Question
The recession has hit the company I work for hard, and the overtime I have come to count on to keep my head above water is gone. I was bankrupt in 1996. I believe I need to go bankrupt again, and I am worried about what will happen to me if I do. Can you let me know what a second bankruptcy involves?
Answer
The most significant difference is the length of time you have to be in bankruptcy. In the case of first time bankrupt, the minimum timeframe is 9 months; in the case of a second time bankrupt, the minimum period of bankruptcy is 24 months. If you make significant income, you may have to pay a portion of that income into your bankruptcy estate each month. If that is the case, your bankruptcy could extend to 36 months. It is difficult to explain everything you need to know about bankruptcy without having more information about your situation. Our Alberta Bankruptcy Trustee offer free, no-obligation, initial consultations.