Bankruptcy Newfoundland – Bankruptcy in Newfoundland
Bankruptcy Newfoundland – Filing Bankruptcy in Newfoundland Licensed Insolvency Trustees
If you live in an area outside the Avalon Peninsula where there is not a nearby trustee office you may be able to go bankrupt or make a consumer proposal online or on the phone. Please refer to the areas below and if this applies to your area please fill out and email this Bankruptcy Form(Please note that this form can be filled out on your computer and emailed) to the trustee to begin the process and so he has all the necessary information so the process is accurate and goes as quickly as possible.
People living outside the Avalon Peninsula are able to go bankrupt or make a consumer proposal online or on the phone, please call 1-877-336-0293 BDO Financial Restructuring Services, Toll Free: 1-877-336-0293 89 West Valley Road, Corner Brook, NL, A2H 2X4 EmailEvaluationMore Info/Map
If you are a Newfoundland and Labrador resident and you are struggling with your monthly expenses and are falling behind on your debt payments, you might want to consider a Bankruptcy Newfoundland filing. If you have been thinking about declaring bankruptcy, you are not alone.
If you are deep in debt and are thinking about bankruptcy you do not need to be afraid or ashamed.
We understand that people who go bankrupt are honest debtors who found themselves in financial trouble for a variety of reasons. Debt can happen overnight or creep up on you over time.
Job loss, illness, divorce and other life events can cause your finances to get out of control. Our trustees are expert debt advisors who are the highest trained in Canada.
The purpose of our Bankruptcy Newfoundland page is to provide expert information on bankruptcy and bankruptcy alternatives for residents of Newfoundland and Labrador, Canada.
Bankruptcy in Newfoundland can be quite confusing, although it is a structured legal process that your trustee will guide you through each step. Many debtors considering bankruptcy have many questions and concerns.
We provide personal bankruptcy and consumer proposal information on our site, although in order to get a full understanding of bankruptcy and how it will impact you it is important to speak with a Licensed Insolvency Trustee.
Bankruptcy is a debt relief solution designed to help honest but unfortunate debtors who have become trapped in debt. The purpose of filing bankruptcy is to give you a fresh start, while also treating creditors fairly and equally.
If you have attempted other debt relief solutions, and they all have failed, you are eligible to file bankruptcy in Newfoundland if you have unsecured debts of at least $1,000.
In order to file bankruptcy, you must use the services of a trustee.
Once you have filed bankruptcy, you will be required to complete certain duties, report on your income and expenses each month to your trustee and make the necessary payment to your trustee for your bankruptcy estate.
You will also be required to turn over any non-exempt assets, which will be held in trust by your trustee.
The basic concept of bankruptcy is you must turn over your property in exchange for the elimination of your unsecured debts.
There are bankruptcy exemptions in Newfoundland to the assets you must surrender.
Most debtors filing bankruptcy in NL are able to keep all of their assets.
Bankruptcy in Newfoundland and Labrador
Bankruptcy is a legal process that is regulated by federal law known as the Bankruptcy and Insolvency Act. In order to go bankrupt in Newfoundland you must go through a LIT (Licensed Insolvency Trustee). Only a LIT can file an assignment into bankruptcy for debtors trapped in severe debt problems.
Before you make any decision about bankruptcy – or any other debt relief vehicle – you should follow these steps:
1)Schedule a confidential evaluation with a professional Newfoundland bankruptcy expert. Our insolvency trustees are the only bankruptcy experts in Newfoundland & Labrador.
During this evaluation meeting, you can ask all of your questions and the trustee will help you examine your financial situation.
The trustee will point out any bankruptcy alternatives that could be available to you, or the trustee will explain why bankruptcy in Newfoundland is the right solution for you.
2) Evaluate your options that the trustee provided you with. There are several different alternatives to bankruptcy such as a consumer proposal that the trustee might discuss with you.
3) Determine if you can keep your assets. Your bankruptcy trustee will discuss with you the assets you can keep. If you would lose any assets you must determine if losing those assets is worth getting relief from your unsecured debt.
If you would lose a significant amount of assets you should probably consider a consumer proposal.
4) Examine the cost to file bankruptcy. The cost of filing bankruptcy in Newfoundland is determined by your income and family size.
In some situations – when you are a high income earner – your bankruptcy will take longer and cost more.
If you earn a large income each month that is over a limit set by the government for your family size, you will have what is known as surplus income.
If you have surplus income you will be required to pay half of your income over the limit set by the government to your trustee.
In turn, the trustee will distribute your surplus income payments to your creditors included in your bankruptcy.
What are the Pros and Cons of Filing Newfoundland Bankruptcy?
Bankruptcy gives you relief from your overwhelming debt and the high interest charges on your unsecured debt, although there are certain cons to bankruptcy as well.
The main drawback to bankruptcy is that your credit will be impacted, and you might potentially lose some assets.
However, for debtors considering bankruptcy their credit is likely already ruined and most debtors filing bankruptcy have little assets, which are likely protected by the Newfoundland bankruptcy exemptions.
Bankruptcy is a viable solution for those that need a clean start to their financial life, and for many Newfoundland residents, it is the ideal solution to serious debt problems.
The benefits of bankruptcy include getting a fresh financial start, receiving financial counselling, and debt collectors will be prohibited from contacting you in any way. All contact with your creditors will be done through your trustee.
NL Bankruptcy Information
You can get answers to your bankruptcy questions here: NL, Newfoundland Bankruptcy FAQ’s
If you have considered declaring bankruptcy or making a consumer proposal our team of trustees can provide advice and help you get your finances restored, either by going bankrupt, making a proposal to your creditors or other alternatives that may be available to you that our local NL bankruptcy trustees can discuss with you when you schedule a confidential consultation by calling one of our offices listed above.
We specialize in working with individuals who are struggling with financial difficulties. We can help you by examining your income, assets and debts to formulate the best possible plan for you. In going bankrupt an individual can eliminate all of the eligible debt they owe in as short a period as 9 months, which allows for a quick fresh start with no debts and the ability to begin rebuilding credit and beginning on the path to a successful financial future.
We can also help with making a proposal to your creditors. The payments you will make are typically for three to five years. It has the benefit of allowing a person to keep property that is not covered by the NL bankruptcy exemptions and payment of only a part of what you owe such as 30%.
Bankruptcy Newfoundland Advice
If you would like to learn more about filing bankruptcy and the other alternatives to bankruptcy that are available to you, you have come to the right place.
All of the Licensed Insolvency Trustees listed on this page offer free, no charge, confidential consultations. During this meeting you will meet with a Newfoundland bankruptcy professional who is discreet, friendly and licensed by the federal government. All trustees must follow a strict code of ethics.
We have the expertise and knowledge to help you solve your debt problems! Please contact us today for a free evaluation of your debt.