Laid Off

February 9th, 2009 by Questions

I was laid off about 8 weeks ago and have not found a new job yet. I filed for bankruptcy once before ( 10 years ago )what will happen if I do it again? I have not missed any payments yet but if I dont find a job soon I will begin to default on loans. Is it better to file before I start missing payments or after I have defaulted for a few months?

Posted from: Ontario


One Response to “Laid Off”

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

A second bankruptcy is typically more difficult than a first and while it is not possible to estimate perfectly what will take place, there are some standard differences.

First, you are not eligible for an automatic discharge, so your trustee must go to court and inform the court of the previous bankruptcy.

Second, the court will likely extend your bankruptcy. Make sure you discuss this with a local trustee so you will know what the standard practice of the court is in your area.

Third, The impact on your credit is increased so that you will have an R-9 listed with the credit bureau for 14 years after you have been discharged.

Those are the standard differences that occur, and as a result we often suggest people try to file a consumer proposal where possible.

Please post a follow up comment below:

(Note: comments are reviewed by moderators and then posted after approval. In addition, due to high volume some of the comments might not be posted.)