Do you lose your RRSP’s. LIRA’s or Pension through a consumer proposal?
February 22nd, 2010 by Questions
Do you lose your RRSP`s. LIRA`s and any other pension money through a consumer proposal or bankruptcy?
Posted from: Ontario
One Response to “Do you lose your RRSP’s. LIRA’s or Pension through a consumer proposal?”
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February 23, 2010 at 8:22 am, Barton Goth - Goth & Company Inc. -Trustee in Bankruptcy said:
There are very specific rules governing how each of these are treated, so it is recommended that you have any documents related to these reviewed by a local trustee.
However, generally a bankruptcy any contributions made to your RRSP’s outside of the 12 months preceeding the filing of a bankruptcy, your Lira’s and your pension monies are considered exempt assets and are protected during bankruptcy.
With a consumer proposal it is slightly different as there is no vesting of assets as there is in a bankruptcy, but because you have to offer at least as much to your creditors as would be available in a bankruptcy, indirectly the same rules then apply with a consumer proposal.