At some point in life, everyone is faced with financial problems.


Often, problems arise and people find themselves in the position that they can’t pay their bills. It doesn’t matter how much you owe — or even who you owe — if you haven’t got enough money.


If it’s a short-term problem, you can probably weather the storm, but if it goes on month after month, sooner or later you’re going to face some hard choices.


“Most individuals we see in financial difficulty are good, hard-working people, but due to divorce, job loss and overuse of credit, they are forced into bankruptcy”, says Ted Michalos, a trustee with Hoyes Michalos & Associates.


In 2006, almost 40,000 people in Ontario either went bankrupt or filed a proposal.

For many people, bankruptcy is the right choice. For others, various bankruptcy alternatives would work better. Bankruptcy alternatives to consider would be:

  • Start personal budget planning

  • Use your personal budget to determine if and how you can increase your income or reduce your expenses each month

  • Work on credit repair

  • Consider debt consolidation

  • Consider credit counselling

  • Consider a debt management plan

  • Make a consumer proposal to creditors and, as a last resort

  • Consider filing for Ontario bankruptcy

More information on bankruptcy and personal budget planning is available online at www.hoyes.comor by calling 310-PLAN.