Relocation And Bankruptcy

I have seen many people move from province to province, even out of country, while in bankruptcy or afterwards.

There are some things to consider.  Firstly, while you are in bankruptcy you must complete two debt counseling sessions. It would be advisable to complete these before relocating, keeping in mind that the first session must be done between 10 and 60 days of your bankruptcy being filed.  The second session must be completed by no later than 210 days but not within 30 days of the first session.  The counseling sessions must be completed in person by a qualified counselor, registered with the Office of the Superintendent in Bankruptcy.  Only in limited circumstances (e.g. remote locations) can the counseling be completed by telephone.  If you are relocating within Canada, another Trustee office or a qualified third party agency can conduct the counseling.

There may be other matters to consider, particularly if you are buying back an asset from the Trustee or there are other property issues to resolve.  The best approach would be to discuss your possible relocation with the Trustee at the time of your assessment.

Individuals considering relocation to other countries should consult the appropriate immigration authorities to determine how a bankruptcy might affect one’s ability to apply for residency and/or sponsor others.  In Canada, for example, you cannot sponsor a family member who wishes to immigrate to Canada if you are undischarged from your bankruptcy.