The #1 alternative to bankruptcy in Canada!
If your bills are becoming too much to handle and you’re looking for an easier way to pay off debt without filing for bankruptcy, consumer proposal may be for you. A Canada consumer proposal is a formal debt settlement option available through the Bankruptcy & Insolvency Act and as a result is administered by the federal government. In fact, many Canadians prefer this debt settlement option.
What is a Consumer Proposal?
A consumer proposal in Canada is a formal, legally binding debt proposal to pay your creditors a percentage of what you owe over a period of time. If your unsecured debts, not including mortgages and car loans, are between $10,000 and $250,000 and you have sufficient income to make monthly payments or a lump sum payment, you qualify to make a consumer proposal.
Of all bankruptcy alternatives, a consumer proposal is often the best solution. This is because of the key advantages of this type of debt settlement program:
- you only pay a portion of your debt,
- interest is frozen the date you file,
- you don’t lose your house or any assets, and
- collection calls and wage garnishing stop immediately.
Consumer Proposal FAQs
How does a consumer proposal compare to debt settlement?
How do I file a consumer proposal?
What if my creditors vote “no” or I miss a payment?
Can I settle tax debt with Canada Revenue Agency?
Is consumer proposal better than bankruptcy?
How do I choose a consumer proposal trustee?
Still have questions about consumer proposal? Contact an advisor today