An Effective Debt Settlement Plan
It’s not another payment.
It’s a solution to your debt problems.™
What Is A Consumer Proposal?
In its most basic sense, a consumer proposal is essentially a formal debt repayment plan where you pay back your creditors, often a fraction of what you owe them. Think of it as a consolidation loan without any interest charges and for only a fraction of the total amount owed.
How does the Office of the Superintendent of Bankruptcy describe what a consumer proposal is? It is a formal, legally binding process that is administered by a Licensed Insolvency Trustee who acts as the consumer proposal administrator. In this process, the trustee will work with you to develop a “proposal” – an offer to pay back, to your creditors, a percentage of what is owed to them, or extend the time you have to pay off the debts, or a combination of both.
It has become one of the most popular (and effective) way to deal with debt problems and in many ways a better way to deal with debt challenges rather than by filing a bankruptcy.
Who Can File A Consumer Proposal?
To file a consumer proposal, you must owe at least $1,000 and up to $250,000 (not including your mortgage) and you are unable to repay your debts.
Other important factors are:
- You can make monthly payments; and
- Your total debts exceed the value of your assets.
If you are having trouble in repaying your debts, then a consumer proposal may be a good option for you to deal with your debt challenges.
To find out if a consumer proposal is the right debt solution for you, call us and we will go over all your options in a free confidential meeting.
Interested In Finding Out More?
Book a free, no obligation consultation with us today!