The state of being bankrupt is termed bankruptcy. Being bankrupt refers to an individual’s state where they cannot pay their debts or obligations. Bankruptcy refers to the legal proceedings carried out when a person is bankrupt.
In the beginning stage of the process, a petition is filed, mainly done by the debtor and rarely by the creditors.
The following process is the evaluation of the assets of the debtor. All the assets of the debtor are measured and evaluated thoroughly. A portion of the debt can be paid back with the assets.
Bankruptcy is the process that allows individual persons or businesses to be free from the hook of debts.
It provides an opportunity for the debtor to make a repayment to the creditors.
When an individual or a company expresses its inability to pay back its debts, it is termed insolvency.
The debtors cannot pay back the debts and are declared insolvent.
Both the terms bankruptcy and insolvency are associated with each other. But there is a difference in their meanings and usage. Bankruptcy is considered a legal procedure, whereas insolvency is a person’s financial state.
The process of combining many loans into one, which is done by taking a new loan to pay off the debts, is known as debt consolidation. Debt consolidation refers to consolidating more than one debt into a loan. The debt is paid off using the amount that is received through the loan.
Various experts and consultants are providing financial advice to the people in Ontario. Some of them are listed below:
Grant Thornton comprises various knowledgeable professionals who can help the debtors with various financial remedies. They are best known for their friendly nature and offer confidence to their customers. And the debtors can arrange a free personal debt consultation for 30 minutes.
Credit Canada guarantees to provide the debtors a stress-free life by making them debt-free through their services. They have various certified credit counselors who can provide various debt relief solutions.
The debtor’s unsecured debt is taken care of by the debt management plan in Ontario through debt consolidation in Ontario.
An attorney who is specialized in the bankruptcy process is known as a bankruptcy lawyer. Bankruptcy is considered a complex process with complicated procedures, and they should have sufficient knowledge about various kinds of bankruptcy.
They are also knowledgeable about the required documents to be filed in court.
Some of the bankruptcy services of a bankruptcy lawyer in Ontario are listed below.
It has various perks, including 30 years of solid experience handling bankruptcy services, and he is experienced in all the chapters and processes of bankruptcy.
One of this consultancy’s main attractive features is that they offer their services at affordable prices, and credit reports are also provided with additional charges.
It is another famous consultancy in Ontario. It consists of various skilled bankruptcy specialists who can help the debtors to lead a debt-free life. They help the debtors to eliminate credit card debt most effectively.
They also help the debtors to eliminate hospital bills, other outstanding bills, creditor calls, wage garnishment, etc.; they help the debtors to keep their house, property, car, fixed assets like furniture, etc.,
The percentage of bankruptcy increased dramatically in 2021, and consumer insolvencies are down, while business insolvency is also lower in 2021 than in the previous year, 2020.
But the, business bankruptcies have increased in the last months of the year 2021. The outbreak of Omicron also caused a rise in insolvencies, and it is also because of the various restrictions imposed due to the pandemic.
Thus, it is clear that bankruptcies and consumer insolvencies increased and decreased respectively in the year 2021. This article also provides information about debt consolidation services and the contacts of famous bankruptcy lawyers in Ontario, a province in Canada.