Personal Finance

An asset bought through an incorporated business can be touched by a personal debt ?

  • Last Updated:
  • Oct 16th, 2018 2:34 am
[OP]
Newbie
Oct 10, 2018
3 posts
alberta

An asset bought through an incorporated business can be touched by a personal debt ?

I have a debt that its practically impossible to be paid off. I kinda lost everything plus all from my CCs. My sister has the means to buy me cheap place to live. She is not living in Canada. Obviously the apartment cannot be on my name, so if the apartment is bought through an incorporated company on my name, can the asset be taken by the collectors ?
7 replies
Deal Addict
Jan 30, 2012
1362 posts
567 upvotes
TORONTO
Dude, work on your grammar, it is very difficult to understand you.
CatalinN26071 wrote:
Oct 11th, 2018 2:34 am
My sister has the means to buy me cheap place to live. She is not living in Canada. Obviously the apartment cannot be on my name, so if the apartment is bought through an incorporated company on my name, can the asset be taken by the collectors ?
If you owe money to a creditor and don't pay, they can go to court and seize your assets.

If you own a company and that company owns an apartment, the creditor can't seize the apartment, since the apartment isn't owned by you, it is owned by the company.

But the creditor can seize the company, since you own the company.
[OP]
Newbie
Oct 10, 2018
3 posts
alberta
Oh sorry for my hard to understand sentences. Thank you for your answer.

The company doesnt exist yet , its just a mean to protect this condo. The only asset of the company is going to be this condo.

So at the end if they seize the company what would be the consequences? That means that at the end they can go for the condo ?
Newbie
May 17, 2018
40 posts
5 upvotes
CatalinN26071 wrote:
Oct 11th, 2018 2:52 pm
Oh sorry for my hard to understand sentences. Thank you for your answer.

The company doesnt exist yet , its just a mean to protect this condo. The only asset of the company is going to be this condo.

So at the end if they seize the company what would be the consequences? That means that at the end they can go for the condo ?
Essentially yes. They seize the company and sell its assets - one being the condo
Member
User avatar
Dec 24, 2007
325 posts
219 upvotes
BC
Dude, when they seize your assets it includes all your assets including your company. That means they will own and control the company, not you. They can do with it as they wish including selling the condo which is all the company owns.

There are no avoidance schemes to protect any assets you might own unless you are rich enough to set up offshore trusts. However each province has its own bankruptcy laws and what may be exempt from being seized. Suggest you start educating yourself about the bankruptcy process and less about trying to stiff creditors. What assets can I keep.
[OP]
Newbie
Oct 10, 2018
3 posts
alberta
Yep true man , thanks , it seems there is no way .. Talked today with a bankruptcy agent , I thought of going bankrupt but I have 3 years left and then all done , on the other side bankruptcy stays in the system for the life (there are some web sites that one can check up on any person about lots of activity , like assets, buy and sell assets, etc , and these infos are available to anyone to be checked, on these sites the bankruptcy stays for life)) , 8 years in the credit bureau ... and no , I am not rich , just self emplyed, no assets , no more than few thousands in the bank , hope I brought some infos too on this site .. bankruptcy takes 9 months or up to 21 months , one have to be insolvent , really low income , otherwise takes up to 21 months. Any way , just heard of it , in what conditions one can be forced to go bankrupt ?
Deal Addict
User avatar
Jul 22, 2008
1521 posts
177 upvotes
Toronto
Why can't your sister just buy the condo and let you live there indefinitely for free? Not being in Canada does not prevent her from owning property here.

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