What is a HELOC and are they dangerous? | Paul J. Pickering and Associates Limited | The Must See Trustee

What is a HELOC and are they dangerous? | Paul J. Pickering and Associates Limited | The Must See Trustee

What is a HELOC and are they dangerous?

A HELOC is a Home Equity Line of Credit. This is a financial vehicle that allows you to borrow money against the equity in your home. Are they dangerous? It depends. Here are some considerations…

  • HELOCs are tied to variable interest rates. They can increase without any warning whenever interest rates change thus increasing the cost of the loan.
  • HELOCs may turn unsecured debt (which may be discharged in bankruptcy or compromised in a proposal) into secured debt, which could cause you to lose your home in some scenarios.
  • Lenders can typically “call HELOCS in” at any time. Put another way, the lender has the ability to force you to repay them in full upon demand
  • It can be tempting to start using your home equity like a “personal ATM” if you are not careful. (The average HELOC in Canada is believe to be roughly $70,000.00)


The Personal Experience From Your Office Was More Than To Be Expected. | Nov 21, 2016

I would like to express my appreciation to Paul Pickering’s office for the assistance given during my bankruptcy. I would also personally thank Don Baruth for his assistance and guidance and always answering questions immediately. The personal experience from your office was more than to be expected.Thank you again- L.W

About Us

“We started this business in 1990 to provide one on one financial solutions. We are here to help you through your solution with dignity, respect and the highest confidence in your future.”

Paul J. Pickering CPA CA CIRP LIT

Paul J. Pickering and Associates Limited (formerly Paul J. Pickering Limited) was founded in 1990 with the ideas and thought of helping individuals deal with personal debts and the process of financial rehabilitation.

Paul Pickering graduated from the Ivey School of Business, University of Western Ontario in 1976. In 1980 Paul received his Chartered Accountants designation and his Trustee licence in 1988.

While working for a national insolvency firm, Paul saw the need of providing financial services on an individual basis without the structure of a large imposing firm. On November 1, 1990, the firm was born.

Since 1990, the firm has continued to provide one on one service to London and area. All facets of the Bankruptcy process or Proposal process are conducted within the office. Unlike other firms, we do not use contract facilities to provide the counselling required under the legislation.

All consultations are free of charge because we encourage people to understand the process. We leave the decision to the individual as to how they wish to resolve their financial situation.

Our goal is to treat everyone facing financial difficulty with dignity and respect.