Bankruptcy should be assessed through an authorised professional
Canada’s Office of the Superintendent of Bankruptcy directs people with unmanageable debt to Licensed Insolvency Trustees for an assessment of available options. Bankruptcy differs from a consumer proposal and from an informal management plan. The treatment of assets, income and debts requires an explanation tailored to the case, including relevant provincial factors. Do not choose the process solely on the basis of a commercial promise to clear every balance.
Clarify the continuing obligations before taking another commitment
Ask the trustee about the present status, reporting duties, any restrictions and liabilities that remain. A later credit application also depends on the lender’s assessment and the information on the credit report. If additional borrowing is being considered because the living budget is still short, examine that problem directly. A discharge is a legal milestone, not evidence that a new instalment can be paid without renewed financial strain.
