Tag: Ira Smith Trustee

GREY DIVORCE: BABY BOOMERS ARE SPLITTING UP

Post author By Brandon Smith
Post date April 27, 2016

Grey divorce is a growing trend

Some are calling it grey divorce. Baby boomers divorcing after many years of marriage. People think they will be married forever but many times, it isn’t meant to be. People have their families, and increasingly, they then find after decades of marriage that they just can’t relate to each other anymore. Ultimately, they have to accept things are as they are not as they wish them to be.

We have previously written on this topic:

The trend is not stopping

Since 1990 the divorce rate has doubled for couples over age 50 and researchers found after age 40 its often the wife who wants the divorce. People are no longer willing to compromise to live in unhappy circumstances. Longevity is a key factor. We are all living longer, and spending four or more decades with the same person is becoming more difficult.

Nowadays, people in their forties and fifties and sixties feel very youthful and if you’re in a marriage that your needs aren’t being met, we have choices. Financial independence is more prevalent among seniors and baby boomers put an emphasis on individual happiness. Should you live unhappily or as roommates under the same roof?

It can be financially complicated

Financial advisors caution that splitting up later can be complicated. Timing is critically important because people that are in their late fifties or early sixties may have planned for retirement to be right around the corner, and the financial ramifications of your marriage ending in your senior years may substantially alter those plans for both spouses.

According to the Investors Group:

80% of those people who divorced at the age of 50 or older say they will delay retirement because they need to work longer than planned
62% say their post-breakup savings and investments will no longer be adequate to fund their retirement
54% of those who divorced at or past the age of 50 found it difficult to make financial decisions surrounding their splitting up
53% had to adjust their retirement plans
47% will have to scale back on their anticipated retirement lifestyle
26% no longer have enough retirement savings

What should you do if your life is financially complicated?

If you are experiencing financial problems, instead of going deeper into debt and just putting your head in the sand like an ostrich, contact us today. Seek the help from a professional trustee, even if you’re not considering bankruptcy at this stage.

A licensed insolvency trustee will evaluate your situation and help you to arrive at the best possible solution for your problems, whether that solution is a bankruptcy alternative like credit counseling, debt consolidation or a consumer proposal or even bankruptcy. With immediate action and the right plan, the Ira Smith Team can solve your financial problems Starting Over, Starting Now. We’re just a phone call away.

This vlog was inspired by our eBook – PERSONAL BANKRUPTCY CANADA: Not Because You Are A Dummy, Because You Need To Get Your Life Back On Track

Tags baby boomers, Bankruptcy, bankruptcy alternative, Boomer retirees, Consumer Proposal, credit counselling, Debt, debt consolidation, grey divorce, grey divorce support groups, Ira Smith Trustee, personal bankruptcy, personal bankruptcy (website category), PERSONAL BANKRUPTCY CANADA: Not Because You Are A Dummy, starting over starting now

Brandon Blog Post

STUDENT LOANS DEBT: WILL BANKRUPTCY ELIMINATE IT IF YOU ARE NOT THE STUDENT?

Post author By Brandon Smith
Post date April 25, 2016

An interesting American case about student loans debt

Student loans debt is nearly impossible to get rid of in bankruptcy. A case winding its way through the US court system has piqued our intellectual interest. A father, who is a discharged bankrupt, is taking the lender who HE borrowed funds from for his child’s education to Court. The lender is continuing to pursue collection efforts against the father on the basis that the provisions of the Bankruptcy Reform Act of 1978, as amended, codified in Title 11 of the United States Code and commonly called the “Bankruptcy Code” (“Code”), does not release the father from what is in reality student loans debt. The father is taking the lender to Court for a ruling that by virtue of his discharge, he is released from that debt like all his other debts. It has raised the question whether the same student loans debt rules should apply in that case.

The Canadian perspective

We are not qualified to express any opinion on the US legal case before the US Court, but we are qualified to discuss the issue from the Canadian perspective. We started thinking whether this same situation could arise in Canada for student loans.

Last week we discussed student debt bankruptcy from the perspective of the student. Previously, we have written blogs and created a vlog about student loan debt, including:

So this week, we’re discussing student loan debt and bankruptcy from a very different and interesting angle. Could a Canadian lender take the position against a Canadian parent borrower who on the loan application described the purpose of the loans for the funding of his or her child’s Canadian post-secondary education, that the loans qualify as student loans under the applicable Canadian statutes, including, the Bankruptcy and Insolvency Act (Canada) (BIA). Stated otherwise, are such loans the same as student loans under Canadian law and can bankruptcy cut such loans if you’re not the student?

Are student loans necessary?

