11/03/2020 by Jonathan McNair
Recovering From Bankruptcy: Immediate and Long-Term Future
There are many myths related to bankruptcy where the biggest one is that you will lose everything you own. While there is some truth intermingled with the misconceptions, applying for bankruptcy has both benefits and temporary disadvantages. Doubting how bankruptcy will affect the future is a valid concern that many have. With the help of an experienced bankruptcy consultant, you can find out what bankruptcy is going to mean for your future.
Crowe MacKay & Company has been helping clients in Greater Vancouver, Burnaby and Surrey areas by providing a variety of debt solutions. Our Licensed Insolvency Trustees can provide vital information to make sure your debt is handled efficiently. We provide services under the following categories:
• Individual Options
• Business Options
• Forensic Accounting
Purpose of Filing for Bankruptcy
Bankruptcy offers an honest and unfortunate debtor an opportunity for a fresh start.
Impact of Bankruptcy on Your Immediate Future
The most notable positive impact that bankruptcy will have on your immediate future is that all creditors will be prevented from making any contact with you. The automatic stay provisions of the Bankruptcy and Insolvency Act also prevent the creditors from initiating lawsuits or collection actions.
Filing for bankruptcy will temporarily affect your credit score but once you are granted discharge, you will be able to rebuild credit.
How Will Bankruptcy Impact Your Long-Term Goals?
As mentioned above, an assignment in bankruptcy can lower your credit score temporarily, but the drop won’t be just due to bankruptcy filing. Inability to pay off debts, late payments and charge-offs already affected your credit rating prior to bankruptcy. Going forward, an assignment in bankruptcy and subsequent discharge of your debts will help improve your credit score.
It may be difficult to obtain credit immediately after discharge from bankruptcy. However, your credit score will improve over time. Our Licensed Insolvency Trustees will provide you with information on how to rebuild credit once you are discharged from bankruptcy.
Looking for a Bankruptcy Consultant in Vancouver?
If you are considering filing for bankruptcy, Licensed Insolvency Trustees at Crowe MacKay & Company Ltd. will be able to assist you. They can evaluate your current situation to help you decide your options and suggest solutions to deal with your debt.
Call us to learn more about how we can help you.