It can be difficult to understand how unpaid debts will be dealt with in a bankruptcy or consumer proposal. This blog discusses contingent and future debts that may be eligible for claiming during either process.
In Canada, you must have a minimum amount of unsecured debt to file bankruptcy, but how much debt causes bankruptcy is different for everyone. See from our bankruptcy study how much debt tends to lead to insolvency.
It is not uncommon today for partners to enter a relationship with their own pre-existing debt then add to that debt after they’re married or common-law. Understanding the difference between financial versus legal responsibility for... Read more »
What happens to your mortgage if you file a consumer proposal, or a personal bankruptcy? Under current laws a mortgage lender is not permitted to cancel a mortgage simply because you filed a bankruptcy or a... Read more »
It makes sense why if you carry a balance on your credit cards you must give up your credit cards when you file bankruptcy or a consumer proposal. Credit card debts are included in the bankruptcy, so... Read more »
Joint Debts: Did you sign on the dotted line? Today we talk about if and when you might be responsible for your spouse’s debt and how one spouse filing bankruptcy might affect the other. To answer these questions... Read more »
Canadians have always had a strong relationship with our southern neighbours. This can create an financial obligation owing to a US company. Many people living in border towns work and shop in the United States. They... Read more »
Lenders often will want a “co-signer” on money loaned to people who represent a marginal credit risk. Parents may co-sign for their son or daughter’s first car loan or mortgage because they don’t yet have... Read more »
Divorce can create some complicated financial problems especially when it comes to credit card debt. Who continues to use this credit can cause financial problems for the ex-spouse. If you have shared debt you may worry who... Read more »
Getting married means making decisions about your finances as a joint entity, but one area that causes a lot of marital stress is debt. One spouse may still owe some pre-marital debt, maybe some student loans.... Read more »
Bankruptcy is a legal process that acts to clear debts that are owed to unsecured creditors. However, filing for bankruptcy doesn’t necessarily mean that you will emerge debt free after the process is completed. There... Read more »
In a landmark ruling the Supreme Court of Canada ruled that debts owed to the 407 ETR Highway in Canada are dischargeable in bankruptcy. In their decision regarding 407 ETR Concession Company Limited the Supreme Court decided that federal... Read more »
Debt doesn’t start out as an obvious problem. For many people, lack of personal finance knowledge leads them to make poor decisions with their money. Once you figure out how easy it is to get... Read more »
Divorce is not easy, but it can be made more complex when credit cards with balances are involved, especially if one spouse is experiencing financial problems. I was recently asked this question: “I took over... Read more »