Payday Loan Debt Solutions in Ontario
Payday loans are a great idea in theory; they are short-term loans which you pay off within a month or two of taking them out.
As these financial products have matured on the market, though, they have started to show a much darker side.
With high interest rates, large late payment fees, and being offered by companies which ruthlessly chase their money, many people find themselves trapped with loans like this for a very long time.
This is a shame, and Bankruptcy Canada has spent a lot of time over the last 21 years working with people who have found themselves in this position.
But what exactly can you do when you’re unable to cover payday loans?
Need Help Reviewing Your Financial Situation?
Contact a Licensed Trustee for a Free Debt Relief Evaluation
What Are Your Options?
You have a number of different options to choose from when you’re experiencing unpayable payday loans.
The one you choose will depend on your situation, but we can help you to choose the right path if you’re not sure.
Budgeting & Paying Off The Debt
The first option you have to fight off your payday loans will involve simply budgeting and paying off the money you owe as quickly as you can.
Our financial experts can help you to build a budget which will give you the chance to save enough money to pay off your debts without leaving you unable to survive.
This process will be challenging, and it may not be possible if you simply don’t earn enough money to pay off the money you owe.
Using A Consumer Proposal
A consumer proposal is protected under the Bankruptcy and Insolvency Act in Canada, and acts as a proposed agreement which is submitted to your creditors to make new arrangements for your debt.
Filing a consumer proposal will initiate a stay of proceedings, preventing your payday lenders from aggressively chasing the money you owe through the courts.
We’ve drafted countless successful consumer proposals for our clients, though this is a path which we’d only recommend if you can’t afford to budget and save up to cover your debt quickly enough.
Filing For Bankruptcy
Consumer proposals can be rejected by creditors, and they will be able to continue chasing your debt once this has happened.
If you’re unable to pay the money you owe, you may have little choice but to file for bankruptcy, and this is another process which Bankruptcy Canada can help you with.
Like a consumer proposal, going through this will initiate a stay of proceedings.
Getting out of bankruptcy could take some time, but you will only be discharged once you’ve paid everything you owe.
How Can Bankruptcy Canada Help?
Here at Bankruptcy Canada, we’ve been working with debt relief for more than 20 years.
Our friendly team offers confidential and obligation free advice, and will do everything they can to find the right options for you.
Escaping payday loans can be a stressful experience, but we can be there every step of the way to make it easier for you.
Information on Consumer Proposals
Consumer Proposals in Canada – An Alternative to Bankruptcy
What is a Consumer Proposal?
How to Amend a Consumer Proposal
What are the Benefits of a Consumer Proposal?
What are the Steps in a Proposal?
Consumer Proposal Eligibility
What Debts Are Erased in a Consumer Proposal?
Is There Life After a Proposal?
How to File for Bankruptcy
What is Bankruptcy?
How Does Bankruptcy Work?
What is the Cost of Bankruptcy in Canada?
How to Rebuild Credit Following Bankruptcy
Personal Bankruptcy in Canada
What Debts are Erased in Bankruptcy?