Guest commentary by Rebecca Martyn, bankruptcy trustee, consumer proposal administrator, and Angela Marquis, Windsor, Ontario.
If your debts are overwhelming, how can you decide between filing a bankruptcy or a consumer proposal? Here are some factors to consider:
You might choose to file personal bankruptcy in Canada if:
- You have low income
- You have no assets to lose
- You have never been bankrupt before
- You have a wage garnishment
You might choose a consumer proposal if:
- You have a good job with a good income
- You have assets you want to protect, such as a house or a car
- You want and have the ability to pay a portion of your debt back
- You don’t want to go bankrupt
- You debts are lower than $250,000 (not including your mortgage)
- You have a wage garnishment
Each situation is different, so do your research and review your options and then contact a bankruptcy trustee.
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