“Knowing is not owing” isn’t just good advice for those in debt; if you’re a specialist in the financial industry, here’s why you should have a Licensed Insolvency Trustee (formerly called Bankruptcy Trustees) within your professional network.
Accountants, financial planners, lawyers and mortgage brokers each play an integral role in the financial sector – but what about Licensed Insolvency Trustees? The answer is – Absolutely! In Canada a Licensed Insolvency Trustee is the only professional officially recognized and endorsed by the Federal Government to provide legal debt relief to individuals and businesses. The specialized accreditation and scope of knowledge that Licensed Insolvency Trustees possess is often a great complement to many financial professionals’ services.
Legal Debt Solutions in Canada
As an expert in your field, you may find your clients presenting you with a variety of scenarios and debts they need to resolve, including but not limited to debts due to:
- Income tax, GST
- Director’s liability for source deductions owing
- Unpaid wages
- Personal guarantees (leases, bank loans, etc.)
- Credit cards, lines of credit, loans, payday loans
- Student loans
- ICBC and MSP
The legal rules surrounding debt help can be complicated, and many financial professionals find themselves unclear on various aspects of debt management, including:
- Credit rating impact of various debt relief strategies including debt consolidation, credit counselling, personal bankruptcy, and more;
- Options for dealing with tax debts and tax debt forgiveness; and,
- How bankruptcies and Consumer Proposals affect assets.
A Licensed Insolvency Trustee will meet with both individuals and businesses to understand the financial challenges they are facing, and to help them learn about and assess their debt options. A Licensed Insolvency Trustee can further aid in administering:
- Bankruptcy (personal or corporate);
- Consumer Proposals (for individuals);
- Division I Proposals (sometimes called a Business Proposal).
Unlike for-profit and non-profit credit counsellors, debt consultations or other unregulated debt management providers, Licensed Insolvency Trustees are a neutral representative; they receive no funding from creditors, nor are they registered collection agents. A Trustee is similar to a ‘referee’ – an unbiased professional whose job it is to ensure all rules are followed by the involved parties.
Debt-Free on Vancouver Island
Sands & Associates’ Vancouver Island debt help team recently invited local financial sector professionals to a networking and information session near our Nanaimo office. Attendees were able to gain valuable insights and information relevant to their clients’ needs.
Real-life scenarios presented illustrated points of consideration for situations such as a client considering:
- Using their RRSPs or other investments to pay their debt;
- Liquidating assets to help a family member pay off debt;
- Refinancing or obtaining a second mortgage to consolidate debt;
- Negotiations with Canada Revenue Agency for business-related debt.
Sound like some familiar issues faced by your clients? Sands & Associates is here to help you help your clients make informed decisions about debt management.
Interested in arranging a presentation for you or your staff to learn more? Contact Sands & Associates here.