How to File for Bankruptcy in BC
The federal Canadian government allows overwhelmed debtors to pursue bankruptcy through their province’s Office of the Superintendent of Bankruptcy. Those who live in British Columbia must follow a number of steps over a nine- to 12-month period in order to successfully attain partial or complete debt relief, according to the Office of the Superintendent of Bankruptcy Canada website. Even if a British Columbia resident meets all requirements, he still might not receive a complete discharge of debts; also, keep in mind that bankruptcy protection does not apply to any secured loans such as an automobile or house.
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Instructions
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Find the name and number of a qualified bankruptcy trustee near your home. The Office of the Superintendent of Bankruptcy Canada offers an interactive search engine on its website; you can also call their Vancouver office at 877-376-9902 for more information. Once you get the appropriate contact information, select a trustee who works near your home or business. Next, call his office to schedule an appointment.
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Meet with your selected trustee at the time and location scheduled. He will ask you questions about your financial situation; it’s a good idea to bring any important documents with you, such as income tax returns and credit card statements so you can answer any questions accurately. If your trustee feels you qualify for bankruptcy, he will file paperwork on your behalf with the nearest British Columbia Office of the Superintendent of Bankruptcy.
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Schedule and complete two credit counseling sessions as directed by your trustee. Turn over any assets the trustee requests; he will sell them and apply the proceeds to your debts.
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Attend any meetings required by the appropriate British Columbia Office of the Superintendent of Bankruptcy. You may be called to attend a meeting of creditors, a financial examination hearing with a British Columbia provincial government staff member and a final bankruptcy discharge hearing. If you haven’t filed for bankruptcy protection before and provide all information required by officials, you might not have to attend any hearings and receive an automatic discharge of debt within nine months.
However, if you filed bankruptcy in any Canadian province before or questions arise about your finances or your bankruptcy-related conduct, you will likely attend at least one hearing and wait as long as a year for a discharge.
Remember that British Columbia officials reserve the right to completely deny your bankruptcy request, place it on hold pending more information or require you to repay part of your debts under the supervision of provincial government officials.
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Tips & Warnings
You can only discharge student loans in bankruptcy if you’ve been out of school more than five years. If you left school at least seven years ago, you automatically can include such debts in your British Columbia bankruptcy case. Those individuals who left school between five and seven years ago can apply for a hardship exception; if approved, the student loan obligations will be forgiven through bankruptcy.
