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Home sale proceeds

Firstly, thanks for the informative web site. I recently sold my home in the hopes of using the small equity towards debt repayment. After an excessive bank penalty and other fees I came out with only $6500.00. At this point I`m looking at a consumer proposal to pay 25-30% and also need to buy a used car (leased vehicle being returned to reduce expenses). Can I use $4000 of the payout for a used car if I`m going to put forth a consumer proposal instead of bankruptcy (max car in NS is $3000 in bankruptcy)?

Posted from: Nova Scotia

Posted from: Nova Scotia

One Response to “Home sale proceeds”

Barton Goth – Goth & Company Inc. -Trustee in Bankruptcy said...

This shouldn’t be a problem as long as you make full disclosure under the consumer proposal and to your trustee. As long as you are making a reasonable offer to your creditors they really shouldn’t have any concerns.