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CANADA REVENUE AGENCY SCAMS: IF YOU READ ONE ARTICLE, READ THIS ONE

canada revenue agency scams
canada revenue agency scams

Canada Revenue Agency scams

Canada Revenue Agency, or as it is also known, CRA, has noticed an increase in telephone scams where the caller claims to be from the CRA but is not, and is asking Canadians to beware. There is a CRA newsletter on the issue of Canada Revenue Agency scams and the fake Canada Revenue Agency scammers. These calls are fraudulent and could result in identity and financial theft, or vulnerable people being bullied into making a payment to a bogus Canada Revenue Agency officer. They will try to make you believe that the payment is going to a legitimate CRA account, but it isn’t. There is no such CRA program.

Canda Revenue Agency scams: Anyone is a target

Everyone is at risk of having their identity stolen and it’s easy to be taken in. Most people get a little nervous when they receive a phone call from the CRA; it’s like having a police car driving right behind you even if you’re not doing anything wrong. Recognizing the importance of warning the public about identity theft, we have already published several blogs on the subject:

Canada Revenue Agency scams: It will never happen to me, right?

A recent event prompted us to reach out and let you know that anyone can be a target. Ira Smith of Ira Smith Trustee & Receiver Inc. recently received a voicemail at home from someone claiming to be from CRA collections. Being a seasoned, professional trustee and aware of the recent uptick in identity fraud scams, Ira was immediately on guard when the caller asked him to have his SIN number ready for security purposes. Ira Googled the phone number that was left on the voicemail and sure enough, it was a scam.

Click below to listen to the CRA scam voicemail

Canda Revenue Agency scams: Do the RCMP know about this?

According to Corporal Josée Rousseau of the RCMP’s anti-fraud department, police first started seeing the scam two years ago. Callers work from boiler rooms and randomly phone people from purchased calling lists. They tell their victims they’re from Canada Revenue Agency, and they owe money in unpaid taxes. The RCMP also stated the callers are aggressive and often claim they will come to the victim’s house and arrest them if the money is not paid. They say many of the callers speak with a foreign accent and insist the money be paid immediately, either by credit card or via Western Union.

If you get a call from someone claiming to work for the CRA and want to confirm the authenticity of the call contact the CRA at 1-800-959-5525 for business-related calls and 1-800-959-8281 for individual calls. Or you can do as Ira did and Google the number and see what other people are reporting.

Canda Revenue Agency scams: Tips to identify possible scams

Here are some tips from the Canada Revenue Agency to help you identify possible tax scams:

The CRA:

  • never requests prepaid credit cards;
  • doesn’t ask for information about your passport, health card, or driver’s license;
  • does not share your taxpayer information with another person, unless you have provided the appropriate authorization; and
  • never leaves personal information on your answering machine or asks you to leave a message containing your personal information on an answering machine.

When in doubt, ask yourself the following:

  • Is there a reason that the CRA may be calling? Do I have a tax balance outstanding?
  • Is the requester asking for information I would not include on CRA forms with my tax return?
  • Is the requester asking for information I know the CRA already has on file for me?
  • How did the requester get my email address or telephone number?
  • Am I confident I know who is asking for the information?

If you have too much debt you need to take action NOW

Have you been a victim of identity theft or financial theft? If for any reason you’re facing serious financial difficulties, contact Ira Smith Trustee & Receiver Inc. today. We will review your file and take immediate action to get you back on a path towards debt-free living Starting Over, Starting Now.

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407 ETR DEBT SETTLEMENT: OUR NEWEST GUILT FREE WAY TO DO IT

407, 407 ETR, 407 ETR debt, 407 ETR debt settlement, Matthew David Moore, bankruptcy, Supreme Court of Canada, SCC, Bankruptcy and Insolvency Act, BIA, 407 debt, debt settlement, 407 debt settlement, plate denial, Moore Decision, Highway 407 Act, professional trustee, trustee, trustee in bankruptcy, Superintendent of Bankruptcy, bankruptcy alternative, credit counselling, debt consolidation, consumer proposal, 407 ETR bill, starting over starting now, Ira Smith Trustee407 ETR debt settlement

This 407 ETR debt settlement blog was reviewed earlier this week by Mr. Brian Empey, Partner, Goodmans LLP. We wish to express our thanks to Mr. Empey who made a valuable suggestion which we incorporated.

