The Path To Bankruptcy And How To Avoid It

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In the last decade, over one million Canadians have declared insolvency. Canadian households are facing ever-higher debt loads and not just because housing prices have been pushing mortgages ever higher. Younger Canadians are graduating from school with more student loans while Canadian families are taking on more and more unsecured bank loans, lines of credit, and payday loans, often to pay for school, make down payments, or cover expenses from job loss.

There are many paths to bankruptcy and while some are avoidable, some are not:

#1 Job Loss – Losing your job or your business is one of the leading causes of personal insolvency. You may think that it will only take a few weeks to find new employment, but it can wind up taking months or even longer to find a job in a similar pay grade. In the interim, Canadians often rely on payday loans and lines of credit to cover living expenses.

#2 Medical Emergency – Even though Canadians largely avoid the steep medical costs many Americans face in a medical emergency, personal injury and disease can be financially devastating, from medication costs and physiotherapy to the inability to work. As Canadians focus on their recovery, they’re often unable to work, relying on debt to live and letting utility bills go unpaid.

#3 Poor Credit Use – While job loss and medical injury are impossible to predict, even careful savers can wind up in debt if they go on too long. Poor credit use is the most easily avoidable path to bankruptcy and credit counselling at David Sklar & Associates can help you adjust your habits and budget appropriately. Interest payments can make credit spiral out of control and beyond your means to pay, whether it was a bad car loan or excessive credit card use. If you see your credit card bills growing with no way to stop them, give us a call today.

At David Sklar & Associates, we’re not here to judge how you got into your financial situation, we’re here to help you get out of it. A Licensed Insolvency Trustee should be the first place to go for help if you’re thinking about bankruptcy. Avoid turning to debt consolidation loans that can simply replace your debts with yet another high-interest loan. Licensed Insolvency Trustees can help you settle your debts, and you may not even need to declare bankruptcy if you seek help early enough.

Even if you’re insolvent, you can still avoid declaring bankruptcy and protect your assets by filing for a Consumer Proposal. Consumer Proposals are the first course of action we try to take at David Sklar & Associates. In a successful Consumer Proposal, we come up with a manageable monthly amount that you can pay back to your creditors for up to five years. If they accept, which creditors typically do, you will only have a portion of your debt to pay while interest stops accumulating. They’re not as widely known as bankruptcies, having only become possible since the 1990s, but today they represent nearly half of all insolvencies. You don’t have to declare bankruptcy, but the sooner you get help the better your chances.

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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I was a little nervous going into my consumer proposal with David Sklar & Associates as I had a horrible experience attempting to file with a different group.Following the first correspondence, I immediately felt much more relaxed and confident in my decision.Beatriz was incredible! I feel so lucky to have had her working with me.She was friendly and kind, professional, patient, considerate, and caring. I felt no judgment in anyway. Honestly, speaking with her regarding my debt felt like I was speaking with a family member – just very easy to discuss how I ended up in my financial situation and being met with understanding, no judgment.Mark was also very kind and made sure that I understood what was discussed and was open to going over it again if needed prior to signing.David Sklar & Associates is the team you want handling and assisting you with your debt. I have only positive things to say about them and will 100% recommend them to anyone if the situation ever arises.
ally.
1701530179
Helped me with filing for bankruptcy and getting a fresh start and made the whole process seamless and easy.
Sameer Kamal
1701361659
I would like to say "Thank you very much" for David Sklar team that handled my case smoothly and without any issues! I am glad that I ve got consultation by Jerry Janiec. He explained me all process in details and told me right away what options I do have to resolve financial difficulties. I ve proceed with consumer Proposal option and entire process was very smooth. Jerry took care of my case and gave me personal recommendations for future! Thank you very much Jerry and Hernee for your help and really take care of your clients!
Alexander Arepyev
1701306224
Very knowledgeable, helpful and fast service
Anthony Mcfeat
1701299046
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
1701263894
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
1701222756
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
1701134421
Jackie is very professional...I would recommend David Sklar to anybody especially knowing how understanding they are.
Kimberley Lyder-Niles
1700968057
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
1700875951
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
1700868378
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