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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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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