Debt Consolidation
Alberta Bankruptcy Questions

Bankruptcy Basics

Bankruptcy is the very last thing that anyone wants to see happen. Your creditors don’t want you to go bankrupt. You don’t want to go bankrupt. And we at Bromwich & Smith want to do everything in our power to help you avoid bankruptcy by helping you with budgeting, credit counselling and by filing a consumer proposal.

However, after a one-on-one review of your finances with one of our counsellors, you may discover that the best option for you to get your financial life back on track is by filing bankruptcy. Filing bankruptcy is nothing to be ashamed of. Bankruptcy is a legal debt restructuring tool that is available with the assistance of Bromwich & Smith.

Bankruptcy Alternatives

Reasons Not To Go Bankrupt

Choosing to file for bankruptcy in Canada is never an easy decision, but overwhelming debt may have you thinking that filing might be the answer to your financial problems. There are other solutions. If you think that a bankruptcy filing might be in your future, schedule a free consultation with a Bromwich & Smith. A trustee will review your finances in detail and determine what your available options are for debt relief. There are reasons not to go bankruptcy and a trustee can help you decide if the disadvantages outweigh the advantages.


Before you decide, consider these five reasons you may want to rethink bankruptcy.


Alberta Bankruptcy Requirements

 Canadian Bankruptcy Requirements

Canadian Bankruptcy requirements can be complex. If you're considering filing bankruptcy in Canada, talk to a licensed trustee who can best explain the process to you and provide information to assist you & your specific circumstances. 


As a general rule, however, you can expect the following:

- Each province has their own rules on what you get to keep in a bankruptcy.  There are generous exemptions for equity in your home, your vehicle, all secured savings such as RRSP, RESP and Pension, household effects and so on.  Contact Bromwich & Smith to learn all about the exemptions that apply to you.


Bankruptcy and your credit rating

Bankruptcy & Your Credit Rating

Bankruptcy gives Canadians a chance for a fresh financial start. Once your bankruptcy has been discharged, you may wonder, “How long does bankruptcy stay on my credit report?” Although there is a simple answer, there’s much more to your post-discharge credit report than a number. Read on to learn how your bankruptcy affects your credit rating and what you can do to improve your score.


Credit Rating Basics

Credit reporting agencies use an alpha-numeric code to let creditors know the type of debt you have and how you handle debt repayment:


Gambling and debt issues

Gambling & Bankruptcy

Most Canadians with gambling problems never mean for their gaming or finances to spiral out of control. In fact, a study conducted recently found that over 80% of compulsive gamblers began with simple slot machines. The addictive quality of simple games has caused financial ruin for many who gamble--the relationship between gambling and bankruptcy is clear and unmistakable.





Bankrutpcy and mortgages

Bankruptcy and Mortgages

If you’ve been bankrupt, you may have given up on the idea of ever owning a home again. The good news is that you can get a mortgage after bankruptcy. It will take work to re-establish your credit and some time to show you can manage your finances effectively, but home ownership is still possible.


Here are a few key factors to keep in mind that will affect your ability to obtain a mortgage after bankruptcy.

Your RESP and bankruptcy

Registered Education Savings Plans (RESP) Exemption

Registered Education Savings Plans (RESP) are also now exempt from seizure as a result of an Amendment to Section 92.1 of the Civil Enforcement Act of Alberta effective April 1, 2014!


This is welcome news to anyone that has been slowly saving for their child’s future education only to have those investments seized by a creditor due to a judgement, or lost as a result of a personal bankruptcy proceeding.

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