Bankruptcy Trustee Scarborough Ontario

Are you looking for a bankruptcy trustee in Scarborough Ontario? You can contact us and we will connect you with a debt advisor.

There are also different fields of thought for every sector. Here are some of the other challenges that insolvency professionals face in the business today.

Are you are looking for a licensed insolvency trustee or bankruptcy trustee? Fill out the form on this page. One of our credit experts will call you for a free initial consultation. They will provide you with a credit counselling session. They can then pass you on to a bankruptcy trustee if that’s the correct path for you to take.

You can also contact us on how to avoid bankruptcy. Our team can service all of Ontario. We have experts available in all the major cities in Ontario. Also, if you live in a remote area, the term can help you via email and video conferencing.

Are you planning to file for bankruptcy in Ontario? Insolvency legislation applies equally to everyone who is practicing in the field.  But every Licensed Insolvency Trustee (LIT), or Insolvency Lawyer will interpret bankruptcy law differently. 

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The internet is affecting the way people consume information.  Bankruptcy is a topic that is difficult for people to consume online. It is very complicated and tough to understand on a website.  A consumer debtor is vulnerable when they turn to Google to answer their questions.

Licensed insolvency trustees must do a better job of using the internet as a tool. Further, the internet should be used to guide people who are searching to get the best information.  Licensed insolvency trustees must publish accurate and honest information.

Technology is also changing the business from an operational perspective.  People are expecting to receive documents digitally.  This puts pressure on the paper-based system that the industry relies upon.  The opportunity is to get at the forefront of this and begin offering services digitally.

Is there a way to offer Skype or virtual meetings?  Can the PDF be signed digitally?

Licensed insolvency trustees can also use technology as a resource to communicate with their customers.  Social media is a communication platform.

Why not use it effectively, and connect with that client and create communities. Many people want to learn how to get debt-free. Also, many people want to know how to do debt consolidation.

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Insolvency is heavily regulated, and that is not going to change.  The superintendent of Bankruptcy in Ontario will always control the way the business is done.  The challenge is finding ways to push the edge without crossing that boundary.

One recent example is in the denial of credit counsellors to become proposal administrators.  The decision was made that a credit counsellor can not offer proposals.

As such this regulation offers an opportunity for the Ontario LIT’S. It allows them to have a monopoly on the ability to offer proposals.  Does this now close the door to the consumer? Further, they now may not get the right solution?

This might be because the credit counsellor does not want to refer to the business.  Is the insolvency trustee a true objective and independent advisor?

The regulation also affects the remuneration of a licensed insolvency trustee.  The bankruptcy and Insolvency Act only allows a certain amount of distribution to the LIT. Further, this amount has not changed for over 20 years. However, the cost of doing business is rising every year.

Bankruptcy Trustee Scarborough Ontario

It is just not possible for a layperson to go into bankruptcy. They cannot assume a trustee is going to teach them everything they need to know in a one-hour consultation. Free initial consultations are great, but they are not enough. People who want to use alternatives to bankruptcy need a credit counselling session.

The challenge for an Ontario Licensed Insolvency Trustee is to be independent and objective. Further, they must ensure that person understands the process completely.  The LIT has to ensure the debtor signs off on their knowledge of what they are signing.

Failure to provide proof of this is an issue for LITs. Another challenge is for the LIT to keep up with any new changes in the legislation.

Case law drives new rules and the LIT must ensure they are offering the right advice.

If you need a bankruptcy trustee Scarborough Ontario or a debt advisor, contact us via the form on the side of this page.

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The regulation does keep competition to a minimum, as the barrier to entry is very high in the bankruptcy industry.  However, the internet is driving people to other alternatives that may not be the right move from them.

For example, there are a number of debt consulting companies that say they offer consumer proposals or bankruptcy and mislead the consumer to pay high upfront fees for a solution they cannot provide. Competition is also in the form of alternative financial products.

An Insolvency Professional is at an increased risk for liability today.  Ontario is not as litigious as the United States but it is still a risk for the professional to keep aware of.

Things like improvident realization, or successor employer obligations are becoming more common.  The LIT must meet regularly with the insurance companies to ensure their policy protects them from every risk.

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Time is an asset that is not a friend of the IP.  They must juggle a number of priorities to make the best of an inherently conflict-ridden and difficult situation.  The trustee must act swiftly in order to maximize returns to creditors, and at the same time ensure the debtor’s rights are protected.

It is important to protect oneself with the proper legal advice while not having to impose extra costs on the estate.

Insolvency means change.  Change is difficult for any person or company, no doubt about that.  The Ontario LIT has to be able to face all of these above challenges while maintaining a business that is profitable.

The Superintendant of Bankruptcy as well as the Canadian Association of Insolvency & Restructuring Professionals, are amazing resources for the LIT, to stay on top of the issues.

Are you planning to file for bankruptcy in Ontario? Do you need a bankruptcy trustee in Scarborough Ontario?

If you are looking for a credit counselling session, fill out the form on this page today. Before you file for bankruptcy, speak to a credit expert.