Many young Canadians need student loans to get a post-secondary education. To qualify as Canadian student loan debt, the loans must be issued under a specific Canadian student loan statute: the (i) Canada Student Loans Act; (ii) Canada Student Financial Assistance Act; (iii) Apprentice Loans Act; or (iv) any enactment of a province that provides for loans or guarantees of loans to students.

All students need financial help to be full-time university students. The only real places that such assistance can come from is either the parents, if they are willing and able to do so, student loans, or both. Many Canadian parents pay a hefty part of students’ tuition fees, even if it means sacrificing their financial stability, to help their children avoid a post-graduation life burdened by tens of thousands of dollars of student debt. Others may wish to, but they cannot afford to do so.

So are student loans and the resultant debt necessary? In most cases, yes.

Can a parent co-sign for or guarantee their child’s student loans?

The short answer is no. As I have already stated, to qualify as a student loan, the loan has to be made under the provisions of one of the Federal loan statutes mentioned above, or any such similar Provincial legislation. Nowhere in those student loans statutes is there a place for either a guarantor or cosigner. In fact, the Federal statutes all have similar language stating that upon the death of the borrower, the Federal government will repay the outstanding part of the loan. In addition to there not being any sections that allow for a guarantor or cosigner, the specific section dealing with the death of the borrower does not limit the government’s guarantee by using words like “….and if the lender is unable to collect in full from any guarantor or cosigner”. The reason is simple, student loans cannot be guaranteed or otherwise borrowed by anyone other than the student.

Will bankruptcy eliminate student loans debt?

Student loans are nearly impossible to get rid of in bankruptcy. Section 178(1) of the BIA states:

“(g) any debt or obligation in respect of a loan made under the Canada Student Loans Act, the Canada Student Financial Assistance Act or any enactment of a province that provides for loans or guarantees of loans to students where the date of bankruptcy of the bankrupt occurred:

(i) before the date on which the bankrupt ceased to be a full- or part-time student, as the case may be, under the applicable Act or enactment, or

(ii) within seven years after the date on which the bankrupt ceased to be a full- or part-time student;

(g.1) any debt or obligation in respect of a loan made under the Apprentice Loans Act where the date of bankruptcy of the bankrupt occurred

(i) before the date on which the bankrupt ceased, under that Act, to be an eligible apprentice within the meaning of that Act, or

(ii) within seven years after the date on which the bankrupt ceased to be an eligible apprentice;”

So if you’re a student, bankruptcy will only end student loans if you’ve ceased to be a full or part-time student for more than seven years and either declare personal bankruptcy or make a debt proposal to your creditors, most likely through a consumer proposal. The only other option is to attempt to seek from the Court relief because of undue hardship, but this is very difficult, if not impossible.

What is required to meet the burden of undue hardship?

If the Court is satisfied that you meet the two-pronged test, you’ll be discharged from your student loans obligations in bankruptcy only if the :

acted in good faith in connection with your obligation to repay your student loan debt; and (emphasis added)
have experienced, and will continue to experience, financial difficulty that will prevent you from repaying this debt

It’s then up to the bankruptcy court to decide whether they forgive your loans, either in full or in part. One of the difficulties in trying to prove undue hardship is that there is no clear definition for what makes up hardship; each bankruptcy court across Canada may use a slightly different interpretation. The only thing that’s clear is that you must prove that having to continue to pay the student loans after bankruptcy would be a financial hardship for you. If you try this route, the Court will look at ALL of your income and expenses.

The Court may decide you are not trying hard enough, or, may look at things like your small car you use to get to work, which you purchased used (instead of taking public transit), your cell phone and your internet expenses, and decide that these are luxuries you do not need. If you are a smoker, the Court may very well decide that if you were not addicted to tobacco, you could start to repay some part of your student loans.

If you think my examples are picayune or silly, just look up the case of Fournier (Re), 2009 CanLII 31606 (ON SC).

Will bankruptcy eliminate student loan debt if you are not the student?

I don’t know what the eventual disposition of the US case which I mentioned at the beginning of this blog will be, but based on all the above, in my view in the Canadian context, a parent, relative or friend cannot guarantee, cosign or borrow for a loan that qualifies as a Canadian student loan. If you borrow to fund your child’s education, then you are borrowing under an ordinary commercial transaction and the applicable student loan sections of the BIA do not apply.

So if you have borrowed for this purpose, only the normal provisions of the BIA apply, and you will get a discharge from that and your other debts upon your discharge from bankruptcy. However, if you pledged any of your assets in support of such borrowings, such as your home, the lender does have the right to enforce its security against such assets if you cannot repay, whether you are bankrupt or not.

What should you do if you have too much debt?

