Can I Get Rid Of My Credit Card Debts By Filing For Bankruptcy

Credit card debts are debts that are listed in your bankruptcy. When you file for bankruptcy in Canada, you prepare a sworn Statement of Affairs….a statement listing all of your assets and all of your debts.  Credit cards would be listed on there.   They are unsecured creditors, meaning that they hold no collateral for their debt.  Unsecured creditors will be discharged in your bankruptcy except for those listed in Section 178 of the Bankruptcy & Insolvency Act.  As far as credit cards go, they could only be included in these debts that survive a bankruptcy if there was some type of fraud involved, or obtaining property by false pretences.  And the credit card company would have to prove this.   So assuming that your credit cards were just day-to-day typical usage, they would be discharged in a bankruptcy.     Donna Carson, CGA, CIRP, Trustee Calgary and Central Alberta regions 1.877.500.0792           donna.carson@mnp.ca