Consumer Proposal Burnaby, BC

Making a consumer proposal in Burnaby is a legal debt repayment option that allows you to take control of your debt.

As a legal process, it must be filed with the assistance of a Licensed Insolvency Trustee, also known as a Consumer Proposal Administrator.

Under this legal process between you and your creditors, you will make a proposal to repay a portion of the total debts that you owe.

During the terms of the proposal you won't be paying interest and your Trustee / Proposal Administrator will handle all communications with your creditors on your behalf.

The consumer proposal is regulated by the Canadian government through the Bankruptcy and Insolvency Act.

You and your trustee will work out a repayment plan that is based on what you can afford to repay and what is fair for your creditors.

Even though, you will often repay less than you actually owe through a consumer proposal.

In some cases you can repay as little as 30% of the total debt that you owe.

Only a Licensed Insolvency Trustee (formerly a bankruptcy trustee) can file a consumer proposal in Canada.

No other debt help professional is licensed or regulated to provide consumer proposal services, so you must work with a trustee if you wish to file a consumer proposal with your creditors.

Once you have worked out a fair proposal your trustee will present it to your creditors who must vote on accepting the consumer proposal.

Even though your creditors can vote to reject your proposal plan it is very rare that they do so.

The reason for this is because your trustee is very experienced at working out agreeable proposals that they know have a very high (99% of the consumer proposals drafted with the help of our Licensed Insolvency Trustees) chance of being accepted.

Your creditors will receive more money in a consumer proposal than if you were to go bankrupt, so they are inclined to accept consumer proposals in almost every case.

Once your consumer proposal is accepted it becomes a legally binding agreement between you and your creditors.

A consumer proposal is a debt repayment plan that can last for up to 60 months.

When you make a consumer proposal you can avoid bankruptcy, keep all of your assets, and avoid interest charges, collection calls, frozen bank accounts and wage garnishments.

To learn more about filing a consumer proposal please don't hesitate to contact us today to schedule your own personal debt help consultation with one of our friendly and licensed insolvency professionals.