Some people say that if they file for bankruptcy it’s going to affect their spouse who has her own job and is in no way responsible for my debt.
Some say they will not file because Income taxes cannot be erased in a bankruptcy.
All of these statements are FALSE!
We have dispelled these and other myths on our Bankruptcy Myths page.
All of this anguish is unnecessary.
The false pride of the debtor only hurts himself and his family.
No one should feel guilty about filing for bankruptcy for the following reasons:
- It is a Canadian resident’s right to file bankruptcy;
- Last year (2015), more than 120,000 people filed for bankruptcy or filed a consumer proposal;
- The major tenet underlying Canadian bankruptcy is that an honest but unfortunate debtor deserves a fresh financial start.
- Law makers recognize that not only does a debtor deserve a fresh financial start but they must be able to retain some assets to aid in their fresh start and to preserve their dignity. This is why people are able to keep some equity in:
- A vehicle;
- Household effects;
- A home;
- Tools of the trade;
- RRSP’s, RRIF’s and DPSP’s.
See the assets you can keep as set by your province or territory.
So, what is the answer posed by the title “Should I feel guilty about filing bankruptcy?”
Without a doubt, you should NOT feel guilty about filing bankruptcy.
If you have to, file bankruptcy without guilt and get the fresh financial start that lawmakers have made available.