Calgary Alberta Personal Bankruptcy Blog

working and income under bankrupcy in Calgary

2007-10-25T22:27:00.001-06:00

Question: i was made bankrupt in jan 07. i now have a job, can the courts take any money of me, also can i be called back for futher questions by the offical recievers after being made bankrupt?

Answer: The answer depends on a number of factors. First, have you completed all of your duties and have you been discharged from your bankruptcy in Calgary? If you have been discharged, you have no further obligations.

If you have not been discharged, you are required to report your income each month to your bankruptcy trustee. If you have surplus income, you will be required to pay a portion of your surplus income to the trustee for the benefit of your creditors until you are discharged.

We suggest you contact your bankruptcy trustee to determine what further duties you must complete to finish your bankruptcy.

Who will know that I filed for bankruptcy in Calgary?

2007-10-09T13:23:00.000-06:00

Question: Will anyone know that i filed bankrutcy in Calgary? if so, how? is it public records or what?

Answer: When you go bankrupt, you feel embarrassed and you are probably worried about who will find out that you went bankrupt. There are only a few people that know about your bankruptcy without you volunteering the information:

1. The Office of the Superintendent of Bankruptcy
Official bankruptcy records in Canada are compiled by the federal Office of the Superintendent of Bankruptcy (OSB) and are public records. Every time someone goes bankrupt, it is through this office.

2. Credit bureaus
Every month, the OSB sends a list of new bankruptcies to each of the credit bureaus, like Equifax and Trans Union. These companies then record the bankruptcies on their credit histories of individual consumers. The bankruptcy record for each person is removed from that person's credit report after a set number of years.

3. Current creditors
In order to stop wage garnishments, threatening phone calls, and to alert them of the situation, your trustee will send out letters to each of your creditors informing them of your bankruptcy. If you owe money to friends or relatives, then they will also be included in the mailing, which means they will find out in this way.

4. Your employer
If you are currently having your wages garnisheed, your trustee will send a court order to your employer to stop the garnishment. Your trustee also requires information to file your taxes; if you don't provide it to the trustee, the trustee may contact your employer to obtain the missing information.

5. Anyone you tell
People will not know that you have gone bankrupt just by looking at you. You are free to tell anyone you wish or withhold the information, as long as they aren't a current creditor, a potential creditor, or your employer if your job requires you to report any bankruptcies.

Tax debt and bankruptcy in Calgary

2007-10-01T09:23:00.000-06:00

Question: I am self employed and have not filed personal tax returns or GST returns for several years. Can filing bankruptcy in Calgary help me with the tax problem?

Answer: Personal bankruptcy does discharge debts you owe personally to Canada Revenue Agency (formerly called Revenue Canada) for GST and income tax.

However, you, or your trustee, is required to file outstanding tax returns. If the returns are not filed, Canada Revenue Agency can oppose your discharge from bankruptcy. We therefore recommend that you gather the information necessary to file the outstanding tax returns and either have your accountant prepare the tax returns before you go bankrupt, or bring the information to your Calgary bankruptcy trustee to determine how best to proceed with your bankruptcy.

Getting married and bankruptcy in Calgary

2007-07-03T15:45:00.001-06:00

Question: My fiance and I are both considering filing bankruptcy in Calgary. When we get married if we file jointly, will previous debt from before the marriage be wiped out?

Answer: First, to file a joint bankruptcy, most of your debts must be the same. If you both have separate debts, you will not be filing one bankruptcy together. However, if you both have debts, you can both file bankruptcy.

The purpose of declaring bankruptcy is to discharge your debts, so the answer to your question is yes, if you go bankrupt, whatever debts you had before you declared bankruptcy will be discharged.

There are some exceptions to this, including debts for child support, certain student loans, and other items, so we suggest you and your fiance consult a Calgary bankruptcy trustee to decide if bankruptcy is the correct solution for you.

bankruptcy in Calgary without spouse

2007-06-14T15:18:00.001-06:00

Question: I am wondering if I can file bankruptcy in Calgary by myself since I have so many in my name and without my husbands name. Or does he have to file with me?

Answer: Yes, even if you are married you can file bankruptcy in Calgary on your own; your husband is not required to file bankruptcy with you.

How quickly can I start a calgary bankruptcy?

2007-03-30T10:44:00.001-06:00

Question: I need to stop the collection calls as soon as possible. How quick can I stop the calls?

Answer: It is possible to file a bankruptcy in a matter of a few days. Your trustee will electronically file your bankruptcy after you have signed the bankruptcy paperwork, and the bankruptcy is effective immediately. Your creditors are then notified by mail, so the collection calls normally stop in a week or two.

For more information, we suggest you contact a Calgary bankruptcy trustee to arrange a no-charge initial consultation.

Computer and bankruptcy

2006-11-11T21:06:00.000-07:00

Question: I need to claim bankrupcy and I have a computer that I still owe money too but I will always have a $1000 a munth income and I want to pay it off. I need my computer I can't loose it. I'm on aish and am diabled and I cant get out alot so I need to do this over the phone or online. can you help me or point me in the right direction.

Answer: In Canada, including in Calgary, you cannot file bankruptcy over the phone or online. You must be assessed, in person, by a licensed trustee. We suggest you contact a trustee; they will provide some initial information to you over the phone, or by email. They will want to review your computer loan agreement to advise you on what will happen to the computer in the event that you file bankruptcy in Alberta.

Are you recently separated or divorced and find yourself trying to get by on one income?

2006-06-30T08:49:00.000-06:00

Does This Example Sound Like You?

You are making decent money, but you and your kids were used to being a two income family. Your child support payments don't seem to help much, especially when your ex doesn't pay you on time, if at all. On top of all of this, there all bills your ex said would be taken care of, but haven't. What can you possibly do?

What Can You Do?

The hardest part about becoming a one income family is that most or your expenses stay the same. You still have to pay rent, groceries aren't much cheaper, and the utility bills are the same. You may be able to work out your problems with a consumer proposal and some financial counselling. If you would like some advice from a professional to find out you're your options are, click here for more information.

Was your overtime reduced, and now you can't pay your bills?

2006-06-26T11:14:00.000-06:00

Does This Example Sound Like You?

Tom Johnson works for an automotive parts company. For the last few years he averaged 10 hours of overtime per week, and he used that extra money to pay his bills. His company has less work, and has cancelled all employee overtime. As a result, he is having a hard time paying his bills. What can he do?

What Can You Do?

On his now reduced income, Tom can't make all of the minimum payments on his credit cards. He has a few options. First, he could try to reduce his monthly expenses to free up cash to pay his credit cards. Second, he could file a consumer proposal, making a deal with his creditors to pay them over time. Finally, if all else fails, he could file for bankruptcy. To investigate your options, click here for more information.