Frequently Asked Questions
Simple questions and simple answers!
What happens during a first meeting with a trustee?
We will assess your situation by identifying your debts and assets with you, and by creating a detailed budget. We will have a completed overview of your situation and will be able to offer you solutions.
Is the information I am about to give you confidential?
Yes, the information is not shared with the general public. However, the creditors will have access to it.
What is the impact of a consumer proposal or bankruptcy on my credit score?
The trustee will not report you to the credit bureau. However, the creditors will. Your credit score in a consumer proposal will be R9 for the entire duration of the process and will be changed to R7 afterwards and will remain so for 3 years.
In the event of bankruptcy, the credit score will be registered at R9 for its entire duration and for 6 years following the discharge. In case of a second bankruptcy, the credit score will remain for a maximum of 14 years.
I have a wage garnishment, a judgment against me, a bailiff is after me. Is it too late to do anything?
No. It’s even urgent to consult a trustee to obtain protection against the creditors.
If I declare bankruptcy, will I lose all my assets?
Many assets are unseizable, such as furniture, bank accounts, work tools, certain investments, life insurance and essential vehicules. The trustee will examine the exemptions applicable to your situation.
In my consumer proposal file, the creditors are requesting a meeting with me. What will happen?
A meeting of the creditors will be held if the creditors vote against the proposal or have a counter-offer to file. The meeting will be chaired by the trustee and you will have to be present.
Can tax debts be included in a bankruptcy or a consumer proposal?
Yes. These are common debts and they can be discharged.
What are the non-dischargeable debts?
- fines and offences
- debts resulting from a false declaration, fraud or diversion
- some student loans
- debts for alimony, child support
- all other debts mentioned in section 178 of the Bankruptcy and Insolvency Act (BIA)
Ready to regain your financial peace of mind?
For further information or questions, or to schedule a free and confidential consultation with a trustee, please contact us at 819 595-1800 or email us at info@lebelsydic.com.