Posts Tagged ‘voluntary assignment’

Personal Bankruptcy: The three types of bankruptcy

The bankruptcy trustee is an expert who can help you understand all the ins and outs of bankruptcy laws in Canada. Bankruptcy allows an honest but insolvent individual to be released from his debts and given a second chance.
There are three ways to declare bankruptcy:

1) Voluntary Assignment

A voluntary assignment occurs when the debtor (the individual in debt) himself makes the decision to declare bankruptcy. The debtor hands over his assets to the bankruptcy trustee, and the trustee liquidates them and shares the amount raised with the creditors. This possibility is open to anyone with at least $1000 of debt that they’re unable to pay.

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