If you’re drowning because of your finances, we know we can help you. Although many people believe that bankruptcy is the only way of out serious debt, that’s not always the case. Ira Smith Trustee & Receiver Inc.can discuss other bankruptcy alternatives with you which include credit counselling, debt consolidation and consumer proposals.

If we get to see you early enough, at the first sign of trouble, you can use and carry out one of the bankruptcy alternatives, to free you from the burden of your financial challenges to go on to be a productive, contributing member of society and not be plagued by debt problems.

Bankruptcy law is very complicated and requires the expertise of a professional licensed insolvency trustee. Ira Smith Trustee & Receiver Inc. is here to help. With a cumulative 50+ years of experience dealing with diverse issues and complex files, we can get you back on your feet Starting Over, Starting Now. We can help. Call us today.

People consider us bankruptcy experts because we wrote the eBook which is sold on Amazon.ca, explaining the Canadian personal insolvency and bankruptcy system, specifically directed to the person stressed out with too much debt.

Brandon Blog Post

STUDENT DEBT BANKRUPTCY: NEW SECRET TACTIC TO AVOID BANKRUPTCY

Post author By Brandon Smith
Post date April 18, 2016

Student debt bankruptcy inquiries on the rise

Student debt bankruptcy is a very serious issue in our country. We’ve looked at the problem from different angles in a series of blogs and like you, are left with more questions than answers.

Cases on the rise

Unfortunately, regardless of which government is in power, there’s been no solution or improvement regarding this kind of debt and student debt bankruptcy. In fact, university and college debt have now taken on epic proportions. According to the Canadian Federation of Students (the largest organization for post-secondary students in Canada), last year the number of student debt bankruptcy files of those who received student loans hit a 10-year high as more than 6,000 students declared bankruptcy in 2015, more than double the number in 2014.

We don’t have a level playing field nationally

The costs of post-secondary education have become prohibitive. Firstly, we don’t have a level playing field. The cost of tuition varies greatly from province to province, from city to city and from college to university (where the same program is offered). According to a study by the Canadian Centre for Policy Alternatives the cost of tuition alone (not including books, living expenses, transportation, entertainment, etc.) is:

$8,756 in Ontario
$6,969 in Nova Scotia
$2,655 in our easternmost province
$2,350 for the police foundations program at Georgian College
$4,466 for the police foundations program at Laurentian University in the same buildings with the same teachers as Georgian College

Some Provinces are coming up with a new secret tactic

Newfoundland and Labrador have replaced student loans with needs-based grants, essentially wiping out tuition costs. Prince Edward Island and Nova Scotia don’t charge interest on these loans but there are still too many people who are being crushed by a mountain of student debt. Recently, the Ontario Liberal government announced in its recent budget that it is combining existing programs to create an Ontario Student Grant, which would pay for average college or university tuition for students from families with incomes of $50,000 or less.

The Canadian Federation of Students has called on the federal government to make tuition at university and college free for all students but that’s not going to happen.

So the new secret tactic is free university tuition? It may be a nice idea but who’s going to pay for it?

What to do if you have too much debt

Unfortunately, we can’t solve the student debt issue where during studies, or after graduation, (former) students have debt they cannot afford to repay. However, we are experts in dealing with debt.

If you’re a student loan recipient who’s thinking of declaring bankruptcy or you’re being strangled by general financial obligations that you can’t meet, contact Ira Smith Trustee & Receiver Inc. Given immediate action and the right financial plan, we can have you on your way to a debt free life Starting Over, Starting Now. Watch for our blog next Tuesday when we’ll be discussing Student Loan Debt: Will Bankruptcy Eliminate It If You Are Not The Student?

Tags Bankruptcy, financial plan, free tuition, Ira Smith Trustee, starting over starting now, student debt, student debt bankruptcy, student loan, student loan debt, trustee

Brandon Blog Post

#VIDEO – SURPLUS INCOME LIMITS FOR 2015, 2016 & BEYOND: YOU WILL REALLY FEEL IT IN YOUR BANKRUPTCY #

Post author By Brandon Smith
Post date April 13, 2016

Our inspiration for this vlog

This vlog was inspired by our new eBook: PERSONAL BANKRUPTCY CANADA – Not Because You Are A Dummy, Because You Need To Get Your Life Back On Track, which is sold on Amazon.com. The eBook explains the Canadian personal insolvency and bankruptcy system, specifically directed to the person stressed out with too much debt.

The most asked question is about surplus income limits

The question we are always asked is: What are the surplus income limits for 2015 and 2016 if I am in bankruptcy? I don’t have any cash left over from each paycheque, so, how can you say that I have surplus income?

What are the surplus income limits for 2015, 2016 and beyond?

