There are many myths circulating about RRSPs and their seizability in the event of a personal bankruptcy. Many clients ask us whether their savings will be seized if they declare bankruptcy. The answer is no!
Since July 2008, with the Bill C-12, RRSPs are non-seizable under a bankruptcy, except for your contributions over the last 12 months. Therefore, your creditors can not cash-in your RRSPs if you go bankrupt.
This is good news for all Quebecers because their savings are protected even if they go through temporary financial problems.
