Best Debt & Collection Lawyers in Canada

About Debt & Collection Law in Canada

Debt & Collection law in Canada governs the process of creditors trying to recover money owed to them by individuals or businesses. This can include unpaid loans, credit card debt, unpaid bills, and more. The law outlines the rights and responsibilities of both creditors and debtors in these situations.

Why You May Need a Lawyer

There are several situations where you may need a lawyer specializing in Debt & Collection law in Canada. Some common reasons include:

• Being sued by a creditor for unpaid debt
• Having your wages garnished
• Negotiating a debt settlement with creditors
• Facing foreclosure on your property

Local Laws Overview

In Canada, Debt & Collection laws vary by province, but some key aspects that are particularly relevant across the country include:

• The Limitation Act, which sets a time limit on how long creditors have to collect a debt
• The Bankruptcy and Insolvency Act, which outlines the process for declaring bankruptcy or making a consumer proposal
• The Collection Agencies Act, which regulates the practices of collection agencies

Frequently Asked Questions

Can creditors call me at any time of the day?

No, creditors are restricted from contacting debtors at certain times, typically between 7 am and 9 pm.

Can a creditor seize my property to pay off a debt?

In some cases, creditors can apply to the court for a writ of seizure and sale to seize your property, but they must follow specific legal procedures.

What is the difference between secured and unsecured debt?

Secured debt is backed by collateral, such as a house or car, while unsecured debt does not have collateral attached to it.

How can I stop creditor harassment?

You can send a cease and desist letter to the creditor requesting them to stop contacting you. If harassment continues, you may need to seek legal help.

Can I negotiate with creditors on my own?

Yes, you can negotiate with creditors on your own, but having a lawyer can help you navigate the legal complexities and potentially get better results.

What is the debt collection process in Canada?

The debt collection process typically involves initial contact from the creditor, possible legal action, and potential seizure of assets if the debt remains unpaid.

Can I declare bankruptcy to get rid of all my debts?

Bankruptcy is a complicated legal process with long-term consequences, so it's essential to consult with a lawyer before considering this option.

How long can a debt collector pursue me for an unpaid debt?

The Limitation Act sets a time limit on how long creditors can pursue a debt, typically around 2-6 years depending on the province.

What are my rights as a debtor in Canada?

Debtors have rights, including protection from harassment, the right to negotiate with creditors, and the right to seek legal advice.

How can a lawyer help me with debt collection issues?

A lawyer specializing in Debt & Collection law can assess your situation, provide legal advice, negotiate with creditors on your behalf, and represent you in court if necessary.

Additional Resources

If you need legal advice or assistance with Debt & Collection in Canada, you can contact the following resources:

• Canadian Bar Association
• Legal Aid Services
• Office of the Superintendent of Bankruptcy Canada

Next Steps

If you are facing debt collection issues and need legal assistance, the first step is to consult with a lawyer specializing in Debt & Collection law. They can assess your situation, provide guidance on your rights and options, and help you navigate the complex legal process. Don't hesitate to seek help and protect your rights when dealing with debt collection in Canada.