When it comes to bankruptcy and consumer proposals, people are often afraid of losing everything. But is this fear justified? Let’s take a look at Stéphanie Auclair, a member of our front-line team, renowned for her empathetic approach to debt-related stress.
For the past eight years, Stéphanie has been gathering information and demystifying financial insolvency with a touch of humour. Her front-line experiences have revealed misconceptions that, once clarified, ease the worries of people facing debt-related challenges.
Let’s take a look at the key topics Stephanie expertly addresses in a consultation with her.
1. Addressing Common Concerns
Stéphanie Auclair, Information Agent
One notable example is a woman in her fifties who was reluctant to ask for help.
“In her head, she thinks she’s going to lose her car,” says Stéphanie.
However, if a car is leased or financed and the payments are up to date, the person will continue to make her payments and keep her means of transport. “Our job is to take care of the other debts,” she explains.
In the vast majority of cases, people keep their vehicle.
However, in very rare cases, a paid-for car can become a seizable asset in a bankruptcy. However, there are many exemptions. A person, for example, needs his car to :
- Continue their studies and travel to school.
- Meet employers when looking for a job.
- Go to the grocery shop and provide for their family.
- Access medical care by going to the hospital, CLSC or pharmacy.
2. Dispelling the Myths
Stéphanie is often confronted with the misconception that declaring bankruptcy means losing everything.
Time and again, she says:
“People think that when you go bankrupt, you lose everything. That’s not true,” says Stéphanie Auclair, an information officer at our offices.
Her message is clear: bankruptcy does not deprive you of everything.
3. Protecting Other Assets
The fear of losing financial assets such as pension funds, RRSPs, TFSAs, RESPS, and life insurance is widespread. Here are some important clarifications:
Pension funds, RRSPs and life insurance, depending on the beneficiary, are exempt from seizure.
“In a bankruptcy, TFSAs (Tax-Free Savings Accounts) and RESPs (Registered Education Savings Plans) are however seizable,” she adds.
In the case of RRSPs (Registered Retirement Savings Plans), only contributions made in the last 12 months will be seized.
4. Tackling Tax Debts
For the past 4 years, Henri*, a fictitious name, has failed to file his tax returns. “We refer debtors to accountants, often at a lower cost, to help them bring their tax affairs up to date,” says Stéphanie Auclair.
As a result, Henri’s stress is greatly reduced when he learns that he no longer has $10,000 to pay to the taxman. In fact, his tax debt will be included in the consumer proposal or bankruptcy.
5. Educating People About the Reality of Credit Ratings
People of all ages worry about their credit rating. Stéphanie Auclair and her colleagues provide the necessary nuances in the event of a mortgage renewal, the possible purchase of a house or access to a credit card.
Both in the context of a bankruptcy and a consumer proposal, two consultation sessions are offered. During these sessions, topics such as credit are discussed. The objective is to provide the tools and information necessary to rebuild your financial situation for the long term.
One thing is certain: if you’re debt-free, anything is possible.
6. Navigating Economic Challenges
For the past year, the young woman has been observing the consequences of rising interest rates, spiralling inflation and the cost of a basket of groceries.
Added to this is the work of the collection agencies, which have started working with people again since the end of the pandemic.
Her advice is simple: stick to your budget.
The important thing,” she says, “is to check where your money is going. This, as we all know, requires a discipline worthy of Olympic champions.
In the meantime, Stéphanie hopes to continue her work, which is appreciated by her peers, for a long time to come. Our front-line team does an extraordinary job,” comments Karine Clermont, Financial Reorganization Advisor. People love their approach.
Every day, the young woman in her thirties feels like she’s learning something new. Her job is rewarding. Especially at the end of a call.
When the person thanks me and says: “At last, I’m going to sleep well tonight”, she confides.
To reach Stéphanie Auclair, dial 1 (877) 796-3427.
“A few minutes ago, I phoned your office for the first time. The information officer, Stéphanie Auclair, answered my questions with her comforting voice and a touch of humour. She immediately put me at ease. Congratulations on your customer service. Keep up the good work.”
– Verified and authentic customer testimonial.
