see the bankruptcy on our file,how long shoud this be visable?
We were discharged out of bankruptcy back in febuary 2004 and have since brought our credit rating back to the 750 range.We just applied for a mortgage and they still see the bankruptcy on our file.How long is this supposed to stay visable?
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