Montreal Quebec Personal Bankruptcy Blog

co-signed

2009-05-05T18:47:00.000-04:00

Question: I co-signed for a friend to get a car. what happens if i go bankrupt ?

Answer: If you go bankrupt, the car lender can no longer pursue you for the debt. Your friend will be responsible to make all payments. We suggest that before you go bankrupt, your friend should contact the lender and ask to have your name removed from the loan. If they won't do that, your friend should confirm that they can continue to make the loan payments if you go bankrupt.

taxes owed and bankruptcy

2009-02-04T12:53:00.003-05:00

Question: hi my spouse currently owes money to the government and they will not make a payment arrangement can they go after my assets to claim what is owed to them since we are married?

Answer: No, your assets are your assets, and no-one, including the government, can go after your assets for someone else's debts. The only exception would be if your spouse has deliberately transferred their assets to you, and then filed bankruptcy in Canada in an attempt to get out of their debts. That would not be permitted.

We suggest you contact a Montreal bankruptcy trustee to review your options and provide you with advice on how to deal with Revenue Canada debts.

filing bankruptcy in Montreal

2009-01-01T08:19:00.004-05:00

Question: am i allowed to own a vehicle after i file bankruptcy in Montreal?

Answer: Yes, it is possible to own a vehicle while you are bankrupt. There are certain conditions that apply, so you should consult a Montreal bankruptcy trustee for further information.

Filing for bankrupcy in Montreal - what do I get to keep?

2008-12-18T15:01:00.003-05:00

Question: I read that you can keep up to $6,000.00 worth of family assets.Does that include appliances....like tv,stereo,fridge,stove?

Answer: Yes, the list of bankruptcy exemptions in Quebec includes basic appliances.

For more information, or to review your specific list of assets before you decide to file bankruptcy in Montreal, we suggest you arrange a free initial consultation with a Montreal bankruptcy trustee.

Planning a Consumer Proposal

2008-12-06T20:35:00.000-05:00

Question: Hello, I am planning a consumer proposal, my question is will it affect my home mortgage or me owning my home in any way?
Mortgage is up to date but credit is starting to lag behind.
Thanks

Answer: In general, a consumer proposal does not affect an existing mortgage. In most cases if your mortgage is up to date the mortgage company will allow you to continue making payments on your mortgage. In fact, wanting to keep their home is one of the most common reasons for filing a consumer proposal.

However, to be sure, it is often advisable to confirm with your mortgage company that your mortgage will not be impacted before you file your consumer proposal.

personal bankruptcy in Montreal, Quebec

2008-08-26T10:15:00.003-04:00

Question: if i file for bankruptcy, can i still keep my house,car and motorcycle that i still owe in full? there is no equity to those items.

Answer: The answer depends on the value of the items, and whether or not there are any liens or loans secured by those assets. For example, if you own a brand new car worth $50,000 with no loans against it, you would not be permitted to keep it if you went bankrupt, unless you were able to give equivalent cash value to the trustee.

Since the rules are complicated, we recommend that you consult a licensed bankruptcy trustee to arrange a no-charge initial consultation to review your specific circumstances.

Bankruptcy and my spouse

2008-04-13T12:04:00.002-04:00

Question: How does my personal bankruptcy affect my spouse?

Answer: The short answer is that filing personal bankruptcy in Montreal does not affect your spouse, provided you have no joint debts with them.

The longer answer is that if you have joint debts, they are responsible for those debts once you go bankrupt.

Full details are available in our article on bankruptcy and your spouse.

RSP and Bankruptcy in Montreal

2007-10-24T15:49:00.000-04:00

Question: Will going bankrupt in Montreal affect my Retirement savings, which is under 1,000$?

Answer: It depends. If your RRSP is locked in as a result of your previous employment, than it is exempt from seizure in a bankruptcy. In most other cases you will lose your RRSP if you go bankrupt.

The specifc answer in your situation will depend on various factors, so we suggest you consult a Montreal bankruptcy trustee to arrange for a free initial consultation to review your situation in more detail.

Bankruptcy in Montreal and House

2007-06-12T14:41:00.001-04:00

Question: I am in debt of more than 45000.
Can I declare bankruptcy in Montreal and not lose my house or pension?

Answer: The answer depends on the value of your house, and the amount owing on your mortgage. In most cases you will not lose your pension if you go bankrupt.

To determine what will happen in your situation, please contact a Montreal bankruptcy trustee for a no-charge initial consultation to review your options.

bankruptcy in Montreal

2007-04-13T18:30:00.001-04:00

Question: If I have 35 000$ in debts, and I made less than 20 000$ last year..(my common law spouse made about 19,000) can I still declare bankruptcy in Montreal?

Answer: Yes, you can declare bankruptcy. The real question is whether or not bankruptcy is the correct solution for you. If you are earning $20,000 per year and have $35,000 in debts, it is unlikely that you will be able to repay your debts on your own, so bankruptcy may be the correct option for you.

We suggest you contact a Montreal bankruptcy trustee to review your options, and to explain the cost of bankruptcy, which is based, in part, on your family income.

