I'm considering filing for consumer proposal or bankruptcy, given that I have approximately $30,000 in debt (credit cards, loans). I also have a student loan of about $17,000 (it's still relatively new). I also have a loan on a television that I'm still paying off. I own a car worth about $4,000, which is fully paid off. My questions are as follows (in the event of bankruptcy): 1 - I believe I will have to continue making payments on my student loan despite bankruptcy. Is this correct? Will the amount I make monthly payments be deducted from my monthly income for the purpose of calculating excess income? If so, who decides the amount of the student loan repayment (which will be negotiated with the bank in July)? 2 - Can the television and the car be seized, or will I have to pay any compensation? 3 - I have a net monthly income of approximately $2500, but I suffer from an illness that often prevents me from earning my full salary, so my monthly income fluctuates considerably from month to month (1600-2500). Is this taken into account when calculating surplus income? Furthermore, is the cost of medication considered (given that it's a fairly significant and recurring expense for me)?
Your questions:
1- Student loan repayments cease with your bankruptcy or proposal; they will resume after your discharge; you will then discuss the matter with the Ministry of Education; the bank will no longer be involved;
2- You will likely have to pay compensation for the car;
3- The calculation of surplus income is based on approximately 7 months; it is therefore an average that should take into account fluctuations in your income.
1- Student loan repayments cease with your bankruptcy or proposal; they will resume after your discharge; you will then discuss the matter with the Ministry of Education; the bank will no longer be involved;
2- You will likely have to pay compensation for the car;
3- The calculation of surplus income is based on approximately 7 months; it is therefore an average that should take into account fluctuations in your income.
Questions reliées
- Can I declare bankruptcy if I've received a wage garnishment from the Loans and Bursaries program? I tried to reach an agreement with them to reduce the amount, but the garnished amount is far too high for me.
- How do I declare bankruptcy in order to get out of a 10-year student loan?
- I am supposed to inherit a sum of money. However, I owe money to the Quebec Ministry of Education for student services. Will the amount I receive be reduced by my student debt?
- I declared bankruptcy in October 2019. I want to return to school and will need loans and bursaries. Will my bankruptcy cause me problems obtaining them?
- I have a debt from my studies in Quebec, which I completed almost 10 years ago. I have used all my deferred repayment options (60 months). The last request was made two years ago. I haven't been able to start making payments due to financial difficulties. I had permanent resident status from 2010 to 2014. I have been living abroad since 2014 and have therefore lost my permanent residency (I have been absent for over five years). I started a study program in Quebec last year with international student status. I am currently studying remotely due to the pandemic, but I should be arriving in Quebec soon. Could my situation cause problems with immigration services upon my arrival? Is there any way to reduce my debt? Who should I contact to renegotiate my file?