CBB

The professionals at Collins Barrow Brown Inc. look forward to meeting with you and discussing your personal financial situation.  Through our confidential and private process we will review your finances, discuss the options and propose a customized solution to help you towards a better financial future. As Licenced Trustees we are in a position to advise you on all relevant options and to recommend a solution that fits.  

Personal Bankruptcy Services

Bankruptcy is a legal process which is described in the Bankruptcy and Insolvency Act (“The BIA”).  Bankruptcy is appropriate if an individual is unable to resolve their financial difficulties by other means. With a few exceptions, bankruptcy immediately terminates creditor collection calls and legal proceedings. Interest on unsecured debts also stops accruing and it is not necessary to make further payments to unsecured creditors. Upon declaring bankruptcy, the Trustee in Bankruptcy will take possession of the bankrupt’s assets (except those exempt from seizure by law), sell them and distribute the funds to the creditors. Bankruptcy terminates most, if not all, of an individual’s debts.

To be eligible to declare bankruptcy, one must: not be in bankruptcy; owe at least $1,000; not be able to make regular payments as they become due, or; have debts that are greater than the realizable value of their assets.

At the initial meeting, we will assess your financial situation, explain the bankruptcy process and advise you as to whether bankruptcy is your best option. If you decide to proceed with bankruptcy, we will prepare the required documents and have you review and sign them. We will then file them with the Official Receiver of the Office of the Superintendent of Bankruptcy (an agency of the federal government). Once the forms have been received and accepted by the Official Receiver, you will be bankrupt.  Bankruptcy is a very serious procedure which will have lasting implications, therefore, bankrupty is always a last resort.

Consumer Proposal Services

Under the Bankruptcy and Insolvency Act, you may make a Consumer Proposal to your creditors and avoid bankruptcy. A Consumer Proposal immediately stops collection calls and debt collection proceedings. Interest accruing on unsecured loans also stops. A Consumer Proposal will often allow for an extension of time to pay off debts and/or full settlement of debts for less than a hundred cents on the dollar. As a Licenced trustee in Bankruptcy, Collins Barrow Brown Inc. may file and administer a Consumer Proposal on your behalf.

When the option for a Consumer Proposal is well suited we have the knowledge and experience to manage the process from A to Z.  A Consumer Proposal is a an alternative to bankruptcy whereby a written offer is made by a debtor to his or her creditors in order to modify contractual payment obligations. A Consumer Proposal permits an insolvent person to restructure their debts and avoid bankruptcy by, with the assistance of a licenced Trustee in Bankruptcy, making an offer to the creditors to typically settle the debt load for less than one hundred cents on the dollar. Many Consumer Proposals pay less than fifty cents on the dollar of creditor claims and the amounts are settled by monthly or periodic payments which are usually made over four to five years.  

Proposals are attractive to debtors for the following reasons:

• Upon the filing of a Proposal or, in certain circumstances, the filing of a Notice of Intention to Make a Proposal, creditor legal proceedings to collect a debt are stopped; interest also stops accruing on unsecured debts
• It is often possible to retain title and control of assets which would otherwise be turned over to a Trustee in Bankruptcy.
• The stigma of bankruptcy is avoided.
• There may be somewhat less damage done to a debtor’s credit rating as the debts are settled rather then written off in their entirety in a bankruptcy.

Each Consumer Proposal is tailored to the needs of the debtor seeking assistance. That being said, Consumer Proposals typically require a lower monthly payment than the payments required prior to filing the Consumer Proposal. As well, it is frequently possible to settle debts for less than the full amount owed. A Consumer Proposal must provide a better recovery to the unsecured creditors than the sum they would recover in the event of bankruptcy.

A Consumer Proposal is often an attractive option since it allows a debtor to settle their debts while avoiding bankruptcy. When you file a Consumer Proposal, collection calls, legal actions, garnishments and asset seizures commenced by unsecured creditors will immediately stop. Secured creditors are generally permitted to realize on their security unless you remain current in your payments or make alternate arrangements with them.

Credit Counselling Services

If you have difficulty creating or maintaining a budget, in understanding your credit rating or could benefit from advice on financial management habits, credit counselling may be helpful. By working with a credit counsellor we discuss financial management skills, budgeting, spending and shopping habits, the warning signs of financial difficulty and how you can begin reestablishing your good credit.  Our certified financial counsellors are eager to help you regain control of your financial future and look forward to developing a customized plan to get you there.