Bankruptcy Canada

Everything you need to know about declaring bankruptcy in Ontario, Canada.
david sklar debt relief personal bankruptcy what is

Bankruptcy isn't the only option for you.

Most people who come to us do not want to declare bankruptcy and are relieved to learn that it’s not the only option.  For most people, filing a Consumer Proposal is the #1 alternative to personal bankruptcy.

One of our Licensed Insolvency Trustees (LITs) can help you understand all of the debt-relief options available to you. After you speak to a LIT, If you decide that filing for bankruptcy is the best decision for your situation, it’s not the end of the world!

We will hold your hand before, during, and after the process is complete.

What is bankruptcy?

Filing bankruptcy is often considered a last resort for people who are unable to pay back their debts.

With the help of a Licensed Insolvency Trustee (LIT), declaring personal bankruptcy legally “discharges” your debts. The phone calls from creditors stop and whatever debts are included in your bankruptcy are erased. 

Bankruptcy should never be entered into lightly and should only be considered after consulting with a Licensed Insolvency Trustee.

david sklar debt relief personal bankruptcy

Bankruptcy
is not your only
debt relief option!

What to expect if you file for bankruptcy

If personal bankruptcy is the option you choose, we will work with you every step of the way. Our Licensed Insolvency Trustee’s will file all the necessary documents with the Office of the Superintend of Bankruptcy Canada and you will be formally declared bankrupt.

From that point on, we will deal directly with your creditors on your behalf.

david sklar debt relief bankruptcy effects

What debts can be eliminated by declaring bankruptcy?

Declaring personal bankruptcy eliminates most—if not all—of your unsecured debts. This includes credit cards, lines of credit, student loans (if you’ve been out of school for more than 7 years), personal loans, payday loans, and income tax debt.

Some debts cannot be eliminated by declaring personal bankruptcy, including child support, alimony, court-imposed fines, and fraudulent debt.

What Can I Keep If I File For Bankruptcy?

Everyone’s situation is different, depending on your financial situation, some assets may be exempt, including:

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Home Equity

Exempt if you have less than $10,783 of equity in your home

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Automobile

One motor vehicle up to a certain limit: $7,117 in equity

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Household Items

Household items, furniture, clothing, equipment up to $14,180 in value

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RRSPs

With the exception for contributions made in the last 12 months

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Pension

Most pensions and life insurance policies

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Tools

Tools used to earn your living up to $14,405 in value

Bankruptcy vs. Consumer Proposal

Filing a bankruptcy in Canada or a consumer proposal will help you to clear your debts and protect you from creditors but there are some important differences to be aware of. 

One major advantage of a consumer proposal is that you will not lose any of your assets and you are not required to surrender anything.

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Personal Bankruptcy

Consumer Proposal

No limit to size of debt

Total debt must be less than $250,000

Available to individuals or companies

Only available to individuals

Surrender your assets (Exemptions)

You keep your Assets: Home, Car, RRSP’s, RESP’s, & Investments

Calendar year’s tax refunds go to creditors

Keep Your Tax refund

Payments based on household income and value of assets

Payments are structured based on what you can afford

The payment is NOT flexible, first bankruptcy 9-21 months, second-time bankruptcy 24-36 months

The payment is flexible you can pay everything immediately (lump sum), or stretch your payments over a maximum of 5 years the choice is yours

Getting into debt is easy. Getting out is a different story.

But it's still possible!

Did you know there is a Canadian debt relief program federally regulated by the Canadian Government, designed to help citizens avoid claiming bankruptcy? This amazing program can only be administered by a Licensed Insolvency Trustee (LIT).

If you’re struggling to make your payments every month and creditors won’t stop calling, we can help.

What our clients are saying.

Based on 752 reviews
Great experience i was in financial trouble and someone of my friends recommended this company. Cori is a wonderful and welcoming person she did a very good job and came up with a smooth and flexible monthly payment after the reduction. i highly recommend this company. Thank you David sklar and special thanks to Cori.❤️🙏🏻
22:08 01/13/23
Met up with Mr. Jason Sklar to discuss more in person, very thorough and clear. He is very kind and thoughtful, I will be referring anyone with the same situation to David Sklar & Associates.
02:33 12/29/22
I was a reck talking yo Jason Sklar was easy comfortable he explained everything and put my mind at ease I would recommend the team od sklar to everyone. I have already talked to my ci workers about them
01:13 12/22/22
The team at David Sklar & Associates is fantastic.I worked with Jerry whom not only made - what seemed like intimidating process to initiate at first - comfortable.He made everything transparent and took the time to explain the process every step of the way.He was kind, attentive, and professional. Everything was made straightforward and stress free and we found a solution together that worked.Thanks to Jerry and the team.
18:22 12/21/22
From day one till the end which is today😁 DavidSklar gave me a 5star service and treatment. And I will 100% recommend him and his Associates. This is the best Christmas present ever! Thank you David! More business to come! Merry Christmas and a Happy New Year!!!
16:37 12/16/22
I FOUND DAVID SKLAR & ASSOCIATES BY GOOGLING "BANKRUPTCY" (EARLY NOV. 2021). ON NOV.4, 2021 I HAD A MEETING WITH CORI NARON AT HER OFFICE AT ST CLAIR ANDBATHURST. HER POSITIVE APPROACH TURNED ASTRESSFUL SITUATION INTO A STEP BY STEP UNDERSTANDABLE PROCESSON SEPT. 23, 2022 I OBTAINED MY AUTOMATICDISCHARGE FROM BANKRUPTCY AND MY CERTIFICATE OFDISCHARGE.THANK YOU CORIBRUCE BURGESS
21:35 12/02/22
Jerry was wonderful and provided superb service. He is very knowledgeable, trustworthy, and made an intimidating and shame filled time in my life stress free. I hesitated for a long time to take the next step, but Jerry answered all questions, was patient and made the process effortless. I am eternally grateful, and highly recommend Jerry’s services.
18:41 12/01/22
Jerry was professional and was easy to deal with
00:09 11/29/22
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We are David Sklar

Our team of Licensed Insolvency Trustees in Ontario can help you get out of debt and in control of your own financial future. We’ve helped thousands of people and we can help you too. 

We know this is stressful, but you're not alone.

It’s going to be okay.
Book your free consultation today. We’ll do the rest.