Consumer Proposal, Houses and Trustees

2007-03-19T02:48:00.001-04:00

Question: Are trusties to be trusted or are they in it for the money and to buy a persons home because of the big money to be made by reselling it after?

Answer: All bankruptcy trustees in Canada are licensed by the federal government. They are subject to very strict rules, and are not allowed to profit by selling your house. In fact, it would be basically illegal for a trustee to buy a house from a bankrupt for below market value and then sell it later at a profit.

In the event of a personal bankruptcy where a trustee is required to sell a house (which is unusual), the trustee would use a real estate agent, and the house would be sold at fair market value. The trustee would not personally profit from the sale.

Co-signed house

2007-02-13T23:23:00.000-05:00

Question: If I was to file for consumer protection what would that do to a house that is co-signed as well as a car?? Would we have to give up our dwelling or return the car I use for my work?
Thank you.

Answer: If you file a consumer proposal you can continue to pay the mortgage on your house, and the loan on your car, if you want to keep your house and car. If you file for personal bankruptcy you may still be able to keep your house and car; it depends on the value of those items and some other factors.

Either way, your co-signer is still liable for the debts. If you stop paying, they are liable.

Since this is a complicated area, and there are many factors to consider, we suggest you contact a trustee to arrange a no-charge initial consultation to review your options in more detail.

bankruptcy question

2007-01-23T15:53:00.000-05:00

Question: hi, i filed for bankruptcy (personal) a few months ago, i was wondering where i can go to file my income taxes??
thanks

Answer: Your bankruptcy trustee is responsible for filing your income taxes up to the date of your bankruptcy. You should contact your trustee for further information.

Buying a home from a trustee in Quebec

2006-12-24T21:45:00.000-05:00

Rochelle Pont CIRP Trustee says

If the couple are not discharged from bankruptcy, then it will be their trustee selling you the home and not the bankrupt couple. If you purchase a home and the tiltle is registered by a notary and you are buying it free and clear of any encumbrances, You will encounter no legal problems. Look carefully at the deed of sale as to the guarantees and to the warranties.

Two individual cohabitation recently declared bankruptcy due to non payment of personal back taxes.

The couple have not been discharged from bankruptcy but are selling their home.

The home will be transferred to a trustee the day it is sold.

What legal issues should I be aware of if I plan to purchase the home?

Not Discharged from bankruptcy

2006-12-04T13:47:00.000-05:00

if you are not discharged from a bankruptcy can you still put a creidtor on it

Bankruptcy - Criminal Record?

2006-09-29T15:27:00.000-04:00

Question: I've heard that in some cases Bankruptcy can give you a Criminal Record? Is it true?

Answer: No, filing an assignment in bankruptcy does not give you a criminal record.

bankruptcy and credit reports?

2006-09-24T17:26:00.000-04:00

Question: How long does a bankruptcy stay on your credit report after you are discharged?

Answer: According to Equifax canada, the bankruptcy is purged automatically six years form the date discharge in the case of a 1st time filing. If the consumer has declared bankruptcy more than once, the system will keep each bankruptcy for fourteen years from the date of discharge

Bankruptcy Procedure

2006-09-21T02:25:00.000-04:00

Question: In procedure of bankruptcy, do we must go in Court and why?

Do we must to give the names people we know, have as friends...as witnees at Court?

Do our Agent must know about Bankroptcy?

What if during the procedure I find a job?

Do Cityzensheep has any role?
Because I have only Card Resident permanant.

I have NO REASON to be afraid of procedure and Bancruptcy, but I have a fear.

I read all, but I am not sure that I understood everything.

PLEASE, ANSWER.

Thank You so much.

Answer: In most cases it is not necessary for you to go to court if you go bankrupt. For more information, please contact us.

will I lose my house?

2006-09-19T00:13:00.000-04:00

I am self-employed - I have had no income for the past couple of months and no revenue projected for the next couple of months. I am unable to make my payments to creditors for this month. I am exploring alternatives to bankruptcy, the only asset I have is my home. As I do not have a steady income to rely on I am concerned that I may have to forfeit my home. I do have long term projected revenues but not until 2007. Please advise.

Selling the house after filing for bankruptcy

2006-09-12T17:12:00.000-04:00

Can I sell my house after filing for personal bankruptcy in Quebec?

Do I lose my car if I go bankrupt in Montreal?

2006-09-12T08:23:00.000-04:00

If you own a car and it is paid in full do you loose it in a personal bankruptcy? If this is the only thing you have of value?

You bought a house but cannot keep up with the payments.

2006-08-21T16:23:00.000-04:00

Does this sound like you?
Harold Green and his wife bought a house three years ago with a minimum down payment. They did not account for some of the additional expenses of owning a house and are now planning to file for bankruptcy. They are afraid that they will lose their house; what can they do?

What can you do?
In most provinces in Canada, debtors will not lose their house in a bankruptcy. However, if your housing costs are high (mortgage payments, property taxes, utilities) it is often wise to surrender the house. We highly recommend consulting a licensed bankruptcy trustee in your area before proceeding. A trustee can explain all of the rules to you, and make sure you understand the process. To find a bankruptcy trustee near you, click here.