Bankruptcy Trustee in Vancouver, BC
What is a bankruptcy trustee?
Bankruptcy trustees in Vancouver are government-licensed debt relief professionals, who help consumers and businesses by:
- Informing them of the best way to get out of debt,
- Protecting their assets, such as their home, vehicle, or RRSP's, and
- Stopping legal action from creditors, including lawsuits and wage garnishments.
A bankruptcy trustee provides free debt advice
There are many debt relief options available to those who face financial difficulties. The kind of debt solution that you choose to use can be one of the most important decisions you will make. If you make the right decision, it will resolve your financial problems quickly and effectively, but if you choose the wrong option, your debt problems could drag on for a long time, become larger and harder to fix, and negatively impact your credit rating. That’s where a bankruptcy trustee comes in.
Once you realize that you can’t cope with your debt anymore, you should seek professional advice from a trained debt expert, such as a bankruptcy trustee. A. Farber and Partners offers a free initial debt relief consultation – no strings attached.
Our bankruptcy trustee in Vancouver can sit down with you, review your debt, and inform you about all the various options available to you to get out of debt – not just bankruptcy, but also other, more popular debt relief solutions such as a consumer proposal or debt consolidation.
How can a bankruptcy trustee help me with my debt?
Your bankruptcy trustee will review your finances with you and inform you of all the possible solutions available to you to get out of debt. If it turns out that these are good options for you, our Vancouver bankruptcy trustees can provide you with the following debt solutions:
- A consumer proposal, in which you and your trustee make a formal offer to your creditors, in which your debts are reduced by up to 70%. Once accepted, your debts will be decreased and consolidated into one monthly payment, interest free. Learn more about a consumer proposal >>
- A bankruptcy, which allows you to go get rid of all your debts for a nominal fee. A bankruptcy would typically be the last resort after all other options (consumer proposal, debt consolidation, etc.) have been reviewed. Learn more about bankruptcy >>
Bankruptcy or consumer proposal: which one is better?
How can a bankruptcy trustee protect my assets?
A bankruptcy trustee can protect you from legal action from your creditors and can effectively:
- Stop harassing creditors
- Let you keep your home and vehicle
- Lift wage garnishments
- Protect existing RRSP's
After filing a consumer proposal or bankruptcy, the creditors involved will communicate directly to your trustee, putting an end to harassing creditor calls, wage garnishment, or lawsuits. It means that you would not have to deal with them again.
You will retain ownership of the amount in your RRSP, except for any contribution you have made in the year prior to declaring bankruptcy. In addition, you can keep certain assets, like your car, to allow you to earn a living. If you own a home in which you have minimal equity, it may be possible to keep your home, although this depends on your specific circumstances.
How much does a bankruptcy trustee charge?
The bankruptcy trustee’s fee depends on the provided service:
- The initial consultation to review your debt relief options is free. There is no obligation and your privacy is guaranteed.
- The fee for a consumer proposal is regulated by the Federal Government and forms part of your monthly payments offered to creditors.
- The fee for a bankruptcy is also regulated by the Federal Government and is paid by way of monthly payments.
Does speaking to a bankruptcy trustee affect my credit?
Speaking to a bankruptcy trustee does not affect your credit score. A free consultation is completely private and non-obligatory.
If you would decide to file with a bankruptcy trustee in Vancouver, the bankruptcy would temporarily be shown on your credit record. However, if you do need a bankruptcy or consumer proposal, your credit already is bruised. Depending on your situation, a consumer proposal or bankruptcy might even help you to restore your credit rating. Your bankruptcy trustee can advise you in these matters during your free consultation.
How does a bankruptcy trustee determine the best way to get out of debt?
When a bankruptcy trustee considers the options for solving debt problems, there are two major factors to be taken into account:
- your income, and
- your assets
First, your bankruptcy trustee will review your income:
For a consumer proposal, your trustee will look at your debt and assets, and come up with a proposal that decreases debt by up to 70%, but will also guarantee the creditors will receive part of the money owed. Similar rules apply to your assets, like your car or RRSP’s.
For a bankruptcy, government regulations determine that you will keep a certain amount of monthly income (after tax, depending on the number of dependents that you have), to cover reasonable living expenses. Anything earned above this is defined as surplus income. A part of this excess income must be paid to your creditors during the period of your bankruptcy. This period can range from 21 to 36 months.
If there is no surplus income, because your income barely supports your living expenses, then you do not have to make payments from your income and the bankruptcy can take as little as 9 months, after which you will be debt free.
The truth is that the available debt relief options are determined by specific situations. If your circumstances suggest that bankruptcy is the right solution, then you should keep an open mind to this debt solution. Many clients who have gone through bankruptcy told us that the only mistake they made was waiting so long to start eliminating their debt.
The benefits of filing for bankruptcy in Vancouver
Bankruptcy also provides protection against most legal action against you, including wage garnishment. Your bankruptcy trustee will deal with your creditors, saving you from the ongoing harassing calls from collection agencies.
In a first-time bankruptcy and after completion of alf your duties, at the end of nine or twenty-one months, you can be discharged from bankruptcy and you can continue to rebuild your credit.
So, if you find yourself in a position that, after paying regular monthly amounts, you still have a significant debt load that is becoming increasingly difficult to manage, then a bankruptcy is another option that might be the best solution for you: it eliminates your debts and lets you start rebuilding your financial future.
As debt professionals, our commitment is to help you find the debt solution that’s best for you. For a free consultation, fill out the form or call us today.
Reaching Our Insolvency Trustee Office in Vancouver
Our Vancouver practice is situated at 820 - 570 Granvile Street, on the corner of Granville and Dunsmuir. Our office is in close proximity to the Granville and Dunsmuir Sky-Train stations.
820 - 570 Granville Street
Vancouver, British Columbia V6C 3P1
Tel: (778) 400-3328
To apply for your free, no-obligation debt relief consultation, click here.
A. Farber & Partners bankruptcy trustee offices near Vancouver: