trying to make a fresh start
Hi, I have about $25000 of personal, unsecured debt. I cannot afford to make payments and many of cards have been cancelled and the people calling are threatening to sue (which they say will be on my credit report for 21 years). I would like to declare bankruptcy and move with my fiancee to the States to start over. If we move and sell his business and our house then we will have much lower monthly expenses and be able to afford to live. Can I declare bankruptcy in these circumstances? Would I not be allowed to move out of the country if I was in bankruptcy proceedings? There are 4 people on the deed to our house, what happens to the house if I declare bankruptcy and would we be able to sell it either before or after my declaring bankruptcy? Thank you for your help.
Whether or not the impact on your credit would be 21 years is questionable, but it does sound like a bankruptcy may provide the relief you are looking for. As far as a bankruptcy impacting your ability to move to the states, there is nothing I am aware of that would prevent you from migrating south and there is definitely nothing in the Bankruptcy and Insolvency Act that restricts your mobility
As for the house, this is a slightly more complicated issue that is dependant on the amount of equity in the house and the province you live in. While there may be no problem with selling in now vs. later, it would be important to have a trustee review the specifics relating to the house to ensure you are going to do anything that would put the equity in the house in jeopardy (see “Find A Trustee” on the right hand side of this page).