A discharge releases you from the legal obligation to repay the debts you had as of the date you filed for bankruptcy, except for specific types of debts that are excluded by the law.

Do not rely on someone else to rebuild your credit. You must be the driving force. Clean up your credit report — make sure all errors are corrected. Obtain new credit — a secured credit card, small secured loan or RRSP loan. Make sure the new credit is reported to the credit bureau (not all credit products are reported). Start by asking your financial institution what products they have available to help you...

If you had any debts that did not qualify for discharge you will have to make arrangements to pay those creditors. (See FAQ 3 and discuss with your Trustee)

The two credit reporting agencies in Canada are Equifax Canada and TransUnion . You should review the Financial Consumer Agency of Canada’s publication Understanding your credit report and credit score . By visiting their website you can learn more about: Credit report and score basics How to understand your credit report How to improve your credit score How to correct errors and...

If you are discharged from bankruptcy you are once again free to liquidate your assets. However, before cashing in your RRSP’s or other investments there are tax implications and lost future income to consider. It is recommended that you consult with a financial planner to determine the costs and benefits of doing this.

In situations where debt is not too excessive and somewhat manageable, a credit counselling service may be able to review and assist you with your financial situation. These organizations contact creditors on your behalf, provide education on avoiding debt and personal budgeting strategies, as well as counselling. A credit counsellor will meet with you and determine how much you can pay each month towards your bills. The counsellor then works as...

With an informal debt settlement, you contact your creditors yourself to see if they can offer any options to aid your debt relief. If you work with a credit counselling organization, they will contact your creditors to negotiate your repayment terms and provide you with education and counselling.

Bankruptcy isn’t the only option. Numerous solutions including a Consumer Proposal and other options may be available. Our Debt Calculator can provide an idea of the best debt solution for you or you can contact an MNP office today to discuss your options with a Trustee.

The first step in combating debt is to analyze where you are spending your money. If you see a clear way to stop incurring more debt and take action immediately to consistently spend less, you may be able to regain control on your own. However, if your financial troubles persist, an MNP Trustee can discuss different options with you such as Consumer Proposals, Bankruptcy or put you in contact with a Credit Counselling organization during our free...

My wages are being garnished to pay for my outstanding debts. I am afraid to answer the phone because it may be a debt collector calling. My creditors are threatening to sue me, repossess my personal property, or hire a collection agency to recover their money. I have been borrowing money for household expenses from friends and family to make it from one pay cheque to the next. I am paying one creditor one month and another...