Seperation and Bankruptcy

March 25th, 2010 by Questions

My wife and I have tried to avoid it but it looks like we will be seperating, either of us can afford to pay the bills after this as we will incur other payments and bankruptcy looks innevitable, but we have a past bankruptcy 15 years ago how will this affect us? how long is the disscharge period for a second bankruptcy

Posted from: Ontario


One Response to “Seperation and Bankruptcy”

, Barton Goth - Goth & Company Inc. -Trustee in Bankruptcy said:

When you are looking at the filing of a second bankruptcy there are some fairly significant differences. The first one is in length, a second bankruptcy is at a minimum going to last for 24 months and if you have surplus income obligation it can be extended up to 36 months.

The second difference is in the impact on credit. A second bankruptcy is listed with the credit bureau for 14 years from the date of discharge. So it is a significantly longer time than the first.

To try and avoid some of these more significant consequences of a second bankruptcy you may be able to consider the filing of a consumer proposal, but this is something you may want to discuss with a local trustee, but it is often a preferable alternative.

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