Debt >$100k from credit card cash advances
If someone has more than $100,000 of credit card debt from cash advances, what are the consequences and proceedings that would take place? For instance, if the money was spent on small things (not assets) and used for travelling abroad … these things cannot be shown `where` the money was used. So what would happen and would the person have to repay the debt in full or partially? Can debt repayment occur if the person is unemployed or absent from Canada?
You should expect whatever trustee you use to ask you for details regarding your travels and other expenditures – the average person we see has les than $40K in credit card debt, $100K+ is quite unusual and will have to be explained.
If you are not residing in Canada you will have to return to Canada in order to file for bankruptcy and you may have to attend in person as many as 4 times over the period of the bankruptcy (minimum of 9 months). There are no travel restrictions while you are bankrupt, but if you fail to attend when required you will have to appear in Court.