Posts Tagged ‘debt settlement’

Announcement – New Designation for Insolvency Professionals

The Office of the Superintendent of Bankruptcy Canada released Directive 33, Trustee Designation and Advertising, updating the designation to be used by Licensed Trustees with regards to the advertisement, promotion, and communications related to their services.  All trustees will now adopt the professional designation “Licensed Insolvency Trustee”.

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Using Your Credit Cards Prior To Bankruptcy or Proposal

Borrowing money with the intent of not paying it back may be considered fraud which is a criminal offence.  Debts from fraudulent activities are not dischargeable in a personal bankruptcy or a consumer proposal.  If you are having a difficult time paying your debts, we recommend that you cease using your credit cards and contact a Licensed Insolvency Trustee to review your situation and discuss your options.

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Do I Qualify For Bankruptcy?

Basically, if you owe at least $1,000, are unable to keep up with your monthly debt payments and do not have assets such as vehicles, house, or investments that you can sell to pay your debts in full, then you can choose to file personal bankruptcy.  It is your choice whether or not to voluntarily put yourself into bankruptcy and no one can stop you.

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Beware of Debt Settlement Offers

The debt settlement and credit counselling companies would have you believe that they can easily have your credit balances reduced and save you hundreds if not thousands of dollars.   The problem is they cannot guarantee any results.  They will require that you pay them monthly administration fees and/or a percentage of the settlement amount as payment for their services.  But you need to read their documents very closely to find out what happens to all of those fees that you have paid if they are unable to reach agreements with some or all of your creditors.

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Why Choose a Licensed Insolvency Trustee For Advice?

A Licensed Insolvency Trustee will treat you in a dignified manner and review the facts of your situation and review the options to deal with your financial situation, including explaining how personal bankruptcy or a consumer proposal would work for you so that you can make an informed decision and choose the solution that is best for you.

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