I also have a borrowing account that I keep getting funds out of and I currently owe 12500.00 with a max allowance of 15000.00 pay $300.00 month my total monthly expenses are $2350.00 + living expenses I am currently making 45000.00 annually What will happen if I file for bankruptcy? Will my employer be notified? What happens to my wages? Also I need my vehicle for work, what will happen to it? I know that you may not be familiar with the laws in Ontario, but could you please provide me with some info? Even play this scenario out in your loacation. Any information is greatly appreciated.

Once you file bankruptcy, there is a stay of proceedings and your unsecured creditors can no longer pursue against you. This does not affect your secured debt (i.e. mortgage and car loans). If these are not paid they can take the assets.

You handle all your own income and report to the Trustee each month. If you have a surplus pursuant to the Superintendent Standards, then 50% must be paid to the Trustee. Normally, your employer is not notified.

Each province has its own exemptions as what assets you are allowed to keep. I do not know the Ontario amounts.

As your situation is fairly complicated, I suggest you contact a Trustee in your area for a free consultation. They can give you all of your options.

Shane Brenneis
phone: (403) 298-1575
sbrenneis@collinsbarrow.com