Being in debt can be stressful and this stress can be exacerbated by a sense of shame. Many people feel ashamed about not being able to repay their debts, consequently this embarrassment means that money problems (and solutions) are not an area of finances about which most people are well-informed. Unfortunately, this stress and shame can leave a lot of people struggling with debt simply because they want to avoid what they think are the dire consequences of filing bankruptcy.
In fact, 82% of people polled as part of Sands & Associates’ 2017 BC Consumer Debt Study said they would have acted sooner if they had been aware of the details of the bankruptcy or Consumer Proposal processes.
Hoping to dispel some commonly-confused bankruptcy concerns, and ultimately encouraging people to seek debt help sooner, Vancouver-based Licensed Insolvency Trustee Blair Mantin discussed some frequently asked questions about bankruptcy effects with Global News.
Watch the Global News clip below:
Learn more about How Declaring Bankruptcy Does and Doesn’t Affect You.
What Does it Mean to File Personal Bankruptcy?
In Canada, personal bankruptcy is a federally-legislated legal process that allows a person to have their debts forgiven in the event they can no longer meet their financial obligations.
Filing personal bankruptcy is done with the help of a Licensed Insolvency Trustee (sometimes called a Bankruptcy Trustee). Licensed Insolvency Trustees are the only debt professionals in Canada that are endorsed and regulated by the Federal Government, and they can help you assess your situation and evaluate all possible debt solutions.
Even though bankruptcy is always considered a “last resort”, it can provide a welcome relief from the stress of debt, harassing creditor calls and the struggle of keeping up with unmanageable payments.
We understand that situations beyond your control can leave you financially overwhelmed – we’re not here to judge the circumstances that caused the problem. Sands & Associates exists to offer help and solutions so you can get a fresh start and move forward, debt-free.