Comments on: Ask a Trustee

By: Trustee

Trustee — Tue, 07 Sep 2010 21:54:27 +0000

Nicole: Yes, the two LOC’s will be your sole responsibility if he files bankruptcy. In his bankruptcy only his portion of the equity in the home will be availability to his creditors.

You should retain an insolvency lawyer to advise you on the home.

A person is able to rebuild his credit in approximately 2 years after a discharge from bankruptcy.

For more information on bankruptcy read our FAQs page:

http://www.bankruptcycanada.com/question1.htm

By: Nicole

Nicole — Tue, 07 Sep 2010 20:51:48 +0000

I have been seperated from my common law spouse of 13 years for just over a year. When we seperated I remained in our house with our daughter and assumed the mortgage payments. We each took responsibility for our own credit card debt but all of the debts we had in both our names (2 LOC’s totalling $25,000) he refused to make any payments on. I have been trying my best to make the payments on these debts as I do not want it to effect my credit in the future. Now my ex is saying he wants to file for bankruptsy. Do the 2 LOC’s then become my responsibility as well as losing my home as the mortgage is in both our names? There is approximately $50,000 in equity in the house, it has been on the market for almost a year and had price reductions to try to move it but the market in my town is very slow. Also How long after claiming bankruptsy is there an effect on your credit score?

By: Trustee

Trustee — Tue, 07 Sep 2010 19:57:06 +0000

Rosemary: The funds would be used to pay your creditors with 5% interest plus pay for the cost of the bankruptcy. You would get the remainder.

By: Rosemary

Rosemary — Tue, 07 Sep 2010 19:18:06 +0000

My portion of the equity is probably more that $70,000.would the entire amount go to my creditors. It would depend if the purchase price is considered or the assessed value.

By: Trustee

Trustee — Tue, 07 Sep 2010 18:56:45 +0000

Rosemary: if you file bankruptcy the trustee can set aside the transaction where you signed over the condo to your daughter and have your portion of the equity go to the benefit or your creditors.

By: Rosemary

Rosemary — Tue, 07 Sep 2010 18:34:53 +0000

I am a senior and have been receiving OAS plus supplement and CPP during the past three years I have accumulated $70,000 in credit card debt. I have no other debt. My daughter and I owned a condo, which was our principal residence for 20+ years. I moved from Ottawa to Vancouver six years ago and my daughter remained in the condo,paying the mortgage and all expenses. Two years ago I released my interest in the condo to her and is now the sole owner. I intend to declare bankruptcy as I cannot pay the credit card debt. I have no assets. How will the condo situation impact my daughter and my situation.

By: Trustee

Trustee — Tue, 07 Sep 2010 17:27:01 +0000

Al: That is allowable and is not considered income.

By: al

al — Tue, 07 Sep 2010 17:00:17 +0000

hello i was wondering if during a bamkruptcy you would be allowed finacial help from a family member to fix something in your home or is that considered income?

By: Trustee

Trustee — Tue, 07 Sep 2010 15:08:18 +0000

Elronzio: In a bankruptcy all debt for which you are personally responsible will be erased except for the debt listed on the following link:

http://www.bankruptcycanada.com/question1.htm#debts

By: Trustee

Trustee — Tue, 07 Sep 2010 15:06:05 +0000

Sara: You are probably personally responsible for the line of credit. When you see a trustee take in your the agreement so the trustee can confirm this.