Surplus income is the amount of a debtor’s total income that exceeds what is necessary to maintain a reasonable standard of living according to the standards set by the Office of the Superintendent of Bankruptcy (remember, the actual standard is right at the poverty line so don’t get happy when you see words like “reasonable standard of living”). The bankrupt must make payments out of this surplus income to the Licensed Insolvency Trustee for distribution among the creditors.

It is part of the goals of the Canadian insolvency system that tries to balance the elimination of debt with the rights of creditors to be paid. The surplus income limits for 2015, 2016 and beyond, are set to allow Canadians to maintain what the Superintendent of Bankruptcy calls a reasonable standard of living during the bankruptcy process; the government has set thresholds or limits on net earnings (gross earnings after taxes and deductions) during the bankruptcy process. The Office of the Superintendent of Bankruptcy sets the threshold limits each year and these limits are indexed to inflation.

The threshold is set the same across Canada, regardless of what province or city you live in. So, someone living in the Greater Toronto Area, whose costs for shelter and probably transportation are higher than other parts of the country, will find that the threshold for them is essentially at the poverty line.

An example of how to apply the surplus income limits for 2015 and 2016

Here is an example of how the surplus income amount is calculated. Let’s assume we have a family of 4: a husband, wife and two young children in school. The husband earns (net of income tax) the annual amount of $46,000 and the wife earns (net of income tax) the annual amount of $18,000. To keep it simple, let’s assume that their monthly take-home pay can is their annual amount divided by 12 or a monthly income of $3,833.33 for the husband and $1,500 for the wife. Let’s assume that only the husband has to go bankrupt and not the wife.

The surplus income calculation for 2015 was:

(($3,833.33 + $1,500.00) – $3,831.00) X ($3,833.33/($3,833.33+$1,500)) = $539.90

This means the bankrupt husband will have to pay $539.90 to the Licensed Insolvency Trustee for a period of 21 months if he has never been bankrupt before, or for 36 months, if he has been bankrupt before, according to the Bankruptcy and Insolvency Act (Canada).

The surplus income calculation for 2016 is:

(($3,833.33 + $1,500.00) – $3,882.00) X ($3,833.33/($3,833.33+$1,500)) = $521.57

This means the bankrupt husband will have to pay $521.57 to the Licensed Insolvency Trustee for a period of 21 months if he has never been bankrupt before, or for 36 months, if he has been bankrupt before, according to the Bankruptcy and Insolvency Act (Canada) (BIA).

You cannot deduct your normal monthly living expenses against the monthly income in order to calculate the surplus income limits for 2015 or any other year. However, if the bankrupt has any of the following types of expenses, they can be deducted from income in calculating the surplus income amount.

Child Support
Spousal Support
Child Care Expense
Expenses associated with medical condition
Court imposed fines or penalties that are in process of being paid
Expenses permitted by Income Tax Act that are a condition of employment
Any other debt where the stay of proceeding has been lifted

The surplus income limits for 2015 and 2016, or put another way, the amount the Superintendent of Bankruptcy believes a family, where there is one bankrupt person in a family of four, should have a take-home monthly income of $3,882 or annual family take home pay of $46,584, before the bankrupt person has to start contributing 50% of his or her income for the benefit of the bankrupt’s creditors. That is why we say the Federal government’s idea of a “reasonable standard of living” is really at the poverty line.

What to do if you have too much debt

If you’re in “survival mode” when it comes to your finances, we’ve got solutions for you. Although many people believe that bankruptcy is the only way out of serious debt, that’s not always the case. Ira Smith Trustee & Receiver Inc. can discuss other bankruptcy alternatives with you which include credit counselling, debt consolidation and consumer proposals.

If we get to see you early enough, at the first sign of trouble, you can utilize and implement one of the bankruptcy alternatives, to free you from the burden of your company’s financial challenges to go on to be a productive, profitable employer allowing management to focus on business growth and not be plagued by debt problems. Come in for a no obligation, no fee consultation and let us help you get back on track to living a debt free life Starting Over, Starting Now. Give us a call today.

Tags Bankruptcy, bankruptcy alternatives, Bankruptcy and Insolvency Act, bankruptcy process, BIA, Consumer Proposal, consumer proposals, eBook, Ira Smith Trustee, licensed insolvency trustee, starting over starting now, surplus income calculation for 2016, surplus income limits for 2015

Brandon Blog Post

LOAN SCAMS CANADA VIDEO

Post author By Brandon Smith
Post date April 6, 2016

Haven’t you already written on the loan scams Canada topic?

Yes, we have previously advised you of various loan scams Canada in our previous blogs and vlogs:

“Will these loan scams Canada continue?

