Responsibilities of a Licensed Personal Bankruptcy Trustee in Oshawa

A licensed personal bankruptcy trustee in Oshawa, as well as in the whole of Canada, is a person who is regulated and licensed by the Office of the Superintendent of Bankruptcy (OSB) to provide insolvency services through the BIA. These services include bankruptcy, consumer proposals, debt counselling, consolidation loans, and negotiating settlement agreements with your creditors.

The trustee’s foremost role is to help you understand your options for paying off your debt. He will review your situation to advise you on whether or not you can avoid bankruptcy and if another option can be considered. Once you and your trustee agree that filing for bankruptcy is the best course of action for you to take, he will then proceed to prepare the necessary paperwork and complete the process from start to finish.

In Canada, personal bankruptcy and other bankruptcies are governed by the Bankruptcy and Insolvency Act (BIA).  Only a licensed trustee can handle the filing of bankruptcy from beginning to end.

These are the primary responsibilities that a licensed bankruptcy trustee completes for his clients:

•          The first responsibility is to meet with you. During this consultation two things will happen: the trustee will review your financial situation by examining all your debts and he will advise you on all your available alternatives and offer recommendations as to the best option for you to take.

•          Once you decide to file for bankruptcy, the next responsibility of your trustee is to prepare the official paperwork.  This documentation is electronically filed with the Office of the Superintendent of Bankruptcy (OSB) and will be used to inform your creditors that you have filed for bankruptcy.

•          Once he has filed the documents with the OSB, your trustee proceeds to notify your creditors by mailing to them a copy of the filed documentation. At this point, bankruptcy protection is in place and you will be safeguarded from your creditors.

•          His next responsibility is to review claims and ensure that what your creditors say you owe them is accurate.

•          He provides you with the required credit counselling sessions that will help you realize the causes of your bankruptcy and also impart some guidance to help you manage your financial affairs in the future.

•          In the event that there is a dispute concerning any remaining income that you are obliged to contribute as part of your bankruptcy, the trustee will provide mediation services to help with negotiations.

•          He is also responsible for selling your assets, except those excluded from seizure by provincial and federal laws, and distributing the profits from the sale to your creditors.

•          He is in charge of overseeing your bankruptcy estate file, in which he will sell all assets held to help contribute to your outstanding debt.

•          Your trustee will also be responsible for evaluating your behavior before and during the bankruptcy process.

•          His final responsibility will be to make the application for your discharge from bankruptcy, which will finally release you of all your debts and give you a fresh start in life.

It is best to keep in mind that although you will be able to choose the trustee you want to work with, your trustee does not actually work for you. A licensed personal bankruptcy trustee in Oshawa is an officer of the court, and as one he is bound by law not only to investigate your situation as the debtor and to ensure that your rights are not abused, but also to look after the rights of your creditors. In a nutshell, he makes certain that the bankruptcy process is carried out in a fair and impartial manner for both debtor and creditor.