Getting Help from a Bankruptcy Trustee
If you’re having financial issues and are looking for help, it’s a good idea to speak with a bankruptcy trustee. Also known as a licensed insolvency trustee, this person is a financial professional who is licensed by the Office of the Superintendent of Bankruptcy of the Canadian government to oversee and administer bankruptcy proceedings. He or she is knowledgeable in bankruptcy procedures and in handling financial issues through various legal processes.
This means that you won’t just be given assistance on how to file for bankruptcy. Instead, he or she will work with you and evaluate your financial situation and discuss your options. Depending on your situation, there may be bankruptcy alternatives available to you that can ease your financial struggles and help you deal with your debt.
If you do decide to file for bankruptcy, the process is governed by the Bankruptcy and Insolvency Act of Canada. This is an act that regulates bankruptcy and insolvency in Canada. This same act also governs the Office of the Superintendent of Bankruptcy. A trustee can help you understand the Act and the process involved with filing for bankruptcy.
The Initial Consultation
Your first meeting with a trustee in bankruptcy will likely be the initial consultation which is typically offered free of charge. Part of the consultation is a review your financial situation. You will then be given details regarding the debt relief options that are available to you. If you are struggling financially and need help to handle and repair your financial situation, this consultation is a great place to start.
Bankruptcy and other financial solutions are complex and often confusing legal processes. Working with a financial professional can help you navigate these processes and make the entire situation easier to handle. He or she will answer whatever questions you may have regarding filing for bankruptcy, finding debt relief and exploring other debt relief programs and options.
A bankruptcy trustee makes sure that your rights as well as the rights of your creditors are respected. He or she is regulated by the federal government and thus is bound by a strict code of ethics and trained to ensure that the process is fair for everyone involved. This means that you are talking to someone who is a professional and who is qualified to provide you with the advice you need.
Consumer Proposal: How a Bankruptcy Trustee Can Help
Despite the name, a bankruptcy trustee is not just for bankruptcy. These financial professionals can also advise you of other financial and debt settlement procedures that could help you. If you are struggling with debt, another process that you should be aware of is called a consumer proposal.
What is a Consumer Proposal?
A consumer proposal is a legal agreement where you offer to pay your creditors a portion of the debt that you owe over a specific period of time. Once the agreed upon amount is paid ( and you have fulfilled your duties under the Act described below), your debts are forgiven and you are considered to have paid in full.
For many people, a consumer proposal is preferable to bankruptcy. One major reason why is that there is no risk and you can keep your assets (such as your home or your car) as long as you make the monthly payments.
A bankruptcy trustee can help you determine if a consumer proposal will work for you and your financial situation. He or she can also assist you in filing a proposal and will ensure that all of the required forms are completed and correctly filed with the Office of the Superintendent of Bankruptcy.
Once you file your proposal, the trustee will be responsible for all further communication with your creditors. You won’t need to worry about speaking to creditors or collection agencies anymore. This is another big advantage to filing a consumer proposal.
If your proposal is accepted, you begin making your monthly payments, attending financial counselling sessions and keeping your contact information up to date. At the completion of the process, the trustee will confirm that you have fulfilled your responsibilities and he or she will sign your Certificate of Full Performance. You can then move on to rebuilding your financial life.