We have updated this blog for 2018 where 407 ETR has implemented some changes. Check out our blog 407 ETR RATES: THE ONLY 407 ETR RATES DEBT SETTLEMENT PLAN GUARANTEED TO ACTUALLY WORK for the update.

 

In January 2014 in our blog titled 407ETR FAIRNESS-ONTARIO COURT OF APPEAL ENSURES FRESH START we described to you the decision of the Court of Appeal for Ontario in 407 ETR Concession Company Limited v. Superintendent of Bankruptcy (In the Matter of the Bankruptcy of Matthew David Moore) (the Moore Decision).

The highway’s owners appealed that decision to the Supreme Court of Canada (SCC). On Friday, November 13, 2015, the SCC released three decisions all dealing with the same basic issue: does the federal Bankruptcy and Insolvency Act (BIA) take paramountcy over provincial laws purporting to deal with the issue of debt and bankruptcy in Canada. The SCC answer was a resounding YES!

What did the SCC decide about the provincial law about 407 debt settlement?

The SCC dismissed the appeal of the ETR. The SCC considered whether the plate denial provisions of the Highway 407 Act conflicted with the discharge provisions of the BIA. ETR’s position was that provincial law about plate denial should apply following a person’s discharge from bankruptcy. The Attorneys General for several provinces, including the Province of Ontario, advanced positions in support of the provinces’ jurisdiction to legislate in vehicle licensing.

The SCC’s decision upheld the Moore Decision which found that the discharge provisions of the BIA override the plate denial provisions of the Highway 407 Act.

What is the effect on ETR debt settlement?

The effect of the SCC’s decision is that pre-bankruptcy amounts owed to the ETR are deemed to be provable claims under the BIA and can no longer be collected through plate denial under the Highway 407 Act following a customer’s discharge from bankruptcy. Therefore, 407 etr debt settlement is possible.

Where a person has been discharged from bankruptcy and has pre-bankruptcy amounts in plate denial, which are provable claims under the BIA, 407 ETR will credit these amounts (plus interest and fees incurred on those amounts) on the person’s 407 ETR bill, upon receipt of a Notice of Bankruptcy, and an Order of Discharge or a Certificate of Discharge.

In both cases, once the amount owing is credited, then the person is free to get plate renewal from the Province.

What will 407 ETR do next?

407 ETR must and is abiding by the SCC decision. They will set up a protocol whereby those who have already been discharged from bankruptcy and have been denied a plate renewal will be able to prove they have been discharged, get the 407 ETR debt, including penalty and interest, reversed, and get a plate renewal.

Those who are still in the middle of their bankruptcy proceedings and not yet discharged will be able to apply to have a plate renewal, once they are discharged from bankruptcy and prove it to 407 ETR.

Interestingly enough, there was no evidence whatsoever in any of the Court cases, including this one before the SCC, as to the 407 ETR’s right to deny anyone credit. When you get your transponder, the 407 ETR is actually extending credit to you, in the form of use of the toll highway in return for the toll charges they expect you to pay. It is no different from the bank loaning you money, and expecting you to repay it in full, with interest.

Will 407 ETR deny extending credit to discharged bankrupts? Will they only issue a new transponder to discharged bankrupts who give them a large cash deposit so that use of the 407 ETR will only be on a “cash and carry” basis? We don’t know, they have so far been silent on the issue, but it is still early in the game.

Do you need 407 etr debt settlement and a plan for your other debts too?

Instead of going deeper into debt seek help from a professional trustee, even if you’re not considering bankruptcy at this stage. A trustee in bankruptcy 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 counselling, debt consolidation or a consumer proposal or 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.

