What Am I Allowed To Keep When I File For Bankruptcy

2009-03-02   minute read

The intent of a bankruptcy is to allow a person a fresh start when no other options are available. Part of this includes leaving you with assets in order to have that "fresh start." These are called exempt assets. There are certain exempt assets that are regulated federally. This means that they are the same no matter which province you live in. These exemptions include certain RRSPs. Other exemptions are regulated by each individual province. The provincial exemptions for Alberta are listed on our website, linkhttp://www.mnpdebt.ca/personal/faq/bankruptcy/default.aspx#q8 A clarification I would have to this list is that some of the "values" are actually treated by the Courts as "equity". For example if you have a $10,000 financed vehicle but a $10,000 lien against it, you are still within the $5,000 exemption limits (because there is no equity in the vehicle). The Alberta list of exemptions also includes some RRSPs, certain life insurance policies, certain RRIFs. If you would like to make a list of the specific assets that you own, and forward them to one of our Trustees or counselors in your area, we would be able to tell you which assets would be exempt from your bankruptcy. Donna Carson, CGA, CIRP, Trustee Calgary, Airdrie, Drumheller regions 1.877.500.0792 [email protected]

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