What Is The Cost Of Personal Bankruptcy

2009-11-30   minute read

 The “cost” of bankruptcy depends upon your income and family situation and the dollar amount of assets that you must turn over to the Trustee. Ironically, if you are considered a higher-income bankrupt (i.e., your income is over a government-set guideline) and/or you have assets that must be turned over to the Trustee, the Trustee gets its fees paid from your “surplus income” payments and/or assets. If you are a lower-income bankrupt (i.e. your income is below the government-set guideline) and you have no assets that must be turned over to the Trustee, there are no funds available to cover the Trustee’s fees. In such a case, the Trustee will look to you to cover it’s fees, which will be around the $1,800 mark. Most Trustees (such as Meyers Norris Penny) will allow you to pay the Trustee’s fees over time, and we can often apply tax credits, such as GST refunds, to our fees to make it more manageable for you. If you would like more specific information about the income guidelines, surplus income and assets, please feel free contact me. Also, if you would like to discuss your specific situation and the “cost” of bankruptcy, if any (based on your specific situation) please call me at the number provided below. Regards, Lana R. Gilbertson, Trustee Meyers Norris Penny Limited – Vancouver / North Vancouver offices Direct line: 604 637 1599

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