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#VIDEO – CONSUMER PROPOSAL FAQS: SECRETS FOR FENDING OFF BANKRUPTCY #

Consumer proposal faqs

We have made this video to answer the Consumer Proposal FAQs that we are normally asked. This information will hopefully help you understand better how it can help you clear your debts and AVOID bankruptcy.

In addition to this video, you can also check out other blogs and vlogs we have written on Proposals:

The most asked FAQs

The most asked of the FAQs is – What are the advantages? The main ones are:

  • You keep all of your assets
  • Actions against you by unsecured creditors, such as wage garnishments will be stopped
  • Unlike informal debt settlement, the proposal process is a forum where all of your creditors must deal with your restructuring
  • You don’t have to declare bankruptcy

Too much debt? Get the help you need now!

We hope you enjoy this video about consumer proposal FAQs. Click on this link to find out more. You can also have many of your questions about personal bankruptcy answered by clicking on our Bankruptcy FAQs link.

Instead of going deeper into debt and just putting your head in the sand like an ostrich, heed the advice of your grey divorce support groups and contact us today. Seek the help from a professional trustee, even if you’re not considering bankruptcy at this stage.

A trustee in bankruptcy 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 counselling, debt consolidation or a consumer proposal or 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.

consumer proposal faqs

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THE THREE THINGS GREY DIVORCE SUPPORT GROUPS NEED TO DO

debt, gray divorce, gray vs grey, grey divorce, grey divorce support groups, grey divorcees, professional trustee, trustee in bankruptcy, bankruptcy alternative, credit counselling, debt consolidation, consumer proposal, bankruptcy, retirement, retirement savingsGrey divorce support groups need to show you the sticker shock!

According to Statistics Canada, “grey divorce” has been steadily growing among those 55 and over and “gray divorce” has been growing for Americans 50 and older. Regardless of the gray vs grey spelling, the issues are the same on both sides of the border.

Canadians are struggling with debt, even those that are married and have the advantage of two incomes. However, once you separate your finances from one another and create two independent lives and lifestyles, the sticker shock sets in.

Grey divorce support groups know this only too well from their experience of counselling many who have come down this path before you. Housing is the most expensive item to fund and maintain on your own; and all of the other expenses that were essentially shared, are now the financial burden of one instead of two.

Grey divorce support groups need to teach you what Investors Group has to say

According to Investors Group:

  • 80% of grey divorcees (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-divorce 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 divorce
  • 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

Grey divorce support groups need you to understand your true income needs

As a result of grey divorce many Canadians are not only to delaying their retirement plans, they are falling into debt and dealing with it by accumulating more debt. This is a recipe for financial disaster.

Contact us today

Instead of going deeper into debt and just putting your head in the sand like an ostrich, heed the advice of your grey divorce support groups and contact us today. Seek the help from a professional trustee, even if you’re not considering bankruptcy at this stage. A trustee in bankruptcy 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 counselling, debt consolidation or a consumer proposal or 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.

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# VIDEO – FINANCIAL INFIDELITY HELP: USE THESE SECRET STRATEGIES TO SAVE YOUR MARRIAGE #

Financial infidelity meaning

Financial infidelity occurs when couples with joint finances lie to each other about money. For example, one partner may hide significant debts in a separate account while the other partner is unaware.

Couples need financial infidelity help

The media describes the topic of financial infidelity often. We have also written about financial infidelity help advice in the past:

Studies show for financial infidelity help

The noted UK publication, The Guardian, recently published its article “Financial infidelity: how to prevent money secrets from hurting a marriage”. In the article, they noted that:

  • in 2011, the National Endowment for Financial Education discovered that 31% of Americans who responded to a poll admitted lying to their partners about their finances
  • 67% of respondents said the secrets – when revealed – led to arguments, 42% said it damaged trust, and 16% said it even led to divorce
  • their updated survey in 2013 showed an increase from 31% to 33% of respondents

9 signs that financial infidelity help is required

Entrepreneur Magazine recently published an article titled “9 Signs of Financial Infidelity”. That article listed them as:

