NB Bankruptcy Information
Every year, TransUnion discloses the changes and status of consumer debt in Canada. It is a firm that monitors the statistics of consumer debt in Canada; for a couple of years, it shows a slower growth of consumer debt. This is triggered by the Canadians response to the creeping world economy.
However, a recent survey shows that there is a significant rise in terms of consumer debt that is more rapid than usual. Evidently, there is a 6 % increase in the year 2012, where consumer debt climbs up to $27,500 from the initial $26,000 data. Considering that the average is a consolidation of all the provinces in Canada, other provinces then varies.
For instance, provinces such as New Brunswick garner a lower average of consumer debt that totals $24,500 at the end of the year; statistically showing a better number that accumulates lesser than the national average with a $3,000 difference. Despite this number, New Brunswick is still withstanding financial struggles as it garners a 7% increase in the same year.
These statistical data imply that several residents might not anticipate owing more than what they can sustain to afford. If you’re in this situation and failing to qualify in the other debt solution, filing for bankruptcy is an option to consider.
In This Guide...
Facts about NB Bankruptcy
Bankruptcy, as perceived by some, is not a great escape from your indebtedness. If you a resident of New Brunswick and you can’t knock down your overwhelming debts, you will be eligible to file for bankruptcy if your unsecured debts total to at least $1,000. However, before getting into the process, you should consider other means such as consumer proposal or credit counseling. Getting into the process of bankruptcy can only mean two things; either you have a poor habit of spending or just in an unfortunate circumstance that is beyond man’s control.
Positive Aspects
- Obstructing creditors and lenders to collect debts
- Eliminates all your unsecured debts
- Gives you a financial make-over
- A chance for financial counseling which is useful as you try to rebuild a stable finances
- Allows you to retain some of your property
Negative Aspects
- It will damage your credit standing for up to 7 years or more
- Upon filing for bankruptcy in News Brunswick, you’ll have to give up most of your property.
- Surrendering your assets to a licensed trustee
NB Bankruptcy Exemptions
When filing for bankruptcy in New Brunswick, you can retain the following:
- furniture and appliances with value not more than $5,000
- tools of your trade with value no more than $6,500
- Your need and your dependents need that include fuel, food, and clothing for everyday life
- pets
- one motor vehicle for employment valued up to $6,500
- Health or medical aids
- limited amount of livestock and six months worth of feed, and more
Learn More about Bankruptcy and Debt Settlement
If you want to ensure if bankruptcy is the best approach for you, you may need to explore the other debt relief options; whether a debt settlement, consumer proposal, or any other alternatives that you may qualify.