For sure loan scams will continue. One main reason is that Canadians on a per capita basis are in debt at the highest level in all of Canadian history, and one of the highest in the entire world! This is a very lucrative and enticing market for the scammers to perpetrate loan scams Canada!

How can I protect myself against loan scams Canada?

There are three general themes in common with all of the loan scams. If you don’t fall for them, that is the best protection. Here is our list of the three common loan scam Canada themes and how to protect yourself:

Never give money or your credit card information over the telephone or in person to someone you don’t know – even if they sound like they’re from an established organization. Request additional information to be sent to you, review it with friends or family, or simply hang up if the whole thing sounds fishy!

It’s important to know that no bank, store or Canada Revenue Agency will ever ask you for your password via email or telephone, so never respond to these requests. If you receive an email that has a sense of urgency requesting personal information, first contact the purported sender to see if the email is legitimate.

Reputable lenders for personal loans will never ask you to pay an up-front insurance or application fee. Also, reputable lenders will never give you a guarantee that you will receive the loan approval before you provide your information. If the person you are dealing with asks for the up-front fee, or guarantees that no one is ever declined, stop dealing with them.

What to do if you have too much debt and not enough cash

Rather than resorting to high interest rate payday loans or to lenders who charge up-front fees in return for all sorts of promises, talk to a licensed insolvency trustee. Contact us now to obtain a solution, before bankruptcy is your only alternative.

We help individuals and companies throughout the Greater Toronto Area (GTA) facing financial crisis to avoid bankruptcy or bankruptcy, if the problems have been left too long without any corrections that need a plan for Starting Over, Starting Now. The Ira Smith Team brings a cumulative 50+ years of experience dealing with diverse issues and complex files, and we deliver the highest quality of professional service. Don’t worry about debt; instead take immediate action.

Tags avoid bankruptcy, Bankruptcy, Canada, Canada Revenue Agency, CRA, credit repair, Ira Smith Trustee, loan scams, loan scams Canada, payday loans, phishing, scams, spear phishing, Vaughan debt counselling

Brandon Blog Post

BANKRUPTCY EXPERTS DISCUSS POSSIBLE DANGER OF USING DIGITAL WALLET APPS

Post author By Brandon Smith
Post date April 4, 2016

bankruptcy experts

Last week we discussed apps that can help you budget. As we’re now moving away from the “cash age” to the “app age” we’d like to explore the use of digital wallets, what bankruptcy experts have to say about the topic and whether they’ll help you budget or blow the budget.

What is a digital wallet

A digital wallet is the equivalent of the physical wallet you have on your desk or in your pocket or your purse. A digital wallet refers to an electronic device that allows an individual to make electronic commerce transactions. This can include purchasing items on-line with a computer or using a smartphone to purchase something at a store. An individual’s bank account can also be linked to the digital wallet. There are two types of digital wallets:

Smartphone app for making financial transactions in a retail store such as the Starbucks app
Desktop app for making credit card purchases online such as PayPal

Our list of the 4 most popular digital wallets

PayPal: One of the most popular and trusted digital wallets, boasting an impressive 173 million users across 203 countries and 26 currencies

Apple Pay: For iPhone, Apple Watch or iPad – simple to use and works with the cards you already have on the devices you use every day

Android Wallet: Google’s mobile wallet app for Android-powered phones – use it to tap and pay in stores and you can use it to make in-app payments

Samsung Pay: Enables you to tap and pay using your Samsung Galaxy phone (only available for use with newer Samsung Galaxy phones such as the Galaxy S6 Edge and/or the Galaxy Note5) at brick-and-mortar locations

Will a digital wallet help you budget of blow the budget?

The only true way to control your spending is to pay with cash or debit because if the money isn’t there, you can’t make a purchase. Digital wallets can enable credit card purchases more quickly and conveniently than having to take out your credit card.

As bankruptcy experts, what we worry about is does using a digital wallet, combined with the ease of online shopping, encourage overspending? The speed at which you can process a payment certainly gives you less time to think about it. If you’re prone to overspending, a digital wallet will help you overspend even quicker. If you’re diligent about staying within your budget, then a digital wallet will be a convenience.

What to do if you’re overspending and deep in debt? Go see one of your local bankruptcy experts – a licensed insolvency trustee

Apps are not going to help you; there is no replacement for the help of a professional trustee. We have the expertise to help you manage your debt and get you back on track to living a financially healthy life Starting Over, Starting Now. Give the Ira Smith Team a call today and book your free consultation.

People consider us bankruptcy experts because we wrote the eBook 12 THINGS A LICENSED INSOLVENCY TRUSTEE MAY NOT TELL YOU!. CLICK HERE to get a free copy of the eBook.

