Concordat proposal ACCUEIL / CONCORDAT PROPOSAL / How to save a struggling company? When a company experiences financial difficulties, there are often solutions to avoid bankruptcy . By intervening quickly, it is possible to protect operations, preserve jobs , and restore lasting financial stability . A proposal under the Bankruptcy and Insolvency Act allows an insolvent company to reach an agreement with its creditors to reduce financial pressure and reorganize its debts. Governed by the Bankruptcy and Insolvency Act, this solution offers the opportunity to continue operating the business while implementing a realistic recovery plan. What is a concordat proposal? These mechanisms provide that a company, through a licensed insolvency trustee, can file a proposal (" an offer ") with the company's creditors, asking them to accept less than the amounts owed so that the company can survive. The trustee works with company management to draft a proposal that presents the best alternative for both the creditors and the company. Typically, creditors will have to forgo a portion of the amounts owed to them, with the company offering to pay a certain percentage of its debts (for example, 25%) over a period calculated according to the company's financial capacity. How does it work in practice? The proposal for a settlement is the only mechanism that allows tax debts to be settled at less than 100% , and yes, governments accept such settlements. The filing of a proposal halts all legal proceedings taken or contemplated by the creditors. Filing a proposal gives the company some leeway to discuss with creditors, explain its financial situation and ask for their support for the proposal. Filing a proposal also protects the company's directors from legal liability. Main advantages 1. Significant debt reduction 2. Preservation of your assets 3. Cessation of interest 4. Protection against creditors 5. Simplified monthly payments APPOINTMENT

BUSINESS ACCUEIL / BUSINESS / Business in difficulty The Act allows a company to place itself under protection for a period of thirty (30) days up to six (6) months , during which time the company must develop a restructuring plan for its business, as well as an offer to be presented to all of its creditors. What is a concordat proposal ? These mechanisms provide that a company, through a licensed insolvency trustee, can file a proposal (" an offer ") with the company's creditors, asking them to accept less than the amounts owed so that the company can survive. The trustee works with company management to draft a proposal that presents the best alternative for both the creditors and the company. Typically, creditors will have to forgo a portion of the amounts owed to them, with the company offering to pay a certain percentage of its debts (for example, 25%) over a period calculated according to the company's financial capacity. How does it work in practice? The proposal for a settlement is the only mechanism that allows tax debts to be settled at less than 100% , and yes, governments accept such settlements. The filing of a proposal halts all legal proceedings taken or contemplated by the creditors. Filing a proposal gives the company some leeway to discuss with creditors, explain its financial situation and ask for their support for the proposal. Filing a proposal also protects the company's directors from legal liability. Main advantages 1. Significant debt reduction 2. Preservation of your assets 3. Cessation of interest 4. Protection against creditors 5. Simplified monthly payments APPOINTMENT

La faillite personnelle permet de se libérer de ses dettes et de retrouver une stabilité financière. Informez-vous auprès de nos syndics autorisés en insolvabilité. bankruptcy ACCUEIL / LA FAILLITE / Bankruptcy Get expert advice on how to restructure your financial situation and avoid bankruptcy. Advantages of bankruptcy: During the bankruptcy: You can keep your work-related belongings and part of your retirement savings. If you have secured loans, you can continue to repay them. After bankruptcy: You will live debt-free and with a balanced budget. You have the option to choose which items you wish to keep. Bankruptcy offers a second chance to those who need it. What is bankruptcy? A person experiencing financial hardship can use the provisions of the Bankruptcy and Insolvency Act to file for personal bankruptcy. Only a Licensed Insolvency Trustee (LIT) can do this on your behalf. When you file for bankruptcy, we notify all your creditors, who must then immediately suspend all legal proceedings against you (actions, seizures, phone calls, and other collection procedures). Bankruptcy allows you to eliminate all your debts, including those owed to government entities, although there are some limited exceptions. Bankruptcy can be The best option if: 1. You cannot consolidate your debts or make a consumer proposal. 2. You have few assets with significant equity. 3. Your financial situation is too unstable to commit to a long-term proposal and you want to quickly resolve your debt problem and balance your budget. APPOINTMENT How does it work? Bankruptcy? acknowledge the financial difficulties. Identification of the financial problem 1 Bankruptcy filing filing for bankruptcy with the competent authorities. 2 Bankruptcy management An insolvency administrator manages the process. 3 Financial restructuring plan the financial recovery. 4 to resolve debts and ensure financial stability. Conclusion and follow-up 5 APPOINTMENT

Établir un budget est la première étape vers une meilleure gestion financière. Apprenez à planifier vos dépenses et à réduire votre endettement.

Depuis 1962, Tremblay & Cie accompagne les particuliers et les entreprises vers des solutions adaptées à leurs difficultés financières. Consultation gratuite et confidentielle. About Tremblay Co. When you need help because the burden of debt becomes too heavy, it is important to be able to rely on professionals who are available and easy to reach . This is the service we offer. Read our customer reviews, and you'll understand that these aren't empty promises, but a real commitment we'll maintain throughout the resolution of your case. Too often, some firms will manage your file from an administrative center, to which you'll be directed after signing for any questions that inevitably arise. Signing is just one step, and with us, you'll continue to have easy access to the person you initially met, right here in the city where you submitted your application. In business since 1962, our values are integrity, transparency and service to all our clients. But don't just believe what you read. Come and meet with us to discuss your situation in confidence. You'll understand our commitment to taking your situation to heart and resolving it. It will be a pleasure to serve you. Fabien Tremblay ABOUT ACCUEIL / À PROPOS /

projects . ACCUEIL / PROJECTS /

