Kelly: Filing for Bankruptcy after Marriage

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A Much Needed Fresh Start for a Mother of One –  Aftermath of a Marriage Breakup & Bankruptcy

Kelly (not her real name), was in her mid-twenties and overwhelmed by the chaos her finances had become.

This newly-single, mother of one, was unable to keep up the payments on her debts, was struggling to pay for her modest apartment in North York and finding it financially hard to raise her daughter.

Added to this, her creditors had begun calling her, demanding payment and threatening to put a garnishee on her income.

Unable to cope with the added stress of collection calls and fearful that she would lose some of her much-needed income to a garnishee, Kelly decided to get help.

She called David Sklar & Associates and booked a free consultation.

*** ***

At her first meeting with Ashley Carter, Estate Administrator – Kelly felt hopeful for the first time in ages. Ashley’s calm, caring professionalism enabled Kelly to look at her financial situation with total honesty.

Together they reviewed her finances in detail.

After childcare expenses, Kelly had an income of approximately $1,700 per month. With no assets, beyond those exempted from bankruptcy in Ontario, she simply did not have the resources to repay her debts.

Kelly had two unsecured debts – a line of credit at $11,500 and a credit card at $3,500.

Although Kelly’s husband had run up most of the debt on the line of credit and the credit card – only Kelly’s name was on the agreements – which meant that she alone was responsible for their repayment.

As they reviewed her financial situation, and discussed all of her options, Kelly felt that bankruptcy might be her best choice.

As a first-time bankrupt with no surplus income, her bankruptcy would be completed in 9 months, if all the conditions of her bankruptcy were honoured. Those conditions included 9 monthly fees of $200; monthly submissions of spending and earning records; and attending credit counselling sessions.

At the end of her bankruptcy, she would be released from her unsecured debts.

After a further review with the trustee, Kelly decided to file for bankruptcy.

Once her bankruptcy was filed, her unsecured creditors were notified, and all collection calls and legal actions were stopped.

Kelly found the monthly reporting both challenging and empowering. She was taking control of her finances – and learning to be proactive, rather than just reactive. The credit counselling sessions gave her more confidence as she learned ways to better manage her money and avoid debt in the future.

At the end of her bankruptcy, released from her unsecured debt and empowered with her ability to better manage her finances, Kelly felt ready to make the best use of her fresh financial start.

To protect our clients’ privacy, aspects of this case study have been altered

Take Your First Step Towards A Debt Free Life

If you are overwhelmed by debt, call us at 1-844-962-9200 to book a FREE, confidential appointment. We will review your financial situation in detail and discuss all of your options with you. Alternatively, you can fill out the form below and our team will reach out to you. 

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Very knowledgeable, helpful and fast service
Anthony Mcfeat
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I am so delighted to have found this company. They are the best. Everyone in the office is very nice never to busy to assist you. Thank you David Sklar and Shirley and associates for being you. 😊🌺😊
Deborah
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Trina was amazing and quick. No judgement was made and they all made me feel I made the right decision. Would highly recommend them
Crystal Minaker
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Trina was very easy to work with. Any questions I had were answered promptly. What seemed like a complicated process was explained in a clear manner that wasn't at all intimidating. It made for a more comfortable experience during a turbulent time.
Eldon Aubie
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Jackie is very professional...I would recommend David Sklar to anybody especially knowing how understanding they are.
Kimberley Lyder-Niles
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I had Shirley and Kim take care of my finances. From the very first moment I spoke with Shirley I could sense how caring, professional and patient she was. She was also very understanding with my lack of financial knowledge and never made me feel dumb as some other companies have.Her and Kim were always very quick to respond to emails, always available if I called and answered my abundance of questions in such detail that I now believe I have a thorough understanding of how finances work. I am hopeful about my fresh financial start and very grateful I had the privilege of meeting and working with these two beautiful women.I also spoke briefly with Richard over zoom and he to was extremely friendly, patient and made sure I was well taken care of.I could not recommend David Sklar and Associates more. Thank you again.
Shayleen Muzi
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Good professional team! Jennifer is the best, helped me through everything and answered all my questions. Made the process easy! Would recommend Jennifer and the team at David Skylar.
gary round
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Christine and her team are amazing and professionals. I called for help and she responded right away to help me.thank you and I really appreciated for everything you do.
Marcelina Sunas
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Thank you so much for the helpYou took away the most stressful things in our lives which was our dept you guys are amazing and would recommend you to everyone
Kaitlyne Sunas
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The staff here are fantastic (Cori handled my visit) and are willing to go above and beyond to help people who need help, I recommend them 100% for people who are looking to move on in good standing.
Vito De
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