Pay back a portion of your debt within 5 years and keep certain assets
confidential debt advice
NEED A LICENSED INSOLVENCY TRUSTEE? LOOK NO FURTHER THAN MNP LTD
If you're thinking of enlisting a Licensed Insolvency Trustee (formerly known as Bankruptcy Trustee or Trustee in Bankruptcy), it's likely that you're struggling to manage your debt. You may be relying on short-term loans to cover monthly expenses, having your wages garnished or even receiving threatening calls from your creditors. If that's the case, it's time to schedule a free confidential consultation with your local MNP LTD Licensed Insolvency Trustee.
We have decades of experience helping individuals overcome debt problems, which means we can explain all of the options available to you and recommend the right steps to financial stability — whether that means declaring bankruptcy or an alternative debt solution. You don't have to face debt alone: find out how the Licensed Insolvency Trustees at your local MNP LTD can help.
We're here to explain your options
Bankruptcy is a structured, formalized legal process that allows you to hit the reset button on your finances — but it also has a number of limitations and longer-term implications, so it's smart to seek professional advice and carefully consider the alternatives available to you.
Your MNP LTD Licensed Insolvency Trustee will get to understand your particular situation before outlining the bankruptcy process in detail, explaining any steps that you could take to avoid declaring yourself bankrupt. Rest assured that your consultation will be both free and private.
How does the bankruptcy process work?
STEP 1: Meet a Licensed Insolvency TrusteeStart with a free consultation with one of our Licensed Insolvency Trustees. We'll review your options and assess your financial situation, including discussing which assets are exempt from bankruptcy proceedings in your province. If bankruptcy is your best option, we'll make sure you understand the process and all of its implications.
STEP 2: File the PaperworkYour Licensed Insolvency Trustee will help you prepare and file all required documents with the Office of the Superintendent of Bankruptcy (OSB), including a Statement of Affairs (a sworn declaration of your assets, debts, income and expenses). A Stay of Proceedings then comes into effect, meaning your creditors can no longer phone or sue you, and existing garnishees are lifted.
STEP 3: Bankruptcy DutiesIf it's your first time declaring bankruptcy, the process generally lasts nine months. In that time, you will: file monthly reports with your Licensed Insolvency Trustee to monitor your income, track expenses and develop a budget; attend two counselling sessions to discuss the causes of your financial difficulty and various debt management strategies; give your Licensed Insolvency Trustee the information to complete your tax returns for the year in which you file bankruptcy; pay any required amounts to your Licensed Insolvency Trustee, such as surplus income payments, payments to repurchase an asset, or the minimum amount required to cover the costs of administration.
STEP 4: The Process ConcludesOnce you have completed the necessary steps – and nobody objects – you will receive your discharge after either nine or 21 months. That means you are released from bankruptcy and the debts you owed on day one. If you haven't completed the tasks, you will not be released from bankruptcy until those steps are concluded. A court order will outline the remaining steps you need to complete.
STEP 5: Moving OnDuring mandatory counselling sessions with your Licensed Insolvency Trustee, you will discuss ways to restore your credit rating during the bankruptcy period and afterwards. It will usually take at least a year or two of good financial practice to rebuild your credit rating, but you will have no remaining unsecured debts once the process has run its course (with a few exceptions, such as child support and court fines).
Our Licensed Insolvency Trustees understand that there are other, less drastic alternatives when it comes to managing debt and getting on the path to financial stability. Depending on the details of your particular situation, it may be that a consumer proposal is a more appropriate solution — or perhaps an orderly payment of debt, debt consolidation or informal debt settlement.
You can enjoy peace of mind when you turn to your local MNP LTD, where our friendly, impartial professionals can help you get your debt under control and your finances pointing in the right direction. Make your debt stress a thing of the past. Talk to your Licensed Insolvency Trustee today.