  • New spending patterns
  • Excessive shopping
  • Fat brokerage statements
  • Moodiness
  • Sudden changes in compensation
  • Recent purchases of art or antiques
  • Newly opened accounts
  • Signing documents without review
  • Lack of communication

We can provide financial infidelity help to get you out of debt

When it comes to marriage finances, honesty is the best policy. If you have committed financial infidelity or have been the victim of financial infidelity, you may be in serious financial jeopardy. Don’t wait until you are out of options. Contact a professional trustee as soon as possible. The Ira Smith team is a full service insolvency and financial restructuring practice serving companies and people throughout the Greater Toronto Area (GTA) facing financial crisis or bankruptcy that need a plan for Starting Over, Starting Now. We can help. Call today.

financial infidelity help, financial infidelity, financial infidelity in marriage leads to divorce, marriage, finances, debt, relationships, trustee, Toronto, starting over starting now

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10 WAYS A PAYDAY LOAN CHARGES ILLEGAL INTEREST

PAYDAY LOAN COMPANIES
PAYDAY LOAN COMPANIES

best online payday loan companies, can payday loan companies sue you, payday loan companies, payday loans companies, payday lenders, alternative lenders, fringe lenders, new payday loan companies, online payday loan companies, payday loans online, payday loan lenders online, payday loan lenders only, payday loans, payday lenders, high risk loans online, safe payday loan companies, starting over starting now, trusteePayday loan lenders only no credit checks are predators

There are 10 ways a payday loan charges an illegal interest rate. Payday loan companies (also known as alternative lenders, fringe lenders and high risk lenders) are predators. Payday lenders prey upon the population that can least afford it – people in financial difficulty who don’t qualify for a loan from a traditional financial institution because they deem them too high risk. Some of these predators don’t even have to pay for store fronts as many are payday loan lenders online and issue a payday loan online only.

There is no such thing as the best online payday loan companies

The legal limit for interest rates on a loan is 60% per annum according to the Criminal Code of Canada. So how do online payday loan companies get away with charging way over 60% for payday loans online?

The ten ways payday loan companies charge illegal interest

They get away with it by charging fees instead of calling it interest, however the Criminal Code of Canada considers the following interest, which are all charged on a payday loan:

  1. Interest
  2. Administration fees
  3. Setup fees
  4. Processing fees
  5. Convenience charges
  6. Verification fees
  7. Brokers’ fees
  8. Collection fees
  9. Loan repayment fees
  10. Renewal fees

What does this mean in dollars and cents? Service fees for high risk loans online usually cost $10 to $35 for every $100 borrowed, or 10% to 35% of the amount of the loan. A $300 payday loan, due in two weeks, may cost you between $30 and $105, depending on the fees that apply. This is the amount that you’ll owe in two weeks! Not a per annum interest rate! As you can see in almost all cases these charges by this type of lender only will push the true interest rate for payday loans way above the legal limit of 60% per annum.

Are new payday loan companies regulated?

Alternative lender companies online, or in store fronts, new or old, are privately owned and not regulated by the federal government; however, several provincial governments have taken payday lenders to court over the amount of interest and fees that they charge for these high risk loans. In the U.S. 25 states have passed laws against predatory lending, placing restrictions on high-cost loans.

Can payday loan companies sue you?

The answer is yes, but it will be worth your while to challenge the fees charged by payday loans online (which are actually interest in disguise) and allow yourself to be taken to court. Otherwise the consequences can ruin you financially. There are many cases where when people defend and show they are not intimidated, these companies do not pursue the lawsuit.

There was a recent case in the U.S, where a $1,000 loan ballooned into a $40,000 debt and the worst part was that it was legal. A woman in St. Louis borrowed $1,000 from an alternative loan company and like many, she couldn’t pay it back in time. The lender sued her and even though she agreed to pay it back in instalments, the loan continued to grow at 240% interest. Investigative journalists stepped in and the case settled quietly. Had there been no settlement the $1,000 loan would have ballooned to $40,000.

For more information on the risks of payday loans online please review our blogs on the subject:

What should you do?