La proposition de consommateur vous permet de réduire vos dettes, de cesser les appels des créanciers et de conserver vos biens. Consultation gratuite et confidentielle. CONSUMER PROPOSAL ACCUEIL / PROPOSITION DE CONSOMMATEUR / Consumer proposal Reduce your debts without losing your assets. Free yourself from the burden of debt with a consumer proposal, a legal alternative to bankruptcy that allows you to start fresh. Book an appointment today for a free and confidential consultation. What is a consumer proposal? A consumer proposal is a legal solution governed by the Bankruptcy and Insolvency Act that allows you to settle your debts for a fraction of the total amount you owe , while keeping all your assets. This is a formal agreement between you and your creditors, administered by a licensed insolvency trustee. How does it work in practice? You meet with one of our trustees to assess your financial situation. We are preparing an offer to creditors to partially repay your debts ( usually between 20% and 50% ). If the majority of your creditors agree, ALL your creditors are legally bound to respect the agreement. You make fixed and affordable payments over a maximum period of 5 years. At the end of your proposal, all your included debts are legally considered to be fully settled . Main advantages 1. You keep all your belongings 2. Major reduction of your debts 3. Fixed monthly payments 4. Immediate legal protection 5. Limited impact on your credit APPOINTMENT An example to better understand Marc went into debt by $50,000 in credit cards, personal loans and back taxes. With our help, you submit a proposal offering to pay $20,000 (40% of the total). Preparing the offer 1 Offer accepted His payments are $333 per month for 60 months. 2 Debt reduction He saves $30,000 of his original debts. 3 Situation He keeps his house, his car and all his belongings. 4 Once the proposal is completed, he is completely free of his $50,000 debt. Proposal completed 5 APPOINTMENT Questions fréquentes Q&A on the consumer proposal How much does a consumer proposal cost? Fees are regulated and included in your monthly payments. There are no upfront fees for submitting a proposal. During your free consultation, we will explain the fee structure in detail; fees typically represent approximately 20% of the total proposal amount. How long does a consumer proposal last? The maximum term is 5 years (60 months). You can also make additional payments to complete the loan faster and begin your financial recovery sooner. How is the monthly amount determined? The amount depends on several factors: the value of your assets, your disposable income, the total amount of your debts, and what creditors are likely to accept. Our goal is to find a balance between an affordable monthly payment for you and an attractive offer for your creditors. What happens if I miss a payment? If you miss three monthly payments, your proposal will be automatically cancelled. However, we understand that unforeseen circumstances can arise. If you anticipate temporary difficulties, contact us immediately to explore available options before it's too late. Will my spouse be affected? Only if you have joint debts. If your spouse did not co-sign your debts, their credit score and finances will not be affected. We can also assess the possibility of a joint proposal if you are both experiencing financial difficulties. Can I keep my house and my car? Absolutely! That's precisely one of the major advantages of a consumer proposal. As long as you continue to make your mortgage and car loan payments, you keep all your assets, unlike in bankruptcy where some assets could be seized. How can I know if my creditors will accept my proposal? Our trustees have extensive experience and are familiar with the acceptance criteria of major creditors. We formulate realistic and well-balanced proposals, which explains our high acceptance rate. After a proposal is filed, we can amend it to facilitate its acceptance. Can I get credit during my proposal? Yes, but with some restrictions. You can usually get a secured credit card and, in some cases, a car loan with a substantial down payment. We'll advise you on the best strategies for gradually rebuilding your credit during your proposal. Will my employer be informed? No. Your employer is not informed of your consumer proposal unless you work in certain financial or regulated sectors where specific disclosures are required. Confidentiality is maintained throughout the entire process. What are the alternatives to the consumer proposal? Depending on your specific situation, alternatives may include bankruptcy, debt consolidation, or an amicable settlement with your creditors. During your free consultation, we will thoroughly examine all available options to help you make the most advantageous choice.

Contactez Tremblay & Cie dès aujourd'hui pour une consultation gratuite, confidentielle et sans engagement. Une équipe à l'écoute pour vous aider à retrouver votre équilibre financier Contact: Phone: 1-888-549-5642 E-mail: E-mail Quebec City address: 4815, boul. de l'Ormière, Suite 270 Quebec City (QC), G1P 1K6 Contact us First name Name E-mail* Phone Message* Send CONTACT . ACCUEIL / CONTACT / Chicoutimi CONTACT DETAILS 582 Boulevard du Saguenay Est Chicoutimi (QC), G7H 1L2 Tel : (418) 549-5642 Fax : (418) 549-5829 HEURES D’OUVERTURE Lundi au vendredi 07:30 à 20:00 Quebec - The Willows CONTACT DETAILS 4815, boul. de l’Ormière, Suite 270 Québec (QC), G1P 1K6 Tel : (418) 476-1136 Fax : (418) 549-5829 Cell : (581) 996-7088 HEURES D’OUVERTURE Lundi au vendredi 07:30 à 20:00 Quebec - Beauport CONTACT DETAILS 3000 rue Alexandra suite 302 Beauport (QC), G1E 7C8 Tel : (418) 476-1136 Fax : (418) 549-5829 Cell : (581) 996-7088 HEURES D’OUVERTURE Lundi au vendredi 07:00 à 20:00 Alma CONTACT DETAILS 11 rue Melançon Alma (QC), G8B 3W8 Tel : (418) 662-5657 Fax : (418) 668-7903 HEURES D’OUVERTURE Lundi au vendredi 07:30 à 20:00 Roberval CONTACT DETAILS 610 Bd Marcotte, Roberval, QC G8H 1Z6 Tel : (418) 275-5626 Fax : (418) 275-6375 HEURES D’OUVERTURE Lundi au vendredi 07:30 à 20:00 Dolbeau-Mistassini CONTACT DETAILS 1461 Wallberg Boulevard Dolbeau-Mistassini (QC), G8L 1H5 Tel: (418) 276-7778 Fax: (418) 275-6375 OPENING HOURS Monday to Friday 7:30 to 8:00 PM Sept-Îles CONTACT DETAILS 700 Boulevard Laure Sept-Îles (QC), G4R 1Y1 Tel: (418) 476-1136 Fax: (888) 834-1960 OPENING HOURS Monday to Friday 7:30 to 8:00 PM Montreal CONTACT DETAILS 612 Rue Saint-Jacques, Montreal (QC), H3C 1E2 Tel: 888 549-5642 OPENING HOURS Monday to Friday 7:30 to 8:00 PM

Consolidation de dettes : regroupez vos dettes en un seul paiement et simplifiez vos finances. Consultation gratuite et confidentielle avec nos conseillers. DEBT CONSOLIDATION ACCUEIL / CONSOLIDATION DE DETTES / Who is debt consolidation for? MAKE AN APPOINTMENT Ceux qui ont un historique de crédit qui leur permet d'accéder à un prêt de consolidation. 01 Ceux qui sont capables de faire face aux remboursement du prêt, couvrant 100% de leurs dettes, plus un taux d'intérêt qui peut varier en fonction de leurs antécédents de crédit. 02 Debt consolidation Get expert advice on how to restructure your financial situation and avoid bankruptcy. What is debt consolidation? Debt consolidation is a financial solution designed to help you simplify and manage your debts more effectively. It involves combining several debts into one, which reduces the number of monthly payments and, in many cases, results in a lower interest rate. Benefits debt consolidation: A single monthly payment for easier financial management. Access to a lower interest rate . One single creditor to simplify your finances. Save money by avoiding additional interest payments and late fees.

