Cashing in RRSPs to pay Debt and Avoid Bankruptcy?

Table of Contents

Using RRSPs to Avoid Bankruptcy

So you’re in debt, and it is getting out of hand and you are looking at all available options, including cashing in your RRSPs to help avoid bankruptcy. But should you really do this?

RRSP Bankruptcy Protection

RRSPs are exempt from seizure in Ontario. Only the contributions made to your RRSPs for the 12 months before bankruptcy was declared, may be eligible with a bankruptcy. With Bankruptcy in Canada, your RRSPs are protected from bankruptcy. This is to help Canadians with their retirement savings.

RRIF and Bankruptcy

RRIFs are also exempted from seizure in a bankruptcy. Only payments made within the previous 12 months before declaring bankruptcy may be eligible with in a bankruptcy.

Safe Keeping Your RRSPs

Many times, we have seen people cash in their RRSPs, desperately, attempting to pay off their debt. When they end up filing for bankruptcy, the RRSPs are gone – giving them no savings for the retirement years, and having to start saving all over again.

The Canadian government protects your RRSPs and RRIFs from Bankruptcy. Every case will be different, depending on the income levels, debt owing and your RRSPs. Before making a rash decision and cashing in your RRSPs/RRIFs, contact us for a free initial appointment. Registered retirement savings plans RRSPs, provides an important part in the financial planning for many Canadians. RRSPs can be the best retirement sources available, especially for those who do not have a retirement plan with their company. Consequently, RRSP protection is vital for protection so that Canadians are able to enjoy a reasonable living standard in their retirement years.

Get Professional Advice

If you are in financial distress, overwhelmed by debt and considering filing for bankruptcy – before you cash in your RRSPs, consult with David Sklar & Associates, Trustees in Bankruptcy.

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. 

Share This!

Excellent
5.0
Based on 1088 reviews
safeer ahmad
Grace Cuffaro and Serena Sklar were very professional, and helpful. Highly recommend.
Mark Penones
Great and amazing people there. Positive energy and helping me throughout the process. Samycha and Beatriz help me understand. Thank you
Gay Dorilag
Nice place ang very good costumer service. Well done. Thank you so much Cori” highly appreciated and highly recommended 👍
Robert Waltho
Professional demeanorUnderstanding , knowledgeable !!
Lana Dmitrieva
Очень доброжелательны,прекрасно знают свою работу,очень внимательны
Amery Zuniga
Greatest the attention given by Jackie Stanley. Really nice and professional. Thank you.
WhiteRoad Express
Great and professional team, highly recommended.
Alex Ibarra San Gabriel
Was mainly helped by kim, very nice, and helpful. Answered all my questions and made the process easy. The whole team has my thanks
Vez Brown
Grace and Mark were very professional, knowledgeable and transparent in handling my matter, they gave me a huge sense of relief knowing that my matter is in the right hands. I would highly recommend their services if you want a seamless process.
J P
David Sklar & team, especially Kim and Hernee who assisted me in all of my documents, my friend who referred me here. It is with much love and appreciation that I express my gratitude and thankful for everything that you do in helping people. Your assistance has left me truly grateful and help me breath life after five years debt free and looking forward that day that my dreams will come true. THANK YOU so much!
js_loader
DS david skalr icon

Book your free consultation.

Call 1-844-962-9200 or fill out the form below. We’ll do the rest.

Contact Us