If you are unable to resolve your financial troubles through any combination of formal or informal steps, you may decide to consider filing an assignment in bankruptcy. Bankruptcy is a formal procedure governed by the Bankruptcy and Insolvency Act. Your bankruptcy must be overseen by a Licensed Insolvency Trustee (LIT).
In a bankruptcy, you assign all of your assets to the LIT for the benefit of your creditors. The LIT realizes on these assets and any funds realized are distributed to the unsecured creditors. Certain assets are exempt from seizure. Click here to see the list of exempt assets.
Certain factors determine the duration of your bankruptcy: how many previous bankruptcies you have filed and your income level. This, among many other details will be explained to you at your free initial consultation.
Once you have declared bankruptcy, any legal actions your unsecured creditors can take against you such as wage garnishments, seizure of bank accounts, etc. are stayed (or stopped).
Crawford Smith & Swallow can help you get back on track and take control of your finances. Contact us to book your free consultation today.