Prenez rendez-vous avec un syndic autorisé en insolvabilité pour une consultation gratuite, confidentielle et sans engagement. Ensemble, trouvons la meilleure solution à votre situation financière. APPOINTMENT ACCUEIL / RENDEZ-VOUS / How can we help you? I want a first appointment. It is free and confidential. To start Urgent questions and immediate assistance Quick help

Tremblay & Cie Ltée vous accompagne avec des solutions à vos problèmes de dettes : faillite, proposition de consommateur et redressement financier. Consultation confidentielle. Licensed insolvency trustee in Quebec. When debt takes over completely, we step in. We will help you find a solution to free yourself from your debts. Online appointment Contact Proposition de consommateur Reduce your debts without losing your assets. Free yourself from the burden of debt with a consumer proposal, a legal alternative to bankruptcy that allows you to start fresh. Business in difficulty Many companies must reorganize to cope with an increasingly demanding market. Sometimes this reorganization requires recourse to laws that allow for debt settlement when debts reach an unsustainable level. Bankruptcy Get expert advice on how to restructure your financial situation and avoid bankruptcy. 15,000+ Satisfied customers OUR COMMITMENT About Tremblay Co. In business since 1962, our values are integrity, transparency and service to our clients. But don't just believe what you read. Come and meet with us to discuss your situation in confidence. You'll understand our commitment to taking your situation to heart and resolving it. It will be a pleasure to serve you. Fabien Tremblay Read more about Tremblay Cie Our team Our experience at your service Charles Tremblay Chicoutimi et Alma charles@tremblaycie.com Bureau : 418-549-5642 Cellulaire : 418-662-5657 Diane Hamel Roberval et Dolbeau-Mistassini diane.hamel@tremblaycie.com Bureau : 418-275-5626 Cellulaire : 418-276-7778 Éric Villeneuve Quebec, CPA eric.villeneuve@tremblaycie.com Bureau : 418-476-1136 Cellulaire : (581) 996-7088 Jérémy Tremblay Trustee, LL.B., MBA jeremy.tremblay@tremblaycie.com Office: 418-549-5642 Cell: 581-234-2627 Fabien Tremblay Trustee, LL.M. fabien.tremblay@tremblaycie.com Office: 418-549-5642 Cell: 418-690-6353 Julie Michaud Administrator, CPA julie.michaud@tremblaycie.com Office: 418-549-5642 Alexandre Tremblay Administrator, CPA alexandre.tremblay@tremblaycie.com Office: 418-549-5642 Cell: 418-290-8506

Questions fréquentes sur la faillite, les dettes, la proposition de consommateur et les solutions financières. Réponses claires par des experts. Catégories Business and work Debt and credit Debt collection and seizures Debt solutions Family and separation General questions Health and special situations House and accommodation Student loan Taxes and the government Understanding debt Vous avez une question particulière? Vous pouvez nous la soumettre ci-dessous Name E-mail* Phone Question Send Vous pouvez rechercher dans ces questions les sujets susceptibles de vous éclairer. Cliquez sur le sujet pertinent. I'm in school and Emploi-Québec is paying me to attend my training. If I go bankrupt, are my unemployment and Emploi-Québec benefits subject to seizure? Your benefits are not subject to seizure but are taken into account in the calculation of your income to establish the amount of your voluntary deposit during bankruptcy. I'd like to file a consumer proposal and I was wondering if there's a minimum amount of debt required to do so. Our debts total approximately $19,000, while our annual income is $42,000. We don't own a home because a very large portion of our income goes toward debt repayment and essential expenses. If we were to file a consumer proposal, how is the monthly repayment amount determined to become debt-free? Is it a percentage of our income? If so, what percentage? Subject to a full assessment of your situation, you may be able to file a consumer proposal to settle these debts. Your payment will be calculated based on your net income and family expenses. I am retired and receive pension benefits from my company, the Quebec Pension Plan (QPP), and the Quebec Automobile Insurance Corporation (SAAQ). Can you tell me if these amounts are affected or subject to seizure in the event of personal bankruptcy? Your income from all sources will be considered when calculating your voluntary deposit during bankruptcy proceedings. Use this link to calculate it: http://www.bankruptcycanada.com/Evaluateur-de-faillite-personnelle.php If I declare bankruptcy, will I lose my house? Not if you continue your mortgage payments and if you make an agreement with the trustee for its equity, if there is one. I lost my job a little over a month after entering into a consumer proposal agreement, under which I committed to paying $500 a month for 48 months. I am therefore about to receive Employment Insurance. Do you think it would be possible for me to renegotiate my proposal and lower my debt given my circumstances, and that this revision would be accepted by my creditors? If this revised proposal is refused, I would have no choice but to declare bankruptcy. In that event, would I be able to change trustees to handle my case, or would I be forced to work with the same one? Your situation may qualify for a review. The best course of action is to consult your trustee to request one. If you were forced to declare bankruptcy, you could change trustees; that's your decision. The consumer's proposal would disappear from the credit report after 5 years. Is this 5 years after the end of the 5-year payment period? If so, would it be more advantageous to declare bankruptcy in terms of our credit report, since bankruptcy would disappear 7 years after a shorter period (9 months)? Here is the information provided by Equifax on this subject (all of which is subject to change): CONSUMER PROPOSAL: When a consumer proposal is paid, it is removed from the system three (3) years from the date of payment. BANKLIFT: A bankruptcy is removed from the system six (6) years from the date of discharge if it is a single bankruptcy. In the case of multiple bankruptcies (where more than one bankruptcy is declared by the consumer), each bankruptcy is kept for a period of fourteen (14) years from the date of discharge of each bankruptcy. All accounts included in a bankruptcy remain on file with the notation "included in bankruptcy" and are removed from the system six (6) years from the date of the last transaction. If I live in the United States (with a work visa), are my salary and assets considered in bankruptcy or a proposal, or is it only my assets/salary in Quebec? Your assets and income from all over the world are taken into consideration. What does the law say about surrendering credit cards to the trustee when filing a consumer proposal? A friend filed a proposal and surrendered all his cards to the trustee, except for one whose balance was zero at the time of filing. This card is very rarely used. I understand that in the event of bankruptcy, he would have been required to surrender it, but this is only a proposal. In a proposal, the law does not require the applicant to hand over their credit cards to the trustee. However, in reality, the person filing a proposal will almost certainly have all their cards cancelled directly by the issuer, who will be notified of the proposal in one way or another. Keeping a card under such circumstances will prove embarrassing for the applicant, who could have their card declined at an unexpected time. This is why trustees prefer to collect them. Can I change my property manager? Creditors can change trustees, but not the debtor. I pay my credit cards every month, but I've gotten into debt with my Visa Desjardins Accord D. I've taken out several small loans of $500 here and there. I now have payments of $600 per month on my Visa. What can I do? You might consider consolidating your credit card debts into a loan or consumer proposal. I intend to declare bankruptcy. Will I still be allowed to travel, given that my children and wife live abroad? Yes, of course. Bankruptcy doesn't prevent international travel in any way. I owe the National Bank $8,000, secured by an ATV. I want to make a consumer proposal to all my creditors (including the National Bank) in which I would surrender