Is it the Right Time to Declare Bankruptcy in Calgary
Is it the right time to declare bankruptcy? The decision can be quite a tough one. Here is a small guide for bankruptcy in Calgary that may help you to make the decision.
Due to emergency expenditures or unavoidable circumstances, many honest and hardworking individuals fail to pay their bills or their creditors due to low income. Is it the right time to declare bankruptcy? The decision can be quite a tough one. Here is a small guide for bankruptcy in Calgary that may help you to make the decision.
At first, we need to understand what bankruptcy is. Bankruptcy is a legal status of an individual or an organization, when the individual or the organization can not repay the debts that they owe to their creditors. In most cases, the debtor initiates this by filing a case of bankruptcy and the jurisdiction of the land imposes bankruptcy by a court order after analyzing the financial status of the debtor.
Laws of bankruptcy are different in every individual country. Canadian bankruptcy is governed by the ‘Bankruptcy and Insolvency Act’ and is filed by an individual or a company when they become insolvent and therefore can not repay their debts. However, in Canada, a debtor can also file a consumer proposal to avoid being declared a bankrupt. A consumer proposal is where the debtor and the creditor can negotiate a smaller amount of debt repayment. It is a preferable method by both the parties, as the debtor can avoid being declared bankrupt, and the creditor can get some part of the money as against nothing in case of bankruptcy.
When you are considering taking legal action such as filing bankruptcy etc. it is better to consult an experienced Canadian bankruptcy trustee before taking any step ahead. Bankruptcy trustees not only assist you in all the legal actions, they also tell you whether you qualify for a bankruptcy by analyzing your case history. They guide you on how to deal with credit card debts, medical bills and other kinds of debts. They will tell you whether you need to make consumer proposals or file for bankruptcy. Experienced trustees give you sound credit counseling and review your options to give you the best possible way out.
It is suggested that you consult a trustee who has the expertise of dealing with different kinds of cases in bankruptcy in Calgary, than go to a bankruptcy attorney. Mostly, bankruptcy attorneys recommend filing for bankruptcy to anyone and everyone. This may not be required in your case. Take the correct decision by consulting an experienced and expert Canadian bankruptcy trustee.
About the Author:
Find bankruptcy Calgary With Hudson & Company, learn how to canadian bankruptcy in Canada. But filing bankruptcy might not be your only choice. There are many ways you can be free from debt. Explore your options today!
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