First, let’s talk about what it means to default on a CP. Then we can look at what you can or should do if you do, in fact, default. There are certain protections in place that allow for some flexibility in ‘putting it back in the box’ so to speak, if you default.

I have a Tax credit debt for my old company 17 years ago. They are garnishing my wages now. I feel that this debt is not mine personnally. I was told to file Bankruptcy for this. please advise Thanks randell

Consolidation loans are often the first option people think of when they find their debt is stretching their budget.

Given today’s economy and an increased cost of living, many Albertans are feeling the pressure and are ready to ‘round up their debt’.

How are secured creditors (mortgages, car loans etc.) affected in a bankruptcy or proposal?

If you are struggling to make your minimum monthly debt payments or if you are concerned that the minimum payments are not effective in reducing your total debts, a personal loan may be an effective way to consolidate your debts and reduce your total debt load over a set period of time.

Generally when you file for bankruptcy or make a proposal to your creditors, unsecured debts will be released. Section 178 of the Bankruptcy Act lists the only debts that survive a bankruptcy or Consumer Proposal.

It’s a deceptively murky question without a straightforward answer.

A recent poll conducted by Ipsos on behalf of MNP LTD reveals 45% of Canadians say their financial situation is the worst around the holidays.

While it can be tempting to solve a short-term cash problem with long-term savings, cashing in your RRSPs to pay down debt should be a last resort.