the ATV and an additional sum of money. Can the proposal be refused? Could they require me to repay the entire debt? I read somewhere that even if all creditors accept the proposal, I could still be required to repay the secured loan in full even if I surrender the ATV. As with any proposal, creditors can reject the offer made. In practice, a fair proposal based on your ability to pay will rarely be refused. Can a car financed by an auto loan (the bank holds a lien on the vehicle until full payment) be seized by the government if money is owed in taxes? Yes, but the government comes after the bank that finances the car, but that's unlikely. Are debts to the government (source deductions, taxes, unpaid GST-QST) included in bankruptcy, or must they be assumed for life? All these debts are dischargeable. Following a separation, I had to buy new furniture on credit at a cost of $4,000. I still have a balance of approximately $3,100 on that loan. If I include this amount in a bankruptcy claim, can they seize all the furniture I purchased? No, unless you have signed a sales contract with retention of title. If I want to reach an agreement with my creditors without declaring bankruptcy, do I have to pay an initial amount? What if I don't have the required amount? Is there an alternative arrangement? Your payment plan must align with your available cash and income. If creditors do not accept the proposed payment schedule, your plan will not be viable. I owe Emploi-Québec for overpayments. Would personal bankruptcy release me from this debt? It concerns social assistance benefits that were overpaid. A social assistance debt is not erased by bankruptcy. If a voluntary deposit is refused, does that automatically mean bankruptcy? No not at all. Due to my husband's illness, we will likely be forced to declare bankruptcy. Three years ago, he bought a trailer. Since his mother has been a great help to us financially during his illness, we were wondering if he could thank her by giving her the trailer, which is of similar value to the money she has given him. If you sell the trailer for less than its value and then declare bankruptcy, the trustee can ask your mother to reimburse them for its fair value. If you keep it and declare bankruptcy, the trustee might agree to let you keep it, provided you can pay for it before your discharge. If I declare personal bankruptcy and my children have RESPs, will they automatically lose them? If the RESPs are in your name, yes. Children do not own RESPs; parents do. If I declare bankruptcy in November and I earned $10,000 in September, but I only get paid in December, will the trustee take a portion of that $10,000 even though it was earned in September? Yes, because it is part of your assets; it is an account receivable. If I make a consumer proposal, will my spouse's credit rating be affected if she continues to make payments on the joint credit card for which she is a co-signer? If your spouse continues to honor her payments, she should not be affected. If I declare bankruptcy in Quebec, will I then be able to work in the United States? If so, will my credit be negatively affected there as well? Yes, you can work wherever you want. However, your rating should follow you as well. I'm about to make a proposal to four creditors. I'd like to offer 20%. One of these creditors is a car lease. I'd like to continue making my lease payments because I need the car for work, and the lender has confirmed they're okay with me continuing the lease even if I make a proposal. Do I need to include this creditor in my 20% calculation? It makes a big difference if I have to add the remaining lease balance to the total. You don't need to take this into account if you continue with the rental. Let's say that instead of declaring bankruptcy, I file a consumer proposal. How are the payments calculated? Also, if my financial situation changes (job loss or otherwise) and I haven't finished making my payments, what would happen? Your payments are calculated based on your disposable income. If you accumulate more than 3 months of default, your consumer proposal is cancelled and you start over. When you declare bankruptcy and file your income tax return, do you have to remit any federal and provincial tax refunds, if applicable? Federal tax refunds from the year in which you file for bankruptcy are part of the bankruptcy assets. My ex-partner and I bought a house together. After our separation, we put it on the market, but unfortunately, we didn't receive any reasonable offers. Following the separation, I bought another house. Now, I'm starting to feel stuck because I have two mortgages to pay off. So, what would the consequences be if I were to "hand in" the keys to my first house on my credit report? And how long would these consequences remain on my credit report? Your credit score will be significantly affected by the payment default on your first home, and this information should remain on your credit report for seven years. However, this does not give the mortgage lender on your second home the right to repossess it if you are not in default on that mortgage. But it could negatively impact you when it comes time to renew that mortgage. It remains to be seen whether the mortgage lender on your first home will limit themselves to a mortgage lien or pursue a personal lawsuit against you. That is their choice. If they pursue a personal lawsuit, you may have to consider bankruptcy or a proposal. If I were to declare bankruptcy, could amounts accumulated in a pension fund be seized (employer and employee contributions)? Could voluntary contributions to the same pension fund be seized? Are RRSPs held with the FTQ subject to seizure? Generally, no. Can my bankruptcy be denied? If so, why? The decision to declare bankruptcy is yours. However, you will need to find a trustee who will agree to take your case. The trustee will verify if you meet the requirements and if it is the best solution for you. What is a loan with a solvent guarantor? A guarantor is a person, often a family member, who takes responsibility for the loan with you and agrees to repay it if you default. If I go bankrupt and want to return to my studies two years later, for example, can the financial institution refuse my school guarantee certificate (assuming the loan and bursary application was accepted) because of my poor credit score? I have never seen a refusal of this kind for a government-backed student loan. What is an undischargeable debt? I imagine it means that it cannot be discharged? A non-dischargeable debt is a debt whose execution is suspended during your bankruptcy (you cannot be compelled to pay it), but which you must resume paying once your bankruptcy is over. Non-dischargeable debts are generally those resulting from obtaining goods or services under false pretenses. We are a common-law couple with two children. I am a stay-at-home parent, and my partner earns $70,000 a year. We own and occupy an income property in a triplex. Our debts total $90,000, broken down as follows: - $39,000 on a joint line of credit - $22,000 on my personal credit cards - $29,000 on my partner's credit cards Our living expenses (including food, gas, etc.) are $3,000 per month. Would we qualify for a consumer proposal, and what percentage of the $90,000 would we have to repay, or is bankruptcy our only option? We have been living on our lines of credit, and now they are maxed out. Of course, we don't want to lose our property, especially since we live in it. Your case appears suitable for a consumer proposal. A meeting with a trustee is necessary to determine the parameters. Quick question about a proposal: With a net family income of $2822, net monthly expenses of $1594, and personal credit card debt of $85,000, is it possible to file a consumer proposal to avoid personal bankruptcy? At first glance, yes. My partner and I are in serious financial difficulty and are considering either bankruptcy or a consumer proposal. We have approximately $200,000 in consumer debt (car loans, credit cards, lines of credit). We can barely make the minimum payments, but every time an unexpected expense arises, we have to resort to our credit cards or lines of credit, which has kept us going in circles for two years, and the balances on most of our debts (except for closed loans) aren't decreasing. Our main creditor (40% of our debt) is the bank where we have our mortgage and our main bank accounts. I'm therefore afraid they will oppose our proposal and tip the scales against us. If the proposal is rejected, we will likely have to consider bankruptcy. I don't mind losing all my possessions if necessary, but I can't afford to lose the house. We have two dogs, and without a house, we'll have to give them up, which is out of the question. My question is: Can we lose our house if we go bankrupt? Our house is worth $220,000 on the market. Our mortgage balance is $179,500. To keep your home, you will need to: 1) be up-to-date on your mortgage payments, taxes, etc.; 2) reach an agreement with the trustee for payment of a reasonable surplus value, if your home is indeed worth more than the mortgage. These issues will be discussed during your initial meeting with a trustee. My partner runs a home daycare and is my common-law partner. We own the house together, with a joint mortgage that was used as a $200,000 business down payment. I have $30,000 in credit card debt and a $150,000 company guarantee that I owe to the credit union. I want to file for bankruptcy. Can you tell me if the house will be included in the bankruptcy proceedings, or if it will be exempt and I will still have to pay the mortgage? The net value of your share of the house will be considered in your bankruptcy proceedings. The trustee should try to reach an agreement with your spouse to transfer your share to her. I'm married and I offered to buy my husband's boat because he needed money, as our accounts aren't joint. He takes care of the mortgage payments, and I handle all the other expenses: phone, cable, cell phones, groceries, etc. So I wanted to help him. The sale went through, but a month later, my husband told me he had to file for bankruptcy because he couldn't make ends meet anymore, and his outstanding debts were over $75,000. Since I bought the boat a month ago, if he files for personal bankruptcy, will I be affected, given that we're married? I don't want to lose what I've gained, especially since I didn't know he was going to go bankrupt. The trustee in your husband's bankruptcy proceedings will examine the fairness of the price paid for the boat and the method of payment. If the price is lower than its market value, you will be asked to pay the difference. If you didn't pay for the boat but rather settled a debt your husband owed you, this will be considered a preferential payment, and you may have to surrender the boat to the trustee. In short, the law requires that transactions between related parties not be made to the detriment of other creditors. All the facts must be analyzed and discussed with the trustee. My partner lost her job four months ago, yet she's still been racking up credit card bills (groceries, clothes, etc.). She wants to declare bankruptcy because I can't even help her, being heavily in debt myself. I've heard that creditors have the right to review her spending over the past three months. Can they demand repayment for all her purchases within the last three months? Generally not, except that if these expenses are extravagant, they could give rise to an objection when requesting release. My consumer proposal was rejected, and I'm considering bankruptcy. Could my creditor oppose my bankruptcy? If so, what recourse do I have if that happens? Filing for bankruptcy does not require creditor approval. However, they can oppose your discharge at the end of your bankruptcy proceedings, in which case the court will decide. My wife and I are in undischarged bankruptcy. For the past few months, we haven't been able to make the monthly payments required by our trustee due to personal circumstances. We were supposed to be discharged next year, but I imagine we won't be because of this payment default. If we haven't finished making our payments by the scheduled discharge date, what recourse does the trustee have? Is the worst that could happen that our discharge is delayed until our payments are complete, or can they resort to other means such as wage garnishment or asset seizure? Since we stopped making payments, we haven't contacted our trustee. What advice do you have for us? Contact your trustee immediately. They are a professional in financial difficulties and will be able to find a suitable solution given your challenging situation. My mother-in-law owes Hydro-Québec $1300. Her only income now is her pension cheques (she is 80 years old). She has no money in the bank. Can Hydro-Québec seize part of her cheques (Canada Pension Plan, QPP)? That's very unlikely. I'd like to know the current cost of bankruptcy. Is it really $1800? How can I estimate this cost before starting the process? Approximately, yes. However, the actual cost to an individual depends on their surplus income. Consult the following link to calculate the cost based on your income. Are the monthly bankruptcy fees the same for everyone, or do they depend on income? Also, if my spouse and I both want to file for bankruptcy, will we have to pay twice or only once? We have joint debts and each have personal loans. How does this work in that case? The deposit is calculated based on the family's net income. It's likely you could file for bankruptcy together. Are bankruptcies of properties or businesses published? If so, where are they published? If you're referring to public sales, the answer is that these cases aren't always publicly advertised, as the properties are often handed over to the mortgage lender. When they are advertised, it's usually in the newspapers of the regions concerned. What happens if you declare personal bankruptcy but also own an incorporated business? And if I have a legal mortgage on my house, will I be able to keep it after bankruptcy? Your company's shares are part of your personal bankruptcy. The trustee assesses them to determine if they have realizable value, which is quite rare. Whether or not the company continues to operate depends on several factors, primarily your intention to do so. A legal hypothec can have various effects in bankruptcy proceedings, depending on its nature. These are issues that require careful analysis. Here's my situation: I owe $6,000 to Revenu Québec and $3,000 to the Canada Revenue Agency for taxes from previous years. I'm currently repaying another $3,000 personal loan. I can't afford to pay all of this. My wife and I have a combined income of $80,000 per year. I contacted Revenu Québec, and they offered me a 12-month payment plan, which is impossible for me. I don't own a home; I pay rent. Should I declare bankruptcy? I believe your case is more suited to a consumer proposal than bankruptcy. Meet with a trustee to have your situation reviewed. Can I go bankrupt if I work? Of course. I'm in a very worrying situation. A few years ago, I had to stop working due to serious health complications. Even now, I have a glimmer of hope that I might eventually be able to return to work, something no one believes is possible because of my condition. Since I stopped working, I've had to rely on government assistance (social health assistance) because I didn't have insurance. Since then, I've been trying to survive on my credit cards as best I can. My ex-partner and my son helped me pay them off. However, I no longer have a partner, and my son can no longer help me. Can I file for bankruptcy? This worries me greatly because I've read that if you use your credit cards knowing you can't repay them, bankruptcy can be denied. I certainly didn't use my cards thinking I wouldn't be able to repay them; far from it. My hope of returning to work remains, even though it's currently impossible given my condition. What do you suggest, please? Your situation doesn't appear to reveal any wrongdoing. I believe you would benefit from consulting a trustee to start fresh. I currently work as a contractor for the Quebec government. I met with a trustee to discuss the possibility of filing a consumer proposal. If I owe money to Revenu Québec for unpaid past taxes and this amount is included in the proposal, is there a risk that my manager at work will find out about my proposal? I would prefer that people in my office not know. Does Revenu Québec usually inform other government