When you’re struggling with your finances, you might not know what the right route to take is – or which one is most suitable for your unique requirements.
And while the first thing you might consider to do is file for bankruptcy, there are other options out there to choose from.
A popular choice for many is a consumer proposal due to the fact that it allows debtors to consolidate their debts into one affordable monthly payment each month, keep their assets and all interest charges will be frozen.
Despite these benefits, there are certain restrictions – for example, you have to have debts of under $250,000.
The majority of your creditors must also agree to the proposal.
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If this option seems the best path to take, as part of your research into a consumer proposal, it’s a good idea to look at useful case studies of others that have used it to help consolidate their debts.
At Bankruptcy Canada, we’ve selected one of these case studies of a happy debtor that made a consumer proposal after seeking guidance through our website.
Charlotte J (an alternative name has been used), single, 42 years old, $158,859 in debt, Hamilton, Ontario.
I am so glad that I took the leap and filed for a consumer proposal.
Although it initially felt daunting to try and find a solution to my financial struggles, my expert Licensed Insolvency Trustee helped to guide me in the right direction from the get-go.
After seeking guidance online through Bankruptcy Canada, I managed to find a trustee in my area.
After our initial consultation, they talked me through which options would be suitable for my debt, before taking me through the steps associated with the process.
Once all the relevant documents were signed, my consumer proposal was filed and sent off to my creditors.
Even though my trustee warned me that it could take up to 45 days to get an answer from my creditors, I received an answer in no time at all – and it was an acceptance!
I was so glad my creditors accepted my proposal as it was the first step towards regaining my financial stability and freedom.
Thank you to everyone at Bankruptcy Canada and my trustee.
I finally feel as though my finances are changing for the better.
I’m also so thankful that you helped me to avoid having to file for bankruptcy, due to the benefits that are associated with the consumer proposal.
For anyone that’s unsure as to what step to take with their finances, I encourage them to seek guidance through Bankruptcy Canada and get in contact with a trustee as soon as they can.
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Since 1999 Bankruptcy Canada has been Canada’s #1 site for bankruptcy advice.
Renowned for the breadth of information and guidance we provide, we strive to help those in debt find a way to get back on their feet.
If you want to find out more about the process of filing a consumer proposal or you’re interested in filing for one yourself, don’t hesitate to get in contact with one of our partnered Licensed Insolvency Trustees today by either calling (877) 879-4770 or by emailing through our online form.
Information on Consumer Proposals
Consumer Proposals in Canada – An Alternative to Bankruptcy
What is a Consumer Proposal?
What are the Benefits of a Consumer Proposal?
What are the Steps in a Proposal?
What Debts Are Erased in a Consumer Proposal?
Is There Life After a Proposal?
Consumer Proposal Eligibility
How to Amend a Consumer Proposal