How long does bankruptcies last Ontario?

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Hey there! In Ontario, how long you stay in bankruptcy depends on factors like previous bankruptcies and surplus income. Your first time? It’s typically 9 months unless you earn more than the threshold, which extends it to 21 months. A second bankruptcy can take 24 to 36 months. For more than two, it gets complex with court involvement. Understanding the process helps! Reach out via phone, text, or live chat if you have questions. Not all trustees can be trusted.

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_{Bankruptcy duration in Ontario: 9 to 36 months based on income.}

How Long Bankruptcies Last Ontario Question

How long does bankruptcies last Ontario? I’d like to know how long bankruptcies typically last in Ontario. It’s important for planning my financial recovery.

From: Anonymous Question
Location: London, Ontario (ON)
Category: personal bankruptcy

How Long Bankruptcies Last Ontario Answer

If you’re considering bankruptcy in Ontario, the duration really depends on several factors, especially how many times you’ve filed and whether you have surplus income. If it’s your first bankruptcy, you can expect a 9-month process, provided you’re not exceeding the income thresholds for your family size. However, if you have surplus income—meaning you’re earning more than the allowable limit—it could extend the timeline to about 21 months. Should you find yourself in a second bankruptcy, the process may take 24 months, or even up to 36 months with surplus income involved. For individuals who have declared bankruptcy more than twice, the court typically intervenes, which can complicate matters. But understanding the process and what to anticipate can significantly aid you in navigating through this challenging time. For a detailed overview of personal bankruptcy, check out what personal bankruptcy is.

From: Insider Adam

Office of the Superintendent of Bankruptcy (OSB) Answer

In Ontario, the length of a bankruptcy typically lasts for 9 months if it is the debtor’s first bankruptcy and they have no surplus income. If there is surplus income, the bankruptcy may last up to 21 months. For a second bankruptcy, the duration is usually extended to 24 months regardless of surplus income. These timeframes are outlined in the Bankruptcy and Insolvency Act, RSC 1985, c 11, specifically in sections regarding the discharge process.

From: OSB Helper

Related Questions to How Long Bankruptcies Last In Ontario

Here are the top 5 most frequently asked questions related to the duration of bankruptcies in Ontario, along with brief answers:

1. How long does a first-time bankruptcy last in Ontario?

• Typically 9 months without surplus income, and 21 months with surplus income[1][4].

2. What is the duration of a second-time bankruptcy in Ontario?

• 24 months without surplus income, and 36 months with surplus income[1].

3. Can the duration of bankruptcy in Ontario be extended?

• Yes, it can be extended beyond the standard period if there are multiple bankruptcies or objections from creditors, determined through a court hearing[1].

4. How does surplus income affect the length of bankruptcy in Ontario?

• If you have surplus income, the bankruptcy process can be extended to 21 months for first-time filers and 36 months for second-time filers[1][4].

5. What are the general steps and requirements during the bankruptcy process in Ontario?

• Attend financial counseling sessions, report earnings, make surplus payments if applicable, and surrender non-exempt assets[1][4].

If you have a question about debt see our debt questions or ask your own debt related question.

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