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Before a lien is put against my house

I owe the bank close to $90k in unsecured debit (loans, credit cards, etc). I am thinking of tranfering the deed of my house to an immediate family member . By doing so, will this prevent the bank from putting a lien against the house?

One Response to “Before a lien is put against my house”

Barton Goth GCO Bankruptcy Trustees said...

While many people believe that this is an effective strategy to thwart their creditors it can often cause more problems than people are aware.

Each province has legislation in place that protects the creditors from this type of activity. This type of action is often referred to as either a Fraudulent Preference or Conveyance and if it is done it is fairly easily reversed by a creditor. The down side is you would likely be responsible for all the legal costs associated with getting the transfer reversed and may prove to be worse off than when you started.