Cost of Bankruptcy

The cost of bankruptcy in Toronto, Ontario is largely dependent on your personal situation – although not completely since there are some common expenses that you should certainly take into the account when trying to determine the cost of filing bankruptcy in your case.

Below we provide a summary of some of the costs you can expect in regards to a bankruptcy process in Toronto, but for a thorough explanation of all the costs, we recommend that you interview several Trustees in your area.

Costs in a Bankruptcy Process in Toronto

First of all, when filing personal bankruptcy you will have to make a contribution to your bankruptcy estate to cover administrative costs, court fees, communication and government filing fees.

Next, you must pay a share of your “surplus income” into your estate. If you or your family earn over a certain amount each month, you will lose a fraction of your earnings over that limit.

You should also keep in mind that you will lose some of your assets, as well as any tax refunds and GST credits you would normally acquire during the bankruptcy period. You will also lose any windfalls (lottery winnings, inheritance) you receive throughout the bankruptcy.

For the most part, your total cost of filing bankruptcy will be determined mostly by your monthly income, your family size, and your assets.

Determining the actual final numbers can be difficult, so it’s recommended that you speak directly with a professional. Please note that an initial consultation is normally at no charge.