Overwhelming debt is stressful. When people feel like they can’t pay back their debts, they often think bankruptcy is their only option, but you may have more options than you think. The David Sklar & Associates team of bankruptcy trustees (now known as Licensed Insolvency Trustees) in Toronto is here to help you learn about your options for debt relief and start rebuilding your life.
The path out of insolvency begins with a call to a trustee in bankruptcy. Start by booking a free consultation at our Toronto – Midtown office or any of our locations in the GTA. Call 416-652-0800 and get started. You can also email us at firstname.lastname@example.org.
A trustee in bankruptcy will help you decide whether bankruptcy is the right answer in your case. They will discuss your financial situation and evaluate whether or not you’re insolvent and what kind of debt relief options are open to you.
As part of your free consultation, a bankruptcy trustee in Toronto will discuss your options. Bankruptcy can mean giving up your assets to pay for unsecured debt and it’s always your last solution. You have more options including a consumer proposal in Toronto or debt consolidation.
During our review, if we find you solvent and able to repay your unsecured debts, we will walk you through debt relief options like debt consolidation and debt management plans that can get you back on course. You may even be able to get your debt under control by learning how to budget your income and eliminate debt faster.
On other hand, if our review during your free consultation finds that you are insolvent, meaning you are unable to pay your unsecured debt when due, then you could be eligible for personal bankruptcy or a consumer proposal in Toronto. A consumer proposal is a government-regulated alternative to bankruptcy that will make it possible for you to get out of debt without giving up your assets. Like a bankruptcy, it must be filed by a trustee in bankruptcy.
In addition to bankruptcy or a consumer proposal in Toronto, credit counselling may also be part of the process of recovering from insolvency. Credit counselling is an important part of improving your credit history and building your finances in the future.
A consumer proposal in Toronto and a Division I proposal are two alternatives to bankruptcy you can explore. A Division I Proposal is very similar to a consumer proposal in Toronto, only it’s meant for corporations and individuals who owe more than $250,000 in total debt not including the mortgage on your primary residence.
Consumer proposals, Division 1 Proposals, and bankruptcies are all regulated by the same laws. Here’s how they’re similar:
Here’s how consumer proposals differ from bankruptcy in Ontario:
If you are not insolvent, debt consolidation loans or debt management programs may be a solution to your debt problems. Be cautious of taking out a debt consolidation loan as it could come with higher interest rates or even enable you to create more credit card debt. A consumer proposal in Toronto is an alternative form of debt consolidation that actually reduces your debt and stops interest.
In order to file for bankruptcy or a consumer proposal in Toronto, you will need the help of a bankruptcy trustee in Toronto. They are highly regulated and trained professionals.
To contact a bankruptcy trustee in Toronto, call David Sklar & Associates with your inquiries at 416-652-0800 and visit us at any of our Greater Toronto Area locations.
As of April 1, 2016, bankruptcy trustee / trustee in bankruptcy is now known as a Licensed Insolvency Trustee or LIT.