How To Start The Personal Bankruptcy Process In Canada?
In order to start the bankruptcy process, you will need to contact a licensed trustee in bankruptcy. You can find a directory of licensed bankruptcy trustees at the website of the Office of the Superintendent of Bankruptcy (“OSB”).
When you have chosen a trustee, your next step is to set up a consultation meeting. At A. farber and Partners we provide a free consultation. In this meeting, the trustee will review your financial situation in order to determine if personal bankruptcy is the correct option for you.
You will be asked to bring some of the following items with you, depending on your particular situation:
- Photo ID
- Proof of income
- Creditor statements
- Your most recent Canada Revenue Agency notice of assessment for personal income taxes
- Your most recent Canada Revenue Agency notice of assessment for your GST/HST account, if you are self-employed
- Your property title deed, property tax bill and most recent mortgage statement, if you own your home
- Vehicle ownership details and certificate of insurance
- Your vehicle lease agreement, if your car is leased
- Your most recent statements for financial assets such as :
- Mutual funds
- Brokerage accounts
- Work pension
- Life insurance
The trustee will review your documents and ask questions to find out more information about your financial circumstances. After a review, the trustee will be able to inform you if filing personal bankruptcy is the best option for you, what you will be required to pay if you do as well as information on how filing for bankruptcy will impact your assets and your credit rating.
The trustee will then schedule another meeting with you where you will sign the necessary legal documents relating to voluntarily filing for personal bankruptcy.
How The Bankruptcy Process Works
Lloyd, I just wanted to thank you for taking the time to meet with me today. You have given me a lot of information to digest and discuss and it has really given me some hope for our situation.
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