Comments on: 401 K and bankruptcy in Ontario http://www.bankruptcy-ontario.org/uncategorized/2006/11/401-k-and-bankruptcy-in-ontario.html Sat, 17 Jul 2010 19:27:30 +0000 hourly 1 http://wordpress.org/?v=3.0 By: J. Douglas Hoyes, CA, Trustee http://www.bankruptcy-ontario.org/uncategorized/2006/11/401-k-and-bankruptcy-in-ontario.html/comment-page-1#comment-25 J. Douglas Hoyes, CA, Trustee Thu, 30 Nov 2006 17:23:00 +0000 http://www.bankruptcy-ontario.org/?p=96#comment-25 If she files for bankruptcy in Ontario, the trustee will attempt to seize the money in her 401K in the United States (similar to an RRSP in Canada).<br/><br/>There is no guarantee that the trustee will be able to seize it, depending on whether or not it is locked in or otherwise creditor-protected, but if she goes bankrupt she should assume she will lose it, which may make a <a HREF="http://www.bankruptcy-ontario.org/proposals.htm" REL="nofollow" rel="nofollow">consumer proposal</a> a better option. If she files for bankruptcy in Ontario, the trustee will attempt to seize the money in her 401K in the United States (similar to an RRSP in Canada).

There is no guarantee that the trustee will be able to seize it, depending on whether or not it is locked in or otherwise creditor-protected, but if she goes bankrupt she should assume she will lose it, which may make a consumer proposal a better option.

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