Personal Bankruptcy Alberta
If you are filing for personal bankruptcy, it is important to understand precisely what the process entails. Personal bankruptcy is a legal option to rid yourself of all of your debts, designed to provide an honest Canadian who has fallen on tough times with a chance to start with a clean slate. At Hudson & Company, we specialize in assisting citizens of Calgary and surrounding areas file for bankruptcy quickly and efficiently.
To determine whether you qualify for personal bankruptcy, begin by asking yourself the following questions:
- Do you utilize credit cards to make payments on a regular basis?
- Are you able to only cover interest charges in your monthly payments instead of steadily lowering the overall obligation?
- Have you had your utilities shut off due to an inability to pay?
- Have you had your wages garnished to help repay your debts?
- Do you obtain frequent cash advances to make ends meet until your next payday?
- Do calls from your creditors lead to your avoidance of answering the phone?
Prior to filing for personal bankruptcy, consider other possible solutions:
- Increase income and/or decrease expenses, if at all possible.
- Contact your creditors and explain why you have been unable to pay your bill. Most creditors will be willing to revise your terms to make your payments more manageable.
- Credit counseling services may help you devise a budget and stick to it. Contact your local family or community counseling office for more information.
- Obtain a debt consolidation loan from your financial institution. This will cover all of your debts and give you one payment per month. Interest rates will vary, so make sure to do some research.
- Orderly Payment of Debts (OPD) – If you live in Alberta, you may apply for a Consolidation Order according to the Bankruptcy and Insolvency Act. A Consolidation Order sets the amounts and times of payments to the court. The court, in turn, will make payments to your creditors. Unlike personal bankruptcy, you must pay the creditors all of the money that is owed to them.
- A consumer proposal made to creditors will be able to reduce your debt. It can also change your payment schedules, or it can be a combination of both based on your distinct situation.
If none of the above solutions work, your best option is bankruptcy. Our fully licensed, professional team of personal bankruptcy specialists will help you through the process in the simplest and more stress-free manner, leading you towards restoring the financial freedom that you deserve.