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TFSAs and bankruptcy

When contemplating drastic action to resolve your financial woes, it is important to consider what you get to keep and what you have to give up. One of the first things a trustee in bankruptcy does is figure out if you are insolvent. In other words, if you liquidate...

Why do people file for bankruptcy

Most people look at the declaration of bankruptcy as an absolute last resort when they’re looking for a way to ease their financial problems. In many cases, it’s a simple matter of morality — most of us want to honour our commitments and feel very badly when we can’t....

How is surplus income calculated in bankruptcy

Should your financial issues result in a declaration of bankruptcy, one of the conditions to which you’ll have to adhere is to advise your bankruptcy trustee of your household’s income each month, and then remit half of any “surplus income.” Monthly net income...

Who qualifies for consumer proposal?

For many people who find themselves insolvent (unable to repay their debts), a consumer proposal provides a workable solution without necessitating filing for bankruptcy. In Ontario, anyone who is insolvent and owes between $1,000 and $250,000 (not including a...