Your debts are piling up and you don't know how to get out of them. rebuild your financial situation ? Does this stressful situation no longer suit you?
To do this, entrust your debts to a trusted partner for a better financial health : the authorized insolvency trusteeN. Séguin inc. Ensemble, vous reduce or discharge your debts to return to a stable financial situation.
Do you think personal bankruptcy is the right option for you? Before you declare personal bankruptcydiscover 3 things you need to know!
1. Personal bankruptcy is the last resort
Although in some cases, personal bankruptcy is a lasting solution to financial problems, it is not the only one. a solution with consequences. In fact, even if your debts are written off, your credit file is affected.
Personal bankruptcy is generally the solution of last resort for the cancellation of your debts.
Before opting for personal bankruptcy, we recommend that you discuss the following points the following two options with your licensed insolvency trustee :
- Debt consolidationAll your debts are grouped together in a single monthly payment with reduced interest rates. This solution is often not enough to reduce your debts, as you need to be able to repay your debts in full.
- The consumer proposalYour licensed insolvency trustee will negotiate the amount of your debts directly to your creditors to reduce them. It is then possible to reduce your debts by up to 80%with no interest to pay.
Personal bankruptcy will be the the last option to choose after considering debt consolidation and a consumer proposal.
2. Personal bankruptcy affects your credit rating
As we told you, personal bankruptcy is not without consequences. Although this solution can relieve you and get rid of all your debts (except those that cannot be discharged), you should still think about your credit file.
In fact, if you have filed for personal bankruptcy, it will be recorded in your file for 6 years. If you have had two personal bankruptcies, this will be recorded in your file. for 14 years.
It will be more complex for you to obtain credit from financial institutions. Although lenders may eventually offer you credit, you must remain cautious.
3. Personal bankruptcy does not prevent you from incurring new debts
After declaring personal bankruptcy for the first time, you must take extra care to avoid repeating the same financial mistakes.
Personal bankruptcy is an opportunity for you to starting from scratchdebt-free. You must therefore avoid unnecessary consumption and you must try tosave money to survive the unexpected.
To get started, we recommend waiting a few months before taking out a credit card again, and always paying your bills on time so as not to be overwhelmed by late payments.
Take advantage of this new opportunity to living a financial life with peace of mind !
Do you need a licensed insolvency trustee to declare bankruptcy? You can contact N. Séguin inc. today.
