How long does a bankruptcy last?

The length of the bankruptcy depends on a few factors – whether you have ‘surplus income’ (see below) and whether you have been bankrupt before. If you have no surplus income and have never been bankrupt before, you will be eligible for an automatic discharge after nine months.

How long does the Consumer Proposal last?

A Consumer Proposal must be completed within 5 years. Usually the payments are monthly (over 60 months), but a Consumer Proposal can also include a lump sum payment, or a combination of the two. If your finances allow, you can pay it off sooner than the agreed-upon payment schedule lays out.

What is a bankruptcy?

A bankruptcy is a legal process to discharge your debts. It is a declaration that your debts are too high for you to repay – and far better than the old concept of a ‘debtor’s prison’! It allows for a fresh start, while giving your creditors some return on what’s owed only if you have a level of income that allows for payments to be made to them, or unprotected assets that can be liquidated (however, most common assets are protected during this process – see below for more information on protected personal assets).

What is a Consumer Proposal?

A Consumer Proposal is an offer to your creditors to pay back a percentage of what you owe them, based on your ability to pay. It is governed by the Bankruptcy and Insolvency Act, administered by a Licensed Insolvency Trustee. Unlike other negotiated debt settlement plans, it is legally binding on all creditors and usually involves paying back less than the total amount of your debt.

What is a Licensed Insolvency Trustee (LIT)?

Licensed Insolvency Trustees (LITs) are federally regulated professionals who provide advice and services to individuals and businesses to reorganize and resolve financial difficulties with expertise and compassion. LITs help individuals or businesses make informed choices to deal with their financial difficulties. They are the only professionals able to administer bankruptcies or proposals.

A Trustee in Bankruptcy for Richmond, Vancouver, Surrey | Campbell Saunders Insolvency Trustee

There is hope: when faced with the weight of debt, remember that you are not alone on this journey. Seeking help is a courageous step towards reclaiming your financial well-being. Each small step forward, no matter how daunting it may seem, brings you closer to a life free from the burden of debt. Embrace the hope that exists within your journey, knowing that with determination, support, and the right tools, you can overcome this challenging time and pave the way to a healthier, brighter, more prosperous financial future.

Experience
Since 1982, we’ve been helping British Columbians work towards a brighter financial future.
Personalized Service
we’re not a huge national company, and you won’t be just another number. We take the time to find the right solution for you, whether this means working with us or referring you to a different type of service.
Judgment Free
We know that it’s hard to talk about debt – we’re here to listen and help you find a way forward, not to judge.
A Caring & Compassionate Approach
Whatever the circumstances that lead to your financial difficulties, be it gambling, addiction, mental health or simple overspending, we’re here for you.