In this blog post, we discuss best of bankruptcy options for the Canadians. They can be used by people globally too. Have a look.
Bankruptcy and Insolvency is a situation where an individual or a company is given the relaxation that they no longer have to repay their debt. It is clearly defined under the Bankruptcy & Insolvency Act.
The four common bankruptcy options available in Canada are:
- For small business houses and individuals those who want no more debts, personal bankruptcy is an option.
- For the companies in Edmonton that are incorporated and want to be debt-free, the option is business bankruptcy.
- For the individuals whose debt consolidation or simply debt are lower than $2, 50,000 excluding the mortgage are applicable for a consumer proposal.
- For the individuals as well as businesses houses those have debt over $250,000 are applicable for Division I proposal and get debt relief.
Also, for availing any of these options, they should be filed with a Licensed Insolvency Trustee.
Insolvency is the last option even when debt negotiation through debt negotiation services do not work.
In this legal process of personal bankruptcy, a debtor would surrender his or her non-exempt assets, and they are required to make some bankruptcy payment to trustees. In exchange of this, they will be relieved from their credit consolidation, and they will get out of debt.
Bankruptcy can be filed at $1, 000 in Calgary, Canada. Although for being eligible for bankruptcy you should really be insolvent. For example, you cannot go for bankruptcy if you cannot pay the credit card bill but if there are other things attached to it you can explore options. Contact a debt management services today in Lloydminster.
It is the other option to bankruptcy where the legal benefits are same but available through a Licensed Insolvency Trustee. Advantages of Consumer Proposal are that it can be used for protection from creditor action and forgiveness of unsecured debt.