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Bankruptcy British Columbia BC
Bankruptcy British Columbia
What Assets Can Be Kept by a Debtor In British Columbia?
For anyone who is contemplating bankruptcy in BC ( British Columbia) then the law in BC allows the bankrupt to keep certain assets below a certain value.
Bankruptcy in BC, for some assets is different depending on if a person lives in greater Vancouver, Victoria or in the general province.
The following specifications shows what’s the bankrupt can keep when declaring a bankruptcy in BC.
Bankruptcy British Columbia and A House.
If the bankrupt in BC lives in Greater Vancouver or Victoria than the bankrupt will be allowed to keep a maximum of $12,000 if there’s such equity in the home that they live in.
However if the bankrupt person in BC lives in the other parts of the province excluding Greater Vancouver or Victoria, then this figure drops and the bankrupt will be allowed to keep a maximum of $9000 if there’s such equity in the home that they live in.
Bankruptcy British Columbia and Household Items.
Household items will include everything else in the home including appliances, sofas, beds, other furniture and anything of value in the home. The limits that the law in BC allows the bankruptcy to keep is $4000.
Bankruptcy British Columbia and Vehicles.
A bankrupt in BC will be allowed to keep one vehicle. However the value of that vehicle must not be worth more than $5000. If it is worth more than $5000 in the trustee will seize the vehicle. However if the person who is about to declare bankruptcy in BC is behind on child-support payments, then the value of this vehicle exemption limits will drop to $2000. this limit has been dropped so that the equity can be used to update a backlog on support payments.
Bankruptcy British Columbia and Other Assets.
If the bankrupt in BC utilizes tools to make a living, then such tools are to be exempted up to a maximum value of $10,000. This is been done to enable a person to continue to make income and therefore can support themselves and others.
Other assets will be allowed to be kept such as the value of any clothing or medical aids.
Bankruptcy British Columbia and Pensions.
Bankruptcy BC rules differ from other provinces in Canada in that some of the contributions made for pensions will have to be withdrawn and given to the trustee in bankruptcy which will then be redistributed to the creditors.
In specific we’re speaking concerning the RRSPs and the RRIFs. Bankruptcy BC rules stipulates that all contributions made within the last 12 months will need to be withdrawn and that some will be handed over to the trustee in bankruptcy. Note well that this is only for the last 12 months before filing for bankruptcy in BC and nothing beyond that can be touched.