But aren’t they going to obtain absolutely absolutely nothing in a bankruptcy? And once again, that’s something that individuals could counsel you on.

But aren’t they going to obtain absolutely absolutely nothing in a bankruptcy? And once again, that’s something that individuals could counsel you on.

Ted Michalos: this will depend in your situation. Therefore, you can find cases where you really need to spend money in to a bankruptcy. For those who have equity in your house, when you have savings, in the event that you make significantly more than the us government directions for groups of your size. It gets complicated and I also don’t think we could enter into it right here. But bankruptcy does set you back one thing.

Doug Hoyes: Yeah, it is considering your earnings additionally the assets you’ve got. And I’ll put some links into the show notes into the idea of surplus income, which will be just what you’re dealing with. Centered on your earnings you need certainly to pay much more if in a bankruptcy it is most most likely I’m likely to need to pay $3,000 due to my assets, my earnings whatever, the proposition will probably need to be a lot more than $3,000 or otherwise why would the creditors accept it?

Ted Michalos: That’s right. And there’s a second complicating element. All of the credit that is canadian, so that the banking institutions, the credit card issuers, the mortgage organizations have all stated which they want at least return to just accept a proposal. Read more…