1) What is bankruptcy?

Bankruptcy is a legal process in which a person who is unable to pay their debts as they become due is able to get rid of most of the debts.

2) Can I file for bankruptcy?

At Debt Free, we will discuss all the available options that you have including alternatives to bankruptcy.

In order to file for bankruptcy, generally:
• You are unable to pay your bills as they generally become due; and
• You owe at least $1,000.

After discussing all the options that you have, bankruptcy should only be considered as a last resort. If you still want to file for bankruptcy, our team will assist you with the process.

3) What happens after I file?

Once you are bankrupt you have legal protection from your creditors. This protection is called a stay of proceedings and it stops your creditors from commencing or continuing any legal action against you. At this point the calls from your creditors will stop.

4) What does a bankruptcy cost?

The “cost” of a bankruptcy varies depending on many factors. Some of the items considered are:
• Your monthly income;
• Monthly eligible deductible expenses;
• The size of your household; and
• Assets that you own which are not exempt.

The minimum fee is set by the government. The actual costs can vary from one person to another because everyone’s situation is unique. As a result, we offer a free initial consultation and can walk you through the “cost” of a bankruptcy that would be unique to your circumstances.

5) Who files for bankruptcy?

Recent government studies have shown some common “events” that contribute to or cause people to experience financial problems. They include:

• Loss or reduction of income;
• Marital breakdown;
• Sudden / unexpected illness;
• Gambling or other addictions;
• Business failure; and
• Financial mismanagement (misuse of credit).

Are you experiencing one of the symptoms listed above? If so, please call us so that we can help you deal with it in a dignified manner.

6) When is filing a personal bankruptcy the right choice?

At Debt Free, we view filing a personal bankruptcy as a final solution and will walk you through all the other options that you may have. However, we recognize that sometimes it is the right solution to solving your debt problems.

When all other options have failed, please call us to discuss your personal situation to decide whether bankruptcy is the solution for you. You have nothing to lose as your initial consultation is free.