Question: I live in my parent’s house and pay rent. Therefore, my parent’s house is my address. My debts are all unsecured. Can creditors or collection agencies go after my parents house or register liens against my parents house?
Answer: Your creditors can only go after your assets; they cannot go after your landlord’s house.
Question: We are in financial disaster. We renegotiated our mortgage in the spring, and because of bad credit, renegotiated a 13% first and second mortgage. Our house has just sold, the closing date is Dec 28th, and we just found out there is a lien registered on our home. With the sale, we are having to borrow 15K to close the sale, now we find out we will need to borrow 35K to get out of this house. We are paying insane closing fees of 9K in penalties, I have already had my bank accounts seized. At this point, both my husband and I feel we might as well both go bankrupt and let the banks fight it out. I already went bankrupt in 1997…now we are facing it again. Should we let the deal fall through and file for bankruptcy?
Answer: Your situation is very serious and urgent, so it’s critical that you get professional help immediately; you should contact an Ontario bankruptcy trustee as soon as possible. It is beyond the scope of this bankruptcy Ontario website to advise on an issue as critical as your home.
The decision on whether or not to go bankrupt will depend on many factors. The level of your debt is one issue, and obviously with the shortfall on your house there will be a $35,000 shortfall. If you can repay the $35,000, bankruptcy probably is not necessary. However, if you have other debts, bankruptcy may be an option.
Question: If I am awarded spousal support and I have to claim bankruptcy, do I still get it?
Answer: Yes, spousal support payments are not stopped because you go bankrupt in Ontario. However, if your income is over the limits set by the government, you may be required to pay a portion of your surplus income into your estate while bankrupt. A trustee can explain this process to you in more detail.
Question: Can the WSIB wages be garnisheed?
Answer: It is very difficult to garnishee WSIB (Worker’s Compensation) payments, since they come from the government. However, there is no law that specifically prevents it, so in theory if a creditor got a court order, they would be able to garnishee WSIB payments. However, it would be very unusual for WSIB payments to be garnisheed.
If you declare bankruptcy, how does this affect Tax Returns?
I recently was awarded a student loan discharge (all my student loans both provincially/federally) were discharged/expungged. I have a couple questions.
Question 1: Are the student loans ALWAYS included with the bankruptcy that was initially filed (in my case filed on Jan 10th, 2003-by Oct 2003 I was discharged), so that means with Equifax they are released on Oct 2009 (six years after discharge date)–wanting to get a house with my spouse?
Question 2: What is the process (how does it get to Canada Revenue Agency to be removed off their records for Canada Student Loans (federally) and Ministry of Education & Training (provincially–for Ontario)==Is there anything that can speed up the process, by faxing to certain offices, etc.
By the way for anyone reading my posting I paid $1700 for the court process and in Northern Ontario it was rather quick for the entire process. Please let me know. Thanks.
how long does a bankruptcy in Ontario stay on your credit bureau
We claimed personal bankruptcy in October. We had secured loans through Citi-Financial which included household goods and our car. The arrangement was that Citi-Financial would pick-up these items and the car yesterday. I contacted the office and confirmed that they would be here to pick up the items and the car. This did not happen. What happens now? Do we wait and expect more calls from them? Will my trustee contact them to finalize everything? Unfortunately, my trustee does not return my calls.
I’ve read through most of the information on your website, but there’s one thing I am not clear on. My car is leased (4-year lease will come to an end May 2008). If I declare bankruptcy in Ontario, will I automatically lose the car? One of the mandatory requirements of my job is the use of a reliable vehicle.
Also, if I declare backruptcy, will my employer have to know? (I guess they would know if I lost my car, but assuming I could keep the car, would they find out about the bankruptcy?)
Thank you.
Are locked-in RRSP funds considered an exempt asset or will they be seized if I file for personal bankruptcy in Ontario?