departments? I don't mind if the Human Resources department in Quebec City finds out, but will my local manager be informed? In my opinion, no. The Ministry of Revenue is bound by total confidentiality regarding taxpayer files. I have $50,000 in credit card debt. I'm making the minimum payments, but I'm struggling. I spend as much time abroad as in Canada, but I have some questions: how many years does a credit card debt have a statute of limitations? If I give up and don't pay it all back, will the bank continue to pursue me for the outstanding amounts if I leave for a very long time? In a situation like yours, assuming you know your income, you should consider bankruptcy. Any other solution will only delay this seemingly inevitable outcome. A meeting with a trustee will allow you to make the appropriate decision. I want to file for personal bankruptcy and I'm wondering how long it will take to be discharged afterwards if there are no objections from creditors? For a first bankruptcy without surplus income, 9 months; with surplus income, 21 months. Does making a consumer proposal impact our job prospects? To work for the government, applicants are required to sign an authorization to check references, criminal record, and credit before being hired. I wouldn't believe it, especially not for the government. You can certainly find out about their hiring criteria. During the entire period a "bankruptcy repossession" condo is for sale, who is responsible for the monthly condo fees? The property manager handling the sale, the building association, or the association representing the group of buildings? I assume that in all cases, these fees will eventually be reimbursed by the buyer upon sale? If the trustee is unable to sell and ultimately relinquishes the property to the mortgage lender, I don't believe they can be charged the monthly fees. Your conclusion seems appropriate. Since this is a legal matter, you should consult a lawyer. If I have a registered company and I owe amounts for GST and QST, will these debts be erased following a bankruptcy? If it's a company, the directors are liable. The company's bankruptcy does not release them from this liability. If it's a business registered in your own name, your bankruptcy will release you from the debts in question. If I receive an inheritance after my bankruptcy and before my discharge, do I have to declare this amount to the trustee? Is it subject to seizure? Yes. Your inheritance will be part of your bankruptcy assets, unless it includes clauses protecting it from seizure in your favor. I filed for bankruptcy, from which I was recently discharged. The financial institution I dealt with at the time still holds my RRSPs and a LIRA (Locked-In Retirement Account). I haven't worked for a month and I have a matured RRSP. Is it possible for me to withdraw it? I'm afraid that if I withdraw this RRSP, the financial institution will recoup its losses from that income. If you have been discharged from bankruptcy, your debts are extinguished. Therefore, the income from your RRSP withdrawals belongs to you. My mother owes the government money because of a mistake she and her spouse made in the past. She was fined $25,000 at the time. Over the years, this amount has increased to over $41,000. It keeps rising, and she says it will never go down. She and her spouse have tried everything to get rid of this debt, given that it's been over 20 years. They believe it's impossible for them to get out of it. So, I'm not asking you to help us, but I would like to know if you think there's any way to get out of this debt that will never end and that she'll never be able to repay. I'd like to clear things up with her once and for all. It's difficult to provide an adequate answer without knowing your specific situation. If the debt stems from a false declaration, such as fraudulently obtaining social assistance, it cannot be discharged through bankruptcy. The only solution would be to reach an agreement with the creditor. My credit report was in a slump for three years. Now, everything is fine: I pay everything in cash and I no longer have any credit cards. Unfortunately, I had to buy a car using a second-chance loan for $9,000 at 29% interest. All this because my credit score was so poor. I'll be paying $122 on time every week. It's not so bad, but I had to be very careful about extra charges (insurance I didn't need). Obviously, I absolutely do not want to extend these payments over 36 months: the car would triple in price. Based on your experience, could you give me a rough idea of how long it will take to improve my credit score, say by 50 points, by paying the weekly amount or by making larger payments from time to time (for example, $500)? Six months, a year? This is a difficult question to answer precisely, as many factors come into play. Visit the section of our website that deals with restoring your credit score. You will find a lot of information on this topic there. Does the trustee seize family allowance money? The trustee does not take them into account but does take them into consideration when calculating your income. Can I consider the consumer proposal even if I am receiving unemployment insurance benefits (I have the maximum benefits)? Yes, if your budget allows. We can also consider reducing your payments until you return to work. This is my second joint bankruptcy with my wife: one in 1996 and the last in 2010. When we filed for bankruptcy in 2010, my wife was unemployed, so the trustee's fees were about $110 per month for two years. Three months after our bankruptcy, my wife found an unusual job paying $200 per week, and the trustee increased the fees to $535 per month, adding another year to our discharge. Does it seem normal to you that for $200 a week we have to endure such an increase, as well as a longer bankruptcy period? Since you already have a trustee, you should contact them, as they have all the information to answer your questions. To calculate your monthly commitment, you can consult this address: http://www.bankruptcycanada.com/Evaluateur-de-faillite-personnelle.php I had a business that I haven't closed yet, but it has ceased operations. I haven't filed my corporate taxes for the last year of operation, but so far they're claiming $20,000. It's certain that after I file my returns, it won't be that much. I filed for personal bankruptcy and was discharged last July. My company's tax debts predate my bankruptcy. My question is: regardless of the amount my company owes in taxes that is being claimed from me personally, will I be discharged from that debt due to my personal bankruptcy? If these are debts for periods prior to your personal bankruptcy, the answer is yes. It's said that after bankruptcy, you can no longer be a company director, but you can be self-employed. Self-employed individuals must charge their clients GST/QST if their income exceeds $30,000 per year. However, when you declare bankruptcy, you can no longer obtain a GST/QST number in Quebec. So, how can you be self-employed in this situation? You can obtain tax numbers even if you are personally bankrupt. I had major surgery a few months ago. Regarding my return to work, I don't know when or to what extent I'll be able to go back. Everything was fine with my rent payments until the surgery. Since then, we've fallen behind on our payments because we only have my husband's salary and we have two children. Is there any way to avoid eviction? I don't want to shirk my responsibility to pay, but I would like to find a way to prevent my landlord from evicting me. We're still in this apartment, but I feel like the eviction notice could arrive soon. Is there a solution? If you go bankrupt, you will not have to pay the rent owed but will have to pay future rent. A number of circumstances have led to me currently being on social assistance. I met with a trustee for personal bankruptcy. He's asking me for $100 a month for 17 months, which leaves me with $70 a week to feed three people! This is my first bankruptcy, and it's for less than $20,000. Could there be a mistake? It's impossible for me to pay such a large amount monthly. Furthermore, he's asking for an initial $100 payment upon signing, which I obviously don't have. What should I do? These conditions are standard. If you