Dealing with Debt

	Dealing with Debt - Money Problems Radio Show (Opens in a new window. Optimized for Windows Media Player 6.4 and later versions.)
Originally aired on October 1, 2005

Show Topic:

Many Canadians deal with serious debt problems each year. On today's show we explore the options for dealing with debt.

Guests:

Douglas Hoyes and Ted Michalos are the founders of Hoyes, Michalos & Associates Inc, one of Ontario's leading personal insolvency firms. They emphasize a "fresh start" when dealing with money problems. They can be reached at www.hoyes.com or, in Ontario, at 310-PLAN (no area code required).

Show Summary:

Lots of people have money problems, which is why over 100,000 people each year in Canada file a consumer proposal or file a bankruptcy.

There are many signs that you are having serious money problems, including:

	Collection calls at home and at work
	Wage garnishments or people threatening to garnishee your wages
	Lots of stress, which makes it difficult to sleep and can cause medical problems

However, there are options when you are having money problems, including getting a debt consolidation loan, filing a consumer proposal or, as a last resort, filing a bankruptcy.

You have options, so we recommend you contact one of our bankruptcy experts for advice on your situation.

Question of the Week:

Q. How can I stop bill collectors from calling me at home and at work?

A. Bill collectors and collection agents are calling you because you owe money. To stop them from calling, your options are:

	Work out a debt repayment plan on your own to repay them by cutting your expenses and increasing your income.
	Get a debt consolidation loan. For example, if you own a home, you may be able to get a second mortgage and use that money, at a lower interest rate, to repay your higher interest rate credit cards and other debts.
	File a debt management plan. These plans are filed by non-profit credit counsellors ; you pay your debts in full over a two to five year period, and the creditors agree to waive any further interest owing.
	File a consumer proposal; this is a great way to negotiate a settlement with your creditors, and in most cases you end up paying less than the full amount owing.
	If no other option works, bankruptcy is the final option.

Don't let your Money Problems overwhelm you; contact a bankruptcy expert today for more information on dealing with debt.