I filed for bankruptcy in 2002. At the time of filing bankruptcy, I was employed, and it was determined that my excess income required me to pay $100/mo. to the trustee, which I did for the first few months, including the income/expense statements and attended one counselling session.
I then lost my job, and fell into a deep cycle of depression and substance abuse, completely disregarding my obligations and ceasing all contact with the trustee who has by now closed my file. I lived with family and remained unemployed for a few years until finally becoming self-employed with a very sporadic, unpredictable income.
However, with this income, I was able to first rent, and then purchase a very cheap home through vendor-backed, private mortgage. Yes, the vendor is aware of my bankruptcy situation.
I am now 10 years into home ownership and have only 5 years left until it is completely paid off.
I was also able to get a couple of unsecured, $500 credit cards that have since raised in limit.
In fact, my credit score is now quite good, better than it’s ever been, despite the bankruptcy record.
I understand that the ultimate goal of bankruptcy is to obtain full discharge and that people can do so even this late in the game, but am afraid to open the “can of worms” and ruin all of the progress that I have made.
Clearly, the trustee is unaware of my current situation and aside from me telling her, I’m not sure how she would ever find out anyway. So I guess my questions are:
1. What are the ramifications of just continuing on as is versus trying to re-light the bankruptcy through the trustee, insolvency lawyer, or self representation?
2. Would I be able to just pay off any substantiated debts at this time and annul the bankruptcy all together?
Any advice would be greatly appreciated.
1. The main ramification of not getting your discharge from bankruptcy is that your creditors, listed under the bankruptcy, can pursue you for payment of the debts.
2. You cannot annul a bankruptcy. If you do not get your discharge from bankruptcy you will remain an undischarged bankrupt.
– Earl Sands, Bankruptcy Canada Licensed Insolvency Trustee