Invest your RRSPs in cash. Prior to filing for bankruptcy, any contributions made to RRSPs are NOT considered assets. If you must declare bankruptcy and have $50,000 in RRSPs, you will not be required to cash them out. You must pay taxes on your RRSPs as soon as you cash them out. Consequently, this adds to your existing debt. However, any contributions made to your RRSP within the past 12 months will be reclaimed. This is the single most essential consideration you must be aware of if you are contemplating bankruptcy!
Refinance your mortgage. Unsecured obligations are not secured by your home. When you do file for bankruptcy, however, you will be required to list your assets. If there is money in your home, you may be required to sell it. Do not pursue this option without advice.
Refinance with a bank loan. If you are already experiencing financial difficulties, it is likely that any loan you qualify for will come with high interest rates (you will be viewed as a higher risk).
Combining credit cards. Borrowing from Peter (e.g., MBNA MC) to pay Paul (TD MC) may appease your creditors this month, but it does not address the problem.
Borrow from relatives. This is a truly terrible concept. Bank and government funds are temporary. They create it and publish it at their convenience. Money from family is earned through labor and toil. You can abandon your obligations to institutions and recover. It is known as insolvency. You cannot abandon family obligations. It is permanent. And this is known as disinherited. I regrettably speak from experience here.
Ignore the issue. You have options available to you. Just a little bit of work, a few expert consultations, and then action is required. Then your issues will disappear. If you disregard them, they will adhere to you permanently.
As with everything in life, nothing is absolute (with the exception of item #6). However, even that is a viable option. In general, these six factors should be avoided. You as an individual must absorb this information and process it in your mind. Seek counsel. Ideally, you will communicate with someone who has no financial interest in the solution you ultimately choose.
Avoid websites that require you to submit your contact information and outstanding balance. I have found these organizations to be primarily information providers. They sell your personal data. Not only will you receive intrusive phone calls from creditors, but also from debt-relief con artists.
Obtain the facts. And then make your own decision.""
" - https://www.affordablecebu.com/
