How Does Bankruptcy Affect Exempt Assets In Alberta

2008-12-22

                                                                                                                                                                                                                                                                                                                                                                                                 Certain assets that you own are protected when you file for bankruptcy, meaning that you get to keep them. There is a list of both federal exemptions (which are the same for all bankruptcies in the country), and a list of provincial exemptions (which vary by province). For a list of the provincial exemptions, please see What assets can I keep? under the Personal Options/FAQs/Personal Bankruptcy section of this site. The federal exemptions are such things as locked-in pensions, certain RRSPs (e.g. life insured or contributions over 12 months ago). Any exemptions that you claim are subject to you having given that asset as collateral for a loan. You basically give up your exemption until you pay the lien/loan back. Some examples of this could include a house mortgage, a car loan, or a furniture loan. Donna Carson, CGA, CIRP, Trustee Calgary, Airdrie, Drumheller regions 403.537.7657 or 1.877.500.0792  

Latest Blog Posts

2025-08-25

12 holiday budgeting tips to stay jolly into the new year

Grant Bazian

Lifestyle Debt

Make a plan to reduce your holiday season spending – and stress – with our top 12 tips.

Read More

2025-08-25

Owe the CRA money? Steps to help you get back on track

John Athanasiou

Owing the government money can be very intimidating as it's assumed the government has a limitless ability to collect the debt through any means necessary.

Read More

2025-08-14

How to budget for summer vacation

Marianne Steele-MacSween

Vacation costs can add up quickly without proper planning. This guide can help you budget so that you can make the most of your trip without overspending.

Read More

Consultation icon