Can a Person with no Assets File for Bankruptcy in Ontario?

Can a Person with No assets file bankruptcy in Ontario

Table of Contents

Can I Declare Bankruptcy Without Any Assets?

Yes, as long as you qualify for bankruptcy in Ontario, you can have a bankruptcy trustee file (declare) bankruptcy on your behalf, even if you have no assets.

In Ontario, only licensed insolvency trustees in bankruptcy, such as David Sklar & Associates, can file and administer bankruptcies.

In bankruptcy, when there are no assets or equity to divide among the unsecured creditors, they are still required to write off all of their outstanding debt upon the successful completion of the bankruptcy.

In Canada, the laws that govern bankruptcy are meant to be fair to everyone involved, the debtor and their unsecured creditors.

If you have assets, the federal and Ontario governments have identified a number of assets that cannot be seized in bankruptcy. Visit “How Do I File For Personal Bankruptcy In Ontario?” for more details.

Surplus Income

An important factor in bankruptcy is the amount of surplus income. Check out ‘Surplus Income in the Bankruptcy Process’ for more details.

Basically, your total family income, less allowable deductions such as medication and child support, is compared to the number of people in your family. Then, based on guidelines set by the Superintendent of Bankruptcy – it is determined whether or not you have surplus income.

Your licensed insolvency trustee will explain this to you in detail.

If it is decided that surplus income exists, then you will be required to pay 50% of the surplus into your estate for distribution to your unsecured creditors.

As well, if you have surplus income and this is your first bankruptcy, the length of your bankruptcy will go from 9 months to 21 months.

Release From Unsecured Debts at End of Bankruptcy

At the end of your bankruptcy period, if you have honored all the terms of your bankruptcy, such as filing monthly reports, attending credit counseling sessions, and making your required monthly payments – you will be released from the unsecured debts included in your bankruptcy.

Note – not all unsecured debts can be included in a bankruptcy, things like child support, alimony, court fines, and some student loans cannot be erased by bankruptcy.

Once again, your trustee will explain this to you in detail.

Considering Bankruptcy in Ontario?

If you are struggling financially and looking for relief, call David Sklar & Associates and book your consultation today. We help people who are drowning in debt and need a solution. You have options we can help you pick the right ones and get the debt relief that you’re looking for

Contact David Sklar

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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So over the past few weeks I’ve had multiple contact with Christine. She was simply amazing. She helped me understand my debt and what options I had available to help relive some of my debt stress that’s affecting my own well being and my family.David Sklar and associates is simply put an amazing company and I highly recommend them to absolutely anybody needing help!
Adam Bertrand
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Christine Sylver was very helpful to my situation. No question asked, she went above and beyond just to give me the options that I need to solve my problems. She explained and made me understand my options. Thank you Christine! Everything was done in a week. Regards, to Richard Sklar for explaining everything further to me. 😊
Kris
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I was blown away by how kind and empathetic Christine and David were. I came into the process expecting to feel embarrassed, but they were so helpful and unquestionably supportive, they made the whole experience a positive thing. On top of that, Christine found a solution for me that was better than I ever could have imagined. I highly recommend Christine, David, and colleagues to anyone.
Mary M
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Christine Sylver has been very efficient in working with me in all aspects toward developing a very favourable consumer proposal which meets my financial budgeting very nicely. She also exhibited a very positive pro client attitude and was every pleasant to communicate with. Richard Sklar also demonstrated a very positive pro client attitude in explaining in detail all aspects. All great!!
Rob Hultgren
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Dealing with Christine was a real pleasure.She was very understanding professional and knowledgeable she answered all my questions.I left feeling relieved a big burden was lifted from my shoulders
John Horan
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Very happy I got in touch with Jackie! She has been a great help and a pleasure to work with! I highly recommend Jackie if you need help getting out of financial debt.
Hailey Cascagnette
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I had the pleasure of working with Jackie and she made the experience very easy and was very honest which I appreciated as I was extremely nervous to go through with the process. Any questions or concerns I've had after our meetings were answered no problems and although it's been a few weeks I can honestly say I've never felt so stress-free. Very thankful for Jackie.
Cassandra Arevalo
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Very considerate of how people can sometimes make mistakes and need help to get things back on track. Great team of people. Thanks to Jacqueline for all her help.
Kevin Chase
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My mother told me about this firm because they helped resolve her situation nearly 25 years ago. I had the pleasure of working with Christine Sylver. I should’ve done this years ago but I am where I am and it is what it is. Extremely courteous, professional and understanding. I hope to never need their services again but they would be my first call! A+
Patrick Martel
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Jerry was extremely thorough and ensured that as a client, I understood all of my options and their repercussions. He offered his professional advice best suited for my situation and he is amazing at his work. Thank you Jerry! :)
Stephanie Belanger
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