cannot meet them, contact other property managers, but first determine the monthly amount you would be able to pay. I compensated my ex-partner with $25,000 for the house and furniture when we separated. At that time, she had no debts. Now, six months later, she has no money left. She bought two vehicles, one of which she borrowed $10,000 for. She has no income and has to pay $700 a month in rent as well as the car loan. If she continues like this, she will have to declare bankruptcy. Should I be worried about the things I bought for her? If the amount you paid represents the value of the goods she transferred to you, then no. How she subsequently uses that money is not your responsibility. My partner and I have been separated for six months. If she declares bankruptcy, can the trustee come to my home to seize my belongings (furniture, house)? I bought out her share of the house when we separated. We were common-law partners for 15 years and have two children together. The trustee will assess the transactions that took place between you to ensure that they were not made to the detriment of your spouse's creditors. I am a student in financial difficulty who has been living in Canada for three years. I am now burdened with enormous debt and am considering declaring bankruptcy because my efforts are futile. The problem is that I am also homeless. I would like to know what my chances are of finding a studio or a one-bedroom apartment after declaring bankruptcy, and do you think an application for loans and bursaries will be accepted despite bankruptcy? Bankruptcy doesn't prevent you from finding a place to live, but you might be wise to sign a lease before declaring bankruptcy. You'll also have access to loans and grants, just like anyone else. I've had a gambling problem for a while now, without my partner knowing. I'm managing the situation by paying off my debt with more debt, and I've accumulated about $30,000 in debt. We co-own a condo with an equity of approximately $40,000. Can I file a consumer proposal without my partner knowing, and what will happen to the condo or the equity? You can make a consumer proposal and keep your condo. Your proposal must take into account the potential value of your undivided share of the condo. Since you have at least one joint debt on the condo, it would be best to discuss your options with your spouse once you have obtained all the necessary information from a trustee. I've checked several websites and the information is often contradictory. When I file a consumer proposal and am making payments, does my credit score change to R7 or R9? Some sites say R7 during the proposal process, while others say R9 during the payment phase and R7 for the following three years. I'd like to know which information is correct. According to my information, it is R9 during, then R7 for the 3 years after the execution of your proposal. Are the 50% penalties for failing to declare income for income tax, GST, and QST purposes included in bankruptcy proceedings? Yes. My husband and I are considering filing a consumer proposal. Could this affect our mortgage renewal, which is due in two years? Also, could it affect our future job search? For a job search, it shouldn't be an issue unless it's in the financial sector. Renewing your mortgage is rarely a problem, provided you've always made your home loan payments on time. Ideally, of course, the renewal should expire after the offer ends. Is it true that a bankrupt person cannot sit on a board of directors? A bankrupt person cannot act as a director of a company. My spouse is the primary credit card holder, and I have a secondary card in my name on the same account. If he declares bankruptcy, am I responsible for repaying the debt? Do I have to declare bankruptcy myself? How does it work? You should check with your credit card issuer to see if you are also responsible for the account. I'm in a difficult financial situation due to unpaid credit card and line of credit debts. I ran a business for over 10 years and made the mistake of using my personal accounts for the company. The company no longer exists, but the debts remain, approximately $70,000, and I'm considering filing a consumer proposal. My only concern is that over two years ago, I gave $50,000 to a family member. I paid my cards up to date until three months ago. Do you think this could affect my proposal? This significant donation will be taken into account when preparing your consumer proposal. If the trustee determines that this is a transaction that could be challenged in favor of your creditors, you will likely have to offer your creditors more in your proposal to partially compensate them. My partner and I declared bankruptcy. We recently became bankrupt. We would now like to change our vehicle and obtain financing through a "second chance" program. Do you have a company you could recommend? I'm afraid of being scammed; there are so many companies offering this service. I don't have a company to recommend, but if I have one piece of advice, it's to be very careful and fully understand the true cost of the loan you're considering. You could get a standard loan with a creditworthy guarantor, which would be much better. Of course, finding a guarantor isn't easy. We have five children, a mortgage, a lot of debt, and are considering bankruptcy very soon. We've received an offer to rent a house that fits our budget, but we have to accept it this week without having filed for bankruptcy. Can we move before bankruptcy (for a month or two at most), or would it be better to file for bankruptcy and find a place to live afterward? The date of your move in relation to your bankruptcy is irrelevant, according to the facts you submit. I am bankrupt and will be discharged in several months. In the meantime, I would like to get a larger car because my family is growing. The problem is that I haven't finished paying off my current car. I've read on several car sales websites that it might be possible to get credit even if you're not yet discharged from bankruptcy. Is this true? What are the procedures I need to follow with my trustee? Do I need to notify them? Are there any consequences? Legally, nothing prevents a bankrupt individual who has not yet been discharged from obtaining credit, but they must disclose their undischarged bankrupt status to the lender. Inform your trustee beforehand, who will advise you on how to proceed to avoid any problems. My wife and I have both filed for bankruptcy and will be discharged in a few months. Our payments were calculated at $550 per month, but we haven't made any payments to the trustee for some time. We try to pay what we owe each month but can't manage it because of the house and the two cars we're still paying off. According to our trustee, the car payments can't be included in our eligible expenses. Can we change trustees? What are the consequences if we continue not to make our payments? My wife is pregnant: from what point is the new baby considered a family member, from the beginning of the pregnancy or from the day of birth? Your building manager is correct regarding the car payments. The new child will be counted from their birth date. Try to reach an agreement with your building manager; that's the best solution. I have a tenant who can no longer pay the rent. He wants to leave but without paying the remaining eight months of rent on his lease. If I don't agree, he threatens to declare bankruptcy. Is it true that he can't include these rent payments in his bankruptcy filing? No, that's not true. Unpaid rent is a debt that is part of bankruptcy. I have debts of approximately $25,000, I currently live alone with my child, I earn $40,000, and I plan to file for bankruptcy in November. I've met a man and I've been wondering about our future. I know my bankruptcy will last 21 months because, according to what I've read, I have surplus income. What would happen if I decided to move in with him in the months following my bankruptcy? He owns a house and has a high income of $100,000. Also, what would happen if I got married before my discharge? I'm afraid that my monthly payments will increase considerably if I move in with him. Since your surplus income is calculated taking into account the income of those living with you, you are correct in