Can a collection agency collect on a debt while the CRA is withholding refunds?
I had a foreclosure in the 1990’s. There was a judgement against me, and eventually Canada Mortgage and Housing Corporation (CMHC) retained the services of a collection agency to collect the debt. They have been after me for 20 years. Can they pursue me for this debt while the CRA is withholding income tax refunds and GST payments to apply towards the debt?
Yes, it is possible for you to be pursued for this debt. If you declare bankruptcy or make a consumer proposal with your creditors you will successfully erase both of the debts. You can contact a trustee to discuss your options: