Timing of Cashing of RRSPs
May 27th, 2011 by Questions
I am declaring bankruptcy. I am currently on welfare and soon to go on disability. I am told I am allowed to keep for myself up to $500 of a RRSP I have by the welfare people. The rest they would want. I have been told by financial folk if I cash the RRSP before declaring bankruptcy I would likely lose the money invested. Why? I know I will have to pay a withdrawal tax or such to the government but is there some way I would lose that money to the bankruptcy?
Posted from: Prince Edward Island