There is never a good reason to take out a high risk loans online. There is also no such thing as safe payday loan companies. Contact a professional trustee instead. The Ira Smith team can help. Starting Over, Starting Now you can take the first step towards financial health.

 

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FINANCIAL INFIDELITY: DON’T WAIT FOR YOUR SPOUSE TO CHEAT BEFORE DISCUSSING MARRIAGE FINANCES

financial infidelity, financial deception, credit card, credit score, budget, balanced budget, trustee, financial restructuring, bankruptcy, starting over starting now

Financial infidelity: Introduction

Financial infidelity is on the rise and for some strange reason marriage finances is a taboo subject for many married people. Spouses are lying to each about how much they earn. Forty percent (40%) could not correctly identify which salary range their spouse falls into. Couples are not being honest about what they spend, what they spend it on and the amount of debt that they are carrying. As you will see below, financial infidelity is a major issue. Couples break their promise of being financially faithful to each other.

Financial infidelity: What some studies say

A new study from the National Endowment for Financial Education conducted with Harris Interactive reports:

  • 33% of people who have joint accounts said they have committed financial infidelity
  • 35% said they have been the victim of their spouse’s financial deception

According to CreditCards.com:

  • 2 million Americans have a bank account or credit card that their spouse doesn’t know about
  • 20% of Americans have hidden a purchase of $500 or more from their significant other

Financial infidelity: We can help get you back on the right path

Financial infidelity can be a “recipe for disaster,” said Matt Schulz, a senior analyst at CreditCards.com. “It’s incredibly difficult to keep a household budget when you don’t know how much money is coming in and out, he said. It could lead to late bill payments, which can harm your credit score”. As we have previously discussed, a balanced budget is to financial health what a balanced diet is to physical health.

When it comes to marriage finances, honesty is the best policy. If you have been either the perpetrator or the victim of financial infidelity, you may be in serious financial jeopardy. Don’t wait until you are out of options. Contact a professional trustee as soon as possible. The Ira Smith team is a full service insolvency and financial restructuring practice serving companies and people throughout the Greater Toronto Area (GTA) facing financial crisis or bankruptcy that need a plan for Starting Over, Starting Now. We can help. Call today.

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EMPLOYMENT CREDIT CHECK IS LIKE A SCHOOL BULLY

credit, credit check, credit score, credit risk, credit report, credit rating, employment credit check, starting over starting now, trusteeCan the employment credit check beat you up? We previously discussed whether bad credit could hurt your job search. Now we know that an employment credit check certainly can. Even though a credit score was designed to predict whether or not you’re a good credit risk when you apply for a loan, a credit card, mortgage, a car lease, etc., more often than not you now have to submit to an employment credit check when applying for a job. But, should a potential employer be allowed to check your credit score and not offer you a job if you have a low one?

It sounds punitive, doesn’t it? After all, how can anyone improve their credit score without a good paying job? “There’s a certain irony that the people who are most vulnerable and who most require access to jobs could be discriminated against because they have poor credit ratings,” said Murray Rowe Jr., president of Forrest Green, a Richmond Hill-based credit advisory group.

Several states in the U.S. agree. California, Connecticut, Hawaii, Illinois, Oregon, Vermont, and Washington have enacted measures limiting the use of credit reports and the employment credit check when determining whether a person is the right fit for a job. New York City recently announced that lawmakers are expected to pass a bill prohibiting employers from reviewing the credit histories of prospective workers. And, according to a New York-based think tank, the application of credit reports has moved far beyond their intended purpose.

The federal government of Canada doesn’t agree. In fact it recently introduced mandatory credit checks as part of a new security screening procedure for public servants. Two unions representing federal employees object to the employment credit check policy and call it an unnecessary invasion of privacy.

Regardless of where you stand on the issue of employment credit check, the one thing that we can all agree on is that serious financial issues can jeopardize more than your bank account. It’s very important to deal with your financial problems as soon as possible with the help of a professional trustee and to not let them bully you. Contact Ira Smith Trustee & Receiver Inc. today. Starting Over, Starting Now you can live a debt free life and have the confidence to apply for the job of your dreams.

