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Long Undischarged

I filed for bankruptcy at the age 0f 19 for $13,000, this is now almost 10 years ago and I am still undisharged. Clearly, I had no idea what I was doing and when I told my parents what I had done they completly freaked out, however… I am now almost 29, single mom and want to move on with my life. I have contacted my trustee and they will not give me any information until I pay them $1200 and go to 1 counselling session. At this point in my life I can afford to pay off the creditors or at least work towards a consumer proposal but my trustee said they wouldnt even attempt it due to the length of time passed. My credit report shows nothing except this bankruptcy, all former creditors have written the amts off and nothibng further has been accumulated. My question is, Is there any way that I can either get out of this by pleading to the courts possibly? Is Consumer proposal still an option? and am I able to complete whatever I need to do through a different trustee because my current one is more rude then helpful. I have all intentions on resolving the situation but I cant afford to have my wages and tax money taken due to being a single mom. Any insight would be great, Ive already called everyone I can think of including the superintendant of bankruptcy and they didnt even know. Thank you for your time

Posted from: Alberta

One Response to “Long Undischarged”

A licensed trustee said...

Normally we don’t respond to posts that are this lengthy, but you sound pretty frustrated…

Your options include:

1) File a consumer proposal. As a undischarged bankrupt the date for determining your debts will be the date you filed for bankruptcy. Likely all of your crediotrs have written off the accounts, but they still need to be listed at the amounts you disclosed (or that were proven) in your bankruptcy. You do not need to use your current trustee to do this.

2) Pay off the debts and then apply to the Court to have your bankruptcy annulled. This will involve contacting each creditor and asking them how much they require to settle your account(s). You’ll need proof form each creditor that you do not owe them any money (some of them may simply issue a letter that says you have no outstanding balance, rather than try and figure out what you may have owed 10 years ago).

3) Pay the fee to your trustee and they’ll wanlk you through how to complete your bankruptcy.

Option 2 is the most work, but in the end provides you with the best fix to your credit history. Option 1 is likely the least expensive option.

Good luck.