Canada’s #1 directory of Nationwide Trustees in Bankruptcy
Below is a list of industry links, cool tools and terms used within this website for consumers insolvency, bankruptcy, consumer proposals and debt management.
Association for Independant Consumer Credit Counselling Agencies
United States national association of Credit Counseling Agencies, affliated members of Credit Counselling for Canada. Tips, tools, member listings of Independent Consumer Credit Counseling Agencies
Association for Credit Counselling Professionals
The Association of Credit Counseling Professionals is the credit counseling industry’s newest and fasted growing trade association.
Bankruptcy and Insolvency Act – BIA
Bankruptcy and Insolvency Act, a federal statute governing bankruptcy and insolvency in Canada, which is applicable to all provinces and territories.
Canadian Association of Insolvency and Restructuring Professionals – Canadian Association of Insolvency and Restructuring Professionals is the national professional organization representing trustees in bankruptcy, receivers, agents, monitors and consultants in insolvency matters.
Canadian Association for Credit Counselling Services
The Canadian Association of Credit Counselling Services (CACCS) represents a Canada-wide network of accredited, not-for-profit agencies and affiliates offering preventive education and confidential services to clients experiencing financial difficulties.
Consumer Risk Predictor score (CRP), a risk assessment tool based on more than 400 consumer credit file attributes and that predicts the likelihood of 90-day past due credit delinquency within the next 24 months.
Dealing with Debt: A Canadian Guide for Consumers
Recognize the danger signs, know your alternatives and where to go for help, material and handbook from the Government of Canada.
Ontario Association of Credit Counselling Services.
The aim of OACCS is to enhance the personal financial well-being of Canadians through financial literacy, education and industry leadership. OACCS establishes and regulates uniform standards of practice, knowledge, skills and ethics for the Credit Counselling and Financial Coaching profession.
Superintendant of Bankrutpcy- Bankruptcy in Canada is governed by the OSB, Office of the Superintendent of Bankruptcy. Bankruptcy and compliance to the BIA is controlled through this government body.
Glossary of Terms used in Insolvency List of terms and definitions of Insolvency terms according to the OSB
CCAA Companies’ Creditors Arrangement Act. Department of Justice, regulations and rules for creditors claims.
Certificate of Full Performance of Proposal
A document issued by the trustee or administrator once a debtor has fully performed his or her obligations under the proposal.
Chartered Insolvency and Restructuring Professional a professional designation given by CAIRP to those who meet the Association’s standards for admission, complete the prescribed course of study and pass the required examinations.
The release of a debtor from the obligation to repay his or her debts. A bankrupt’s discharge may be automatic, suspended, conditional or absolute. A bankrupt may also be refused discharge. The discharge is issued by the court.
A simplified process to make a proposal for repayment of debt to creditors, available under the Bankruptcy and Insolvency Act to a consumer debtor whose aggregate debts, excluding any debts secured by the person’s principal residence, do not exceed the amount prescribed in the Bankruptcy and Insolvency Act.An individual or business who gave credit to a debtor, which has not been repaid, and which can be proved to exist under the Bankruptcy and Insolvency Act. See Secured Creditor and Unsecured Creditor.
A simplified process to make a proposal for repayment of debt to creditors, available under the Bankruptcy and Insolvency Act to a consumer debtor whose aggregate debts, excluding any debts secured by the person’s principal residence, do not exceed the amount prescribed in the Bankruptcy and Insolvency Act.
One who owes money to another.
Discharge From Bankruptcy
The release of a debtor from the obligation to repay his or her debts. A bankrupt’s discharge may be automatic, suspended, conditional or absolute. A bankrupt may also be refused discharge.
A debtor whose discharge is not opposed by the Superintendent of Bankruptcy, the trustee or a creditor and who has not refused or neglected to receive counselling, is automatically discharged after 9, 21, 24 or 36 months, depending on whether it is a first or second bankruptcy. The discharge also depends on whether or not the bankrupt is required to pay a portion of his or her surplus income into the bankruptcy estate per the standard established by the OSB.
Order of Absolute Discharge
This official document issued by the court relieves the debtor of the debts incurred before the debtor declared bankruptcy, taking under consideration the exceptions provided in the Act.
Order of Conditional Discharge
The court may impose certain conditions that must be met before a person’s discharge becomes absolute. For example, the Court may require you to pay an amount to your trustee for distribution to your creditors.
Order of Suspended Discharge
The court orders a delay so that the discharge will not be effective until a certain date.
Division I Proposal
Similar to a consumer proposal but designed to faclilitate individuals who have debt in excess of $250,000 and for use by businesses. A legally binding offer under the Bankruptcy and Insolvency Act from a debtor to their creditors to pay unsecured debts in a manner different from the existing terms.
Debt managment plan, set up by credit counselors, usually offer reduced payments, fees and interest rates to the client.
A legal process whereby a creditor requires a third party to turn over to the creditor, a debtor’s property such as wages or bank accounts.
The condition of being unable to pay debts as they become due, or in the ordinary course of business, or having liabilities that exceed the total value of assets.
Notice of Intention to File a Proposal
A legal document filed with the Official Receiver stating that the debtor intends to file a proposal. The document is to include the name and address of the licensed trustee who has consented in writing to act as the trustee under the proposal and the names of the creditors who are owed $250 or more and the amounts of their claims. The filing of this document triggers the protection afforded to insolvent debtors under the Bankruptcy and Insolvency Act.
An offer to creditors to settle debts under conditions other than the existing terms. It is a formal agreement under the Bankruptcy and Insolvency Act.
A person holding an instrument such as a mortgage or a lien on or against the whole or part of the property of a debtor as security for a debt due him from the debtor. Secured creditors in general will have preferred status during any insolvency process.
The debt is created through financing an asset and is linked solely in whole or part to that asset or item. Whether it be household contents, homes, vehicles, any financing will have secured creditors.
Property or asset given or pledged to guarantee the fulfilment of an obligation, e.g. for the payment of a loan.
The ability of an individual or a business to pay debts as they become due.
Superintendent of BankruptcyThe Office of the Superintendent of Bankruptcy, A federally appointed official who oversees the administration of the Bankruptcy and Insolvency Act in Canada..
Superintendent’s StandardsBased on the Superintendent’s Standards and a fixed formula, the amount of income that a bankrupt individual must pay into their bankruptcy estate.
The portion of an individual bankrupt’s income that is required to be paid into the bankruptcy estate during the bankruptcy as per standards established by the OSB
Trustee in Bankruptcy
A professional in Canada licensed by the Superintendent of Bankruptcy to administer bankruptcy and proposal estates.
A creditor who advances credit without taking any rights against the property of the debtor.
A specific sum of money owed to a creditor for which no security rights against the debtor’s assets were given or guaranteed. This type of debt usually consists of bank credit card debt, retail store debt, cell phone bills, utility bills. Rent is not considered unsecured debt.