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SENIORS ACQUIRING MORE DEBT DELAYS RETIREMENT

debts, debt, retirement, credit counselling, credit card debt, line of credit, trustee, starting over starting now, seniors acquiring more debtSeniors acquiring more debt seems to be more the norm than the commercials featuring retirees driving convertible sports cars, travelling to exotic locations and wining and dining in upscale restaurants, you’ve no doubt watched. The question that seniors acquiring more debt must be asked is will debts prevent your retirement?

Seniors acquiring more debt are not going to be living the life of luxury depicted on television. How many of you are drowning in so much debt that retirement isn’t even an option? According to the BMO Retirement Institute debt is the number one barrier preventing Canadians from saving for retirement and that their priority should be to retire free of debt, including a home mortgage.

The reality is:

  • National Foundation for Credit Counseling says one-third of its 3 million clients last year were 55 or older.
  • More than 41% of families with heads of household between age 55 and 64 had credit card debt in 2010 (up from 33% in 1989), according to the AARP Public Policy Institute and the Demos research group.
  • The median total debt for 55- to 64-year-old households is $76,600, says the Employee Benefits Research Institute.

Among those retired Canadians with debt, a Harris/Decima poll for CIBC found:

  • 37% are juggling two or more debt payments a month
  • 39% are carrying credit card debt
  • 30% have debt on their line of credit
  • 16% are carrying debt on their mortgage, and
  • 14% have loan debt

What should seniors acquiring more debt, or anyone with too much debt, to get debt under control? Make a budget, stick to it and pay down high interest debt like credit card debt. If these measures are not enough to deal with your debt issues, you need professional help.

Seniors acquiring more debt should contact a professional trustee as soon as possible. The Ira Smith team are here to help. With a cumulative 50+ years of experience, we deliver the highest quality of professional service. We offer practical advice so you can clearly see the way to move forward Starting Over, Starting Now. Contact Ira Smith Trustee & Receiver Inc. today.

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MILLENNIALS DEBT; A PLAN FOR ESCAPE

I recently read an article on millmillennials, millennials debt, Gen Y, Boomers, Baby Boomers, bankruptcy alternatives, debt, student loan debt, trustee, bankruptcy, credit, counselling, debt consolidation, consumer proposals, restructuring and turnaroundennials debt that actually referred to Millennials as “The Generation of Debt”. We recently reported on this very serious problem in our blog “Gen Y Trapped: Millennials in Debt”. Pew Research reports that Millennials are more distrustful of people than ever, less likely to belong to a party or religion, more in debt, and say they are unable to marry because they lack a solid economic foundation. In addition Millennials are also the first in the modern era to have higher levels of student loan debt, poverty and unemployment, and lower levels of wealth and personal income than their two immediate predecessor generations (Gen Xers and Boomers) had at the same stage of their life cycles.

I found this millennials debt issue particularly interesting because just a few days ago I had a conversation with a Millennial who said that her friends felt disenfranchised and angry with the Baby Boomers who have enjoyed benefits that they expected and will never have like company defined pension plans and old age security benefits at age 65.

Clearly one of the major issues is that Millennials had expectations but no financial plan and many are now trapped in a debt cycle that they don’t know how to escape. Millennials debt is a problem that needs to be dealt with as soon as possible. And dealing with debt is not a DYI project. If you’re a Millennial facing serious debt issues and an uncertain financial future, contact a professional trustee. Contact Ira Smith Trustee & Receiver Inc. There are many ways to deal with debt as well as bankruptcy which include credit counselling, debt consolidation and consumer proposals.

We’re here to help. We can discuss with you the various bankruptcy alternatives for the restructuring and turnaround of millennials debt and your entire financial life leading to your overall well-being. We can put you back on the path to lead a healthy and productive life so that you can escape the millennials debt trap. Make an appointment with the Ira Smith team today so that Starting Over, Starting Now you can live a happy, productive, debt free life.

Call a Trustee Now!