Positive Effects of Claiming Bankruptcy
Overwhelmingly, we hear that relief from stress is the most immediate effect of claiming bankruptcy!
No one wants to be in a situation where they can’t pay their bills! Bad times come upon good people all the time. Divorce, failed business, assisting family members in need, job loss and health problems. There are a host of reasons why Canadians run into financial problems. Weighing your financial choices can feel overwhelming as choices have to be made.
Some individuals worry that their credit will be destroyed, or that they will lose their home and vehicle. In reality, “relief” is the word we hear most often to describe the most immediate effect of claiming bankruptcy.
Let’s look at why:
- Collection actions stop. As soon as a bankruptcy is filed we take action to stop collection actions, including harassing phone calls, collection letters and lawsuits.
- Enforcement actions stop. As soon as a bankruptcy is filed we put a stop to enforcement actions, such as the freezing of bank accounts and wage garnishments.
- Immediate relief in monthly payments. In most cases, the monthly payment in bankruptcy is far lower than what was being paid in monthly payments to creditors.
- Convenience. You will only have to make a single affordable monthly payment to us, as Trustee.
- Knowledge. We will teach and coach you to be an effective budgeter and money manager, including how to re-build your credit score once you are discharged from bankruptcy.
Declaring bankruptcy can often be far more positive than anticipated. Getting rid of an overwhelming mountain of debt makes life much easier and less stressful!
If you are facing financial challenges, would like to discuss your finances and options, and whether bankruptcy will be appropriate for you, please contact us to arrange a no-charge initial consultation.
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