Credit Cards

Credit Cards
What happens to my credit cards when I file a consumer proposal or assignment in bankruptcy?

Upon making an assignment in bankruptcy or consumer proposal, the bankrupt or debtor is required to surrender all of their credit cards to their Trustee in Bankruptcy who will destroy them.
However, you may continue to use supplementary cards provided by your spouse, or employer as long as you are in no way responsible for the account itself.

Can pre-paid Visas be used after filing a consumer proposal or assignment in bankruptcy?

Yes, a bankrupt or debtor may use pre-paid visas as no credit is extended.

What are a bankrupt or debtor’s other options?

A debtor who filed a consumer proposal can apply for a secured visa immediately after filing their consumer proposal, while a bankrupt can apply for the same secured visa after obtaining their discharge.  For a link to a reputable secured visa provider, click here.

A word on credit

Filing a Consumer Proposal or assignment in Bankruptcy does not mean the permanent end of good credit.  For more information on rebuilding your credit after bankruptcy or a consumer proposal click here.

Conclusion

If you are dealing with too much debt and don’t know where to turn then give us a call.  We always offer free consultations at any of our six convenient locations.  What are you waiting for?  You’ve got nothing to lose except your debt!