Bankruptcy Alternatives in Timmins

How to Avoid Going Bankrupt in Timmins, Ontario

Many people find themselves in a position where they struggle to pay their bills but want to avoid bankruptcy so they need a bankruptcy alternative in Timmins, Ontario.

Others continuously worry about having enough money to make the payments they owe each month and afford the essential in life.

For such people, the option of bankruptcy can seem very appealing.

However, it is not the best debt management solution for every circumstance.

Read on to find out why.

Debts exempt from bankruptcy

The first reason that declaring bankruptcy may not be suitable for your situation is that it does not cover all types of debts.

In fact, three specific kinds of debt will still stand even after you have been declared bankrupt.

The first type of debt is secured loans like mortgages.

Sadly, these are not covered by bankruptcy proceedings, so any money you owe or are in arrears for will still be your responsibility.

Secondly, bankruptcy will not cover support for children or spouses arising from a divorce.

Finally, student loans are also not covered by bankruptcy.

Therefore, if you choose the bankruptcy route, the money you owe for your university tuition will need to be separately addressed.

The process of bankruptcy

Before you choose bankruptcy, you must understand that the process can be a lengthy one with several stages lasting around 9 months.

However, only simple bankruptcy proceedings will take this long, with more complicated cases being queried by the trustees, Superintendent of Bankruptcy, and even your creditors.

Bankruptcy is also not a passive process where the person going through it; can sit back and relax.

Instead, they have to attend financial counselling sessions and surrender assets in line with the guidance, which will then be sold to help pay for some of their debt.

Canadian credit rating and bankruptcy

In Canada, your credit record will show that you have declared bankruptcy for up to 7 years.

This means that your rating will fall, and it can be complicated to get loans in the meantime.

Something that means many people have to wait until they can buy a home, invest in a car, or start a business.

Bankruptcy Alternatives in Timmins

With all the downside of bankruptcy, you will be glad to discover that there are alternatives that can work just as well, if not better, depending on your situation.

Consumer Proposal

A consumer proposal is a lot like bankruptcy, but minus many of the downsides.

A consumer proposal can also be negotiated for a part of the total sum you owe.

Something that means you will pay off less overall.

Debt Repayment Plans

Another alternative to bankruptcy is to choose a debt repayment plan.

Sometimes also known as debt consultation.

This option works by having a provider collect together all of your individual debts into one single amount.

You then pay them a single monthly amount.

Usually at a lower rate than before.

Something that means much less financial stress on you, while you simultaneously pay off your debts.

One of the best things about debt repayment plans is that they work in the way traditional loans do.

That means even if your credit score is low and you are having trouble securing loans, you can still qualify.

Debt Settlement

Finally, there is also the option of choosing a debt settlement plan.

This is similar to a consumer proposal in that your provider will arrange with your debtors a final reduced amount.

Therefore saving you money over the long term.

The only issue with debt settlements is that you will need to pay this reduced amount in the form of a lump sum.

Something that means it’s not suitable for every situation.

Does bankruptcy best suit my circumstances?

Before you enter into bankruptcy proceedings, you must ask yourself whether it is the solution that best suits your circumstance.

Unfortunately, it can be tough to discern this, especially if you are not an expert in finance.

While all the stress of being in a financially difficult position can further complicate things.

Happily, you do not have to struggle with such a stressful and challenging task alone.

Instead, you can contact us here at for some impartial, empathetic advice.

In fact, you will find that our seasoned experts won’t judge you, or the situation that you find yourself in.

Rather, they will do all they can to help you decide which debt relief solution will be best for you.

Whether that is bankruptcy or one of the Bankruptcy Alternatives in Timmins that are on offer.

Call 1-877-879-4770 or complete the enquiry form below and reach out for help today.


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I was feeling overwhelmed by my credit debt, constantly receiving calls and letters from debt collectors, which caused a great deal of stress. It seemed like there was no way out of this situation. However, I discovered Bankruptcy Canada while listening to my local talk radio station. This organization proved to be friendly, empathetic, knowledgeable, and professional, with extensive experience in their field.

During our initial meeting, they took the time to understand my debt and financial circumstances. They explained the various options available to me and helped create a personalized plan that would be most beneficial for my situation. With their assistance, I was able to avoid declaring bankruptcy by presenting a consumer proposal to my creditors. Fortunately, my proposal was accepted, and I am extremely relieved to finally be free of debt, all thanks to BankruptcyCanada. The burden on my shoulders feels significantly lighter now, and I truly believe that Bankruptcy Canada has the most skilled specialists in debt relief.