How will a Trump Presidency affect you? A guide for Canadians
TRUMP PRESIDENCY – INTRODUCTION As we head into the year 2017, we are faced with the possible consequences of a Trump Presidency; consequences that will reverberate throughout the world. Trump will certainly have an impact of the geopolitical landscape, but the economic impact of his administration will be even more acute, particularly within countries with high levels of household debt. One of the most significant impacts of “Trumponomics” will be on interest rates. President Trump has promised a massive infrastructure rebuilding program in the United States of $1 Trillion dollars. This has already had an impact on the bond market – yields have increased due to expectations of inflation. This…
Bankruptcy and surplus income (Video)
Summary Stephanie has discussed filing for bankruptcy with a Licensed Insolvency Trustee. The trustee explains how Stephanie’s income requires her to make payments during her bankruptcy. Meet Stephanie, the mother of a young son, James, who is just about to enter primary school. Recently, Stephanie has overextended her credit and, despite her best efforts, is unable to pay her bills. Realizing that she needed to speak to an expert, Stephanie found a Licensed Insolvency Trustee located in her area and has gone to meet with her. After speaking to the trustee, Stephanie has determined bankruptcy was the most appropriate option for her. After explaining the bankruptcy process and looking more…
Understanding the bankruptcy discharge (Video)
Summary Vincent has decided to file for bankruptcy. His Licensed Insolvency Trustee outlines what debts will be discharged in a bankruptcy and how long the process takes. Meet Vincent, a father of two young children. A recent separation has left him unable to meet his financial obligations. After having his options explained by a Licensed Insolvency Trustee, a professional whose duties are regulated by the Office of the Superintendent of Bankruptcy Canada, Vincent has decided that bankruptcy is the most appropriate solution to his financial troubles. The trustee explains that after fulfilling his bankruptcy obligations, his debts will be discharged and he will be free to start over financially.…
Submitting a consumer proposal to your creditors (Video)
Summary A Licensed Insolvency Trustee explains to Mary and Paul that a consumer proposal might be the way to resolve their financial situation. The trustee tells them how a consumer proposal is different from bankruptcy and what they need to do. Meet Mary. Mary took a job right out of college but recently she has had to take a lot of time off to care for her sick husband, Paul. With reduced income and their debts mounting, they are now considering bankruptcy. Their first step was to visit a Licensed Insolvency Trustee, a professional who is licensed by the Office of the Superintendent of Bankruptcy Canada. To their surprise, the…
What to expect if you file for bankruptcy (Video)
Summary After talking with a Licensed Insolvency Trustee, David and Julie decide that bankruptcy is the most appropriate option to handle their debts. The trustee explains the way their creditors will be paid and what they will need to do during the bankruptcy process. It’s been a tough time for David and Julie —David has been laid off, credit card payments have slipped and the other bills are also falling behind. Thinking bankruptcy may be an option, he sits down and begins an online search to get information about the topic. He finds the Office of the Superintendent of Bankruptcy Canada, the federal organization that licenses and regulates Licensed Insolvency…
Discussing your options with a Licensed Insolvency Trustee (Video)
Summary Richard is unable to pay his bills and unsure what to do. He talks to a Licensed Insolvency Trustee to explore the different ways he can deal with his debt. This is Richard. Unable to pay his bills, he is unsure what to do. On the advice of a close friend, he contacts a Licensed Insolvency Trustee, a professional who is licensed by the Office of the Superintendent of Bankruptcy Canada. While Licensed Insolvency Trustees can and do handle bankruptcies, they can also offer information about other possible options. These might include reworking his budget, consolidating his debts, selling his assets, or offering a proposal to his creditors. Whatever…
The Collection and Debt Settlement Services Act: New Protection for Debtors
On January 1, 2015, the Collection Agencies Act (Ontario) was renamed the Collection and Debt Settlement Services Act (the “CDSSA”), and provisions were added that deal specifically with debt settlement services. Starting July 1, 2015, these new provisions and the regulation will, among other things, provide greater protection and remedies to Ontario consumers who obtain debt settlement services, whether the debt settlement is by installment payments or lump-sum. The new debt settlement protections will include the following: • any person performing debt settlement services (“DSC”) must register as a collection agency and comply with strict licensing requirements (e.g. must pass a written exam, requirement to operate from an actual physical…
The Bank of Canada is preventing you from getting debt relief
The actions of the Bank of Canada in slashing its key interest rate since the 2008 financial crisis has created a large number of individual debtors who are desperately seeking debt relief but are unable to do so because of real estate asset inflation. I have consulted with many debtors over the past few years who have become “house rich” but “cash poor”. To illustrate this, I recently had a consultation meeting with a young lady (let’s call her “Jaci”, not her real name) who desperately needed relief from her debts. Here was her situation: Jaci was a self-employed marketing consultant who barely earned enough to pay for her living…
Tips to Save Money in Toronto – Part II: Rent or Buy a Home?
When you first move to Toronto, you’ll likely be renting your living space. But after renting for a few years, you’re going to ask yourself this question: is it better to rent or buy a home in Toronto? Maybe you want to purchase your own place for emotional reasons (“my very own place!”), financial reasons (“I want to build equity”), or maybe a bit of both. A major influence on your decision to rent or to buy may be the marketing you see from the real estate industry asking you the perpetual question: “Why rent when you can own?”. Makes sense, right? After all, why throw away your money on…
Tips To Save Money in Toronto – Part I
I was part of a generational cohort born in the 1970s that graduated university and entered the workforce in the mid-1990s while Canada was still in a recession. We were the so called “slacker” generation because we apparently had no ambition and no hope. In my case, it was the summer of 1997, and I was still living in my parents’ house in my hometown of Ottawa with no job, no social life (all my university friends had since left Ottawa), and no apparent future. “Generation X” indeed! But at my mother’s insistence, I scanned the Toronto Star’s job classifieds ads for any potential job opportunities in the big city…