thinking that the amount payable during your bankruptcy proceedings will change. During your meeting with a trustee, they will be able to provide you with precise figures. I am currently bankrupt for 21 months. After how long can I apply for a credit card to reinstate my name? As soon as you are discharged from bankruptcy. However, this does not mean you will obtain one immediately. Consider the cards offered by some companies, subject to a security deposit. Use credit with caution. I would like to know if bankruptcy always lasts for 7 years? Is it possible to buy a house after declaring bankruptcy and owing $50,000 in taxes? After declaring bankruptcy, will I be able to continue working as a real estate agent? A bankruptcy doesn't last 7 years. You're confusing the duration of the information in your credit report with that of a first bankruptcy, which lasts between 9 and 21 months. Nothing prevents you from buying a house as long as you obtain the necessary financing, which is obviously more difficult after a bankruptcy. I don't see any obstacle to continuing your work as a real estate agent. To be certain, check with your professional order. I own a house with my common-law partner, valued at $330,000 with a $220,000 mortgage, and a boat valued at $60,000 with a $70,000 mortgage. Both of us have signed the mortgages. My common-law partner is experiencing significant difficulties with her business. If she files for personal bankruptcy, will the house and boat be seized and sold? How can I respond? The boat doesn't appear to have excess value. If that's the case, you can continue the mortgage payments even after your spouse's bankruptcy. Regarding the house, you'll need to reach an agreement with the trustee for the buyout of your spouse's share. Your status as a co-owner puts you in a favorable position to do so. You can ask these questions at your first meeting with the trustee. Can my landlord call my trustee and get information and details about my bankruptcy? Yes. Bankruptcy is a public process. I would like to know if invoices that have not been subject to a credit evaluation (store credit) can be included in a bankruptcy (I have a demand letter regarding an outstanding balance) and also if a past housing debt can be included. Yes, all your debts must be declared and are included in your bankruptcy. I've had substance abuse and gambling problems. I haven't filed my taxes in several years. I recently received a notice of assessment from the Canada Revenue Agency demanding several thousand dollars plus interest and penalties. I'm penniless. Is bankruptcy my only option? You should file your tax returns first. You might not owe anything. If not, bankruptcy would be appropriate. I declared bankruptcy four months ago and I want to get married in a few weeks. Will this affect the amount I have to pay to the trustee? Your trustee must take into account your family income, whether married or not: what matters are the people living under the same roof. I absolutely have to declare bankruptcy because I lost my job and I can't survive on employment insurance benefits. I consulted a trustee, but I have a car loan with $6,500 still owed. Will I be able to keep the car, or will the bank repossess it? If you continue making payments on the car loan, you can keep it. If a person declared bankruptcy about a month ago, can they now buy a vehicle worth about $1000 and register it in their name, or is that prohibited? Speak to your building manager. Normally, for a vehicle of this value, it shouldn't be a problem. I separated six months ago, and all the debts are in my name (mortgage, RV, credit cards, lines of credit, loans, and student loans). I would like to file a consumer proposal because I am currently unemployed (I worked for my spouse's company). Can the student loan be included and reduced in a proposal, or only in bankruptcy? And are the children's RESPs also subject to seizure? Another question: would a second mortgage on the house be included in the proposal (it's held with the same bank as the first mortgage)? If you stopped being a student less than 7 years ago, neither bankruptcy nor a proposal will release you from this debt. Registered Education Savings Plans (RESPs) are subject to seizure in the event of bankruptcy. The proposal could include an offer on the second mortgage, but since the first-lien creditor is the same, the chances of success are slim. Does marrying someone who is personally bankrupt (not discharged) make me responsible in any way or affect me personally? No, except that your husband will have to declare his new situation to the trustee and his family income, including yours, for the determination of his personal commitment, for which you are in no way responsible. I filed for bankruptcy several years ago and a consumer proposal two years ago, which I have been paying on time ever since. However, since my proposal, I am considered to have filed for bankruptcy a second time and cannot obtain any credit. Why? I have always paid my debts on time. The consumer proposal was for tax purposes. Contact the credit agencies by fax or internet to have your file corrected. Will having a new car before the bankruptcy and having to continue my payments for 4 years after my release (because I was able to keep it) have a positive effect on my credit score, or since it was bought before the bankruptcy will it have a note at Equifax/Transunion marked "bankruptcy" or... something else? Honoring a loan can only be positive for you. My spouse and I recently met with a bankruptcy trustee. We wanted to file for joint bankruptcy, but since only a portion of our debts are shared ($3,000 out of $20,000), we each have to file separately. The trustee advised us to file our tax returns before proceeding, since we'll be withdrawing money. However, I was wondering if it's possible for me to apply for an additional credit card for my spouse on my credit card account, and vice versa? This way, our combined debts would exceed $10,000, and we would only need to file for one bankruptcy instead of two separate ones. Is this possible? Requesting an additional card when considering bankruptcy is not appropriate. I've been on income security (unable to work for life) for a long time and I have debts on three credit cards totaling about $6,000. I haven't paid my cards in a while, and the credit agencies are calling me. I have no money to give to anyone. I live in a room in someone's house and I'm not on the lease, which is in their name. I have no possessions or money. Everything here belongs to my roommate, who is also unable to work. Is there a risk that my roommate's belongings will be seized? That's highly unlikely. Nevertheless, you should consider a solution like bankruptcy to end your debt situation. I own an old car that's fully paid off. If I go bankrupt, will they seize it? I use it to get to work and to take the kids to school, among other things. I'd really like to keep it, of course. Is that possible? And what about furniture? What can be seized? I have two televisions, one of which isn't fully paid off, and two computers. You are describing assets that are either necessary furnishings or assets without significant realizable value. These assets are usually left to the debtor who goes bankrupt. Would it be better for me to have my post-bankruptcy tax return prepared by a professional, or can I do it myself? I only have a T4 slip and nothing else. I would just like to know where I should prorate the information. You can do it yourself, but there needs to be some sharing of credits and other expenses between the pre- and post-bankruptcy periods. In my opinion, your trustee or accountant is the best person to do it, usually for a reasonable fee. How can you be sure you are dealing with a bankruptcy trustee and not a financial turnaround specialist? A trustee is licensed under the Bankruptcy and Insolvency Act. You can obtain this information by contacting the office of the Superintendent of Bankruptcy nearest to you (in Quebec City, 418-648-4280). Is a consumer proposal beneficial in most cases? If I'm currently paying $800 to $900 a month toward debt repayment before submitting the proposal, will the payment under the proposal be just as high? In my opinion, it will be lower and well suited to your budget.