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What about my furniture that is on deferred payment?

If I have furniture that is on a deferred payment from Leons – does this mean I loose my furniture if I go Bankrupt.
Are thier senarios in which you could lose your house and vehicle?

Posted from: New Brunswick

One Response to “What about my furniture that is on deferred payment?”

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Jillian Taylor-Mancusi, Trustee | B.A. | C.I.R.P said...

When you file an Assignment in bankruptcy you are signing over everything that you own, have a right to or in interest in for the general benefit of your creditors. There are some assets that you can keep depending on Provincial Exemptions. How you purchased your furniture from Leon’s will determine whether or not they have taken the furniture that you purchased as security or collateral. Should the debt be an unsecured debt, the amount owing to Leon’s would be included in the bankruptcy, as the bankruptcy includes debts that are due or accruing due.
Yes, there are scenarios in which a person can lose their house and their vehicle. Whether or not someone can keep these assets depends on a number of factors. These factors can include whether or not a creditor has security or collateral on those assets, what the value of the asset is, and what the provincial exemption for that asset is. Each province has their own list of exemptions as such it varies from province to province. Everybody’s situation is different and that is why it is best to speak with a trustee in your area to find out how a bankruptcy would affect you specifically and whether or not there are any other options.