Tags Android Pay, Apple Pay, apps that help you budget, bankruptcy experts, budget, desktop app, digital wallet, digital wallets, Ira Smith Trustee, PayPal, Samsung Pay, Smartphone app, trustee

Brandon Blog Post

#VIDEO – HOUSEHOLD DEBT IN CANADA CRISIS#

Post author By Brandon Smith
Post date March 30, 2016

Household debt in Canada can lead us into crisis

On January 16, 2016, the Office of the Parliamentary Budget Officer (PBO) released its report titled: “Household Indebtedness and Financial Vulnerability“. A summary of the PBO’s findings are:

In the third quarter of 2015, total household debt in Canada reached 171 per cent of disposable income. In other words, for every $100 of disposable income, households had debt obligations of $171. This is the highest level recorded since 1990 and the highest level. The report also found that:

Among G7 countries, Canada has experienced the largest increase in household debt relative to income since 2000. Households in Canada have become more indebted than any other G7 country over recent history.
The Bank of Canada conducted its analysis. It suggests that low-interest rates, higher house prices and financial innovation have contributed to the increase in household indebtedness.
A financially vulnerable household is required to devote a real part of its income to service its debt. It faces greater exposure to negative income and interest rate shocks, and is more likely to be delinquent in its debt payments.
The PBO does not see the trend correcting itself until 2020.

We discussed the issue of rising household debt in Canada in the past

The PBO report produced a graph on household debt ratios

Graph courtesy of the Report of the PBO “Household
Indebtedness and
Financial
Vulnerability” dated January 19, 2016

The PBO’s point in this graphical analysis is that the projected increase in the total household debt service ratio (DSR) to 15.9 per cent would be 3.1 percentage points above the long-term historical average of 12.8 per cent (from 1990Q1 to 2015Q3). It would also be almost one full percentage point above its highest level over the past 25 years, 14.9 per cent , which was reached in 2007Q4.

There is apparently no end in sight for Canadians’ appetite to take on more debt, and it takes more income to service the higher debt. Unfortunately, the only thing that will seem to break this cycle is some shock to the Canadian economic system, and this will not be good news for many who will find themselves strung out on debt and not able to service it when the shock comes.

What to do if you or your company can no longer service your debt?

Is your household debt in Canada out of control? Have those spending habits creeped into your company’s spending? If so, you need to contact us now to get a solution, before bankruptcy is your only alternative.

We help people and companies throughout the Greater Toronto Area (GTA) facing financial crisis in need of restructuring and turnaround, receivership or bankruptcy that need a plan for Starting Over, Starting Now. The Ira Smith Team brings a cumulative 50+ years of experience dealing with diverse issues and complex files, and we deliver the highest quality of professional service. Don’t worry about debt; instead take immediate action.

Call us today. If you or your company is trapped in high debt, you need a professional trustee to help you manage the situation before it reaches a critical stage where bankruptcy or receivership is your only option. We have been able to help many people and companies carry out a successful debt settlement programs or corporate restructuring and turnarounds.

It all began with a first consultation. The first step is a realistic cash-flow budget. Successful completion of restructuring, will free you or your company from the burden of your financial challenges to go on to live a productive, stress-free, financially sound life.

Tags Bankruptcy, bankruptcy alternatives, Debt, debt service ratio, dsr, household debt, household debt in canada, household debt ratio, household debt service ratio, Household Indebtedness and Financial Vulnerability, Ira Smith Trustee, PBO, receivership, restructuring, restructuring and turnaround, starting over starting now

Brandon Blog Post

HAVING TROUBLE BUDGETING? OUR TOP 6 LIST OF APPS TO HELP YOU

Post author By Brandon Smith
Post date March 28, 2016

Spring clean your budgeting

Spring is in the air and it’s time to spring clean your finances. Help can sometimes come in mysterious ways and from mysterious sources. In this case it’s your Smartphone that can help get you on track financially. If you have difficulty understanding your spending habits and managing your money, there are now apps for that. With the help of a budgeting app you’ll have assistance identifying where you’re wasting money, how to pay down debt and how to save money.

Our list of 6 best budgeting apps

Here are six of the best budgeting apps for iPhone and Android for 2016:

Mint for iPhone and Android: Mint simplifies making a budget. It connects to your bank and the app can use your details to help create a personalized budget.
PocketGuard for iPhone and Android: PocketGuard categorizes and organizes your expenses, monthly bills and subscriptions into clear tabs and graphs so you’ll always be on top of your finances.
GoodBudget for iPhone and Android: GoodBudget is an expense and budget tracker that allows you to proactively plan finances ahead of time with the Envelope system of budgeting.
Mvelopes for iPhone and Android: Mvelopes is a money management budget app that allows you to import your bank and credit card accounts and track your spending.
Wally for iPhone and Android: Wally is an expense tracker. It lets you log your expenses with a manual entry or with a photo of your receipt.
Level Money for iPhone and Android: Level Money can detect your income and expenses and then show you what you can spend. The app also helps you figure out how to save for bigger purchases or pay down debt.

What to do if you need more than just budgeting help for your debts

Using a budgeting app is a great preventative measure, but if you’re already deep in financial difficulties, I’m afraid that there isn’t an app for that. You need the help of a professional trustee. We can help restore you to financial health with immediate action and a sound financial plan. Contact Ira Smith Trustee & Receiver Inc. today and Starting Over, Starting Now your financial difficulties will be a thing of the past. Watch for our next blog when we’ll be discussing digital wallets and how they can affect your spending habits.

Tags budget, budgeting, budgeting app, digital wallets, GoodBudget app, Ira Smith Trustee, Level Money app, Mint app, money management, Mvelopes app, PocketGuard app, starting over starting now, trustee, Wally app

Brandon Blog Post

#VIDEO – BANKRUPTCY EXPERTS IN ON: TOP REASONS WHY OTHERS CALL US THAT#

Post author By Brandon Smith
Post date March 23, 2016

Who says you qualify as bankruptcy experts in ON?

Ira Smith Trustee & Receiver Inc. is a licensed insolvency trustee, licensed to practise in the Province of Ontario (ON). In our recent vlog, #VIDEO: CHCH TV BANKRUPT: using shell companies legal but controversial experts say, Sean O’Shea, Global News, December 17, 2015, interviewed various experts on the CHCH TV bankruptcy. Mr. O’Shea sought licensed insolvency trustees as his bankruptcy experts in ON, and the one he chose was our Ira Smith of Ira Smith Trustee & Receiver Inc. We are also contacted by the Toronto Star when they wish clarification on insolvency issues for an article to appear in the newspaper.

So why are we sought out as bankruptcy experts in ON?

Here is our list:

We provide a free first consultation – Part of being an expert is professionalism. An expert licensed insolvency trustee will provide a free first consultation to prove expertise and to lay out all the possible options for the bankruptcy alternatives in addition to discussing the bankruptcy option.
We have the necessary qualifications – Mr. O’Shea checked us out with 3rd parties before determining that he would call our Firm as an expert. The reviews he received from those 3rd parties confirmed to him that he should call us as his bankruptcy expert. How do we know? We asked him why he called us as opposed to the many other licensed insolvency administrators in the GTA and he told us.
We regularly appear in the Bankruptcy Court and the Commercial List Court – We attend normally representing the Trustee ourselves in Bankruptcy Court, and with counsel in the Commercial List Court. We communicate well with and are trusted by the insolvency bar, the Bankruptcy Court Masters and the Commercial List judges. We are up on the Canadian bankruptcy laws and regulations. To me, that is the mark of an expert.
We always first consider the restructuring option – To me the sign of an expert is someone who understands the totality of their industry. An expert can assess a situation and provide the debtor with a range of options. Not all can be done and most of the time each comes with its own set of peculiarities, but we always put all the options on the table for the individual or corporate Director to consider. The amateur uses a cookie cutter with the same answer for every different situation. The expert thinks “out of the box” too. We always think “out of the box”
When you deal with us, our licensed insolvency trustees are always accessible – No matter how small or large the mandate, you will always be able to discuss issues of concern with either Ira Smith or Brandon Smith, our two licensed insolvency trustees. To us, the expert is a professional, and never too busy to be reachable and accessible, no matter what day or time it is. You will find that we provide a great deal of education and information on our website. We provide a great deal of bankruptcy information online. That is also the mark of an expert and professional.
How did you feel after meeting with us – The expert and professional always tries to be reassuring and provide recommendations on how to overcome the personal or corporate financial challenges, while not sugar-coating and always being realistic. That is how you will feel after consulting with us. You may not like what you hear, but it will be the best expert advice we can provide.
Do you regularly practice in the insolvency area – Our practice is limited to the insolvency area. We do not do any other type of work. That is why others call us bankruptcy experts in ON. As a result, we know and can explain in layman’s terms the Canadian bankruptcy laws.
Our experience is in personal insolvency and corporate insolvency – Given the range of experience of our licensed insolvency trustees and other senior staff, Ira Smith Trustee & Receiver Inc. can handle all types of insolvency work from the smallest no asset consumer file to the large complex corporate restructuring under the Canadian Bankruptcy Act, either the Bankruptcy and Insolvency Act (Canada) (BIA) or the Companies’ Creditors Arrangement Act (Canada) (CCAA).
Will you communicate in a prompt manner – Part of being a professional and expert is that we always communicate with stakeholders. It does not matter whether you are the party that referred us the work, you are the Debtor or you are a creditor, if you are a stakeholder, then you deserve timely and accurate communication. That is what being a professional and an expert is all about.
How do you charge for your work – An expert and professional is upfront about the cost of performing the work. We always have that discussion with stakeholders. You will find that we never shy away from that discussion so that there are no surprises for anyone. You will find that although our expertise is as a large firm, our pricing is that of a small firm.

What to do if you or your company has too much debt?

If you or your company are facing financial challenges and do not know what to do, contact Ira Smith Trustee & Receiver Inc., one of the bankruptcy experts in ON. Obtain a free consultation from a licensed insolvency trustee to understand the options available either as an alternative to bankruptcy or of bankruptcy itself. We are professionals, federally regulated, licensed and subject to a strict code of ethics. We can help; Starting Over, Starting Now you can live a debt-free life.

Tags bankruptcy experts in on, bankruptcy information online, BIA, canadian bankruptcy act, canadian bankruptcy laws, canadian bankruptcy laws and regulations, CCAA, Ira Smith Trustee

Brandon Blog Post

AWESOME eBOOK ABOUT THE DIFFERENCE BETWEEN CONSUMER PROPOSAL AND BANKRUPTCY

Post author By Brandon Smith
Post date March 21, 2016

I will give you a money back guarantee that I can teach you the difference between consumer proposal and bankruptcy

We’re so pleased to offer you Ira Smith’s new eBook,” PERSONAL BANKRUPTCY CANADA: Not Because You Are A Dummy, Because You Need To Get Your Life Back On Track”. The world of finance can be very confusing and in particular the insolvency system. The information out there about the Canadian insolvency system, including the topic of the difference between consumer proposal and bankruptcy, seems to be written for industry insiders in industry jargon. Where is the average person experiencing serious financial difficulty going to find the information they need in a language they understand?

What will the book teach me?

Definitely. Ira recognized the need for up-to-date information on the topic written in real people speaks “PERSONAL BANKRUPTCY CANADA: Not Because You Are A Dummy, Because You Need To Get Your Life Back On Track” was borne. It truly is a step by step guide about the Canadian insolvency system and tackles some of the pressing questions that we receive including:

Can explain the language of bankruptcy, all the technical terms, in plain English for me, please?
What is bankruptcy?
What can bankruptcy do for you?
What should we know before deciding to file for bankruptcy?
Will bankruptcy wipe out all of my debts?
Will bankruptcy get rid of the collection agencies that are plaguing me?
Is a consumer proposal like bankruptcy?
If I have a job can I still declare bankruptcy?
Will my salary be garnished if I declare bankruptcy?
Can a debt settlement company fix my problems?
How can rich people go bankrupt?
What is the bottom line difference between a consumer proposal and bankruptcy and which one is better?

So how soon can your eBook teach me?

Right now, if you want. If you’ve been looking for answers to these questions and others like it, click here for your free copy of the eBook. We encourage you to read the eBook before you sit down with a professional trustee and discuss your issues. That way, you will go to your initial consultation already understanding the insolvency system and the difference between consumer proposal and bankruptcy. That way, you can spend the time with the licensed insolvency trustee talking about solutions to your specific situation and not wasting the time with an introduction to the Canadian insolvency system. That is what our eBook is all about.

The Ira Smith Team can help you deal with serious debt. Starting Over, Starting Now we help you get back on track to living a debt free life. Contact us today.

So how can I get the eBook?

There are two ways to get your copy of the new eBook, but only one has a money back guarantee.

No money back guarantee – Purchase the eBook on Amazon.com, but it is against Amazon’s rules to provide you with the money back guarantee. If you wish to purchase it that way, click here:

FULL MONEY BACK GUARANTEE

As a special gift and a reward for reading this blog to the very end, if you click on the picture of the book cover below, you will have the opportunity to obtain the eBook TOTALLY FREE! The book will teach you the difference between consumer proposal and bankruptcy. If you don’t learn anything from our eBook, PERSONAL BANKRUPTCY CANADA: Not Because You Are A Dummy, Because You Need To Get Your Life Back On Track, we will give you back 100% of what you spent!

I don’t mean to be cheeky – but I know this eBook will teach you about the Canadian insolvency and bankruptcy system. Thank you for reading our blog and please obtain your free copy below.

Tags Because You Need To Get Your Life Back On Track, collection agencies, Consumer Proposal, consumer proposal vs bankruptcy, difference between consumer proposal and bankruptcy, Ira Smith Trustee, PERSONAL BANKRUPTCY CANADA: Not Because You Are A Dummy, starting over starting now