Ontario bankruptcy exemptions received a cost of living increase.
Ontario bankruptcy exemptions received a cost of living increase (reviewed every five years) and go into effect on Wednesday December 14, 2005.
Ontario Bankruptcy Exemptions are:
Clothing $ 5,650.00
Household Goods $11,300.00
Tools of the Trade $11,300.00
Farmers $28,300.00
Motor Vehicle $ 5,650.00
The property exempt from seizure is set by the provinces and territories and applies to the equity in the asset.
Equity is the excess that the value of an asset has over any charges or encumbrances against that asset.
For example, if you have a car worth $5,000 and there is a $2,000 secured debt against it then the equity in the car is $3,000. In Ontario the exemption for a car is $5,650 so in this example you are entitled to the equity of $3,000 and the unsecured creditors cannot take this.
