Consumer Proposals

Consumer Proposal Topics

CONSUMER PROPOSAL:

A consumer proposal is a formal procedure governed by the Bankruptcy and Insolvency Act and is available to individuals whose total debts do not exceed $250,000, not including debts secured by their principal residence. With a consumer proposal, you work with a Trustee in bankruptcy to put together a legally-binding offer to pay your creditors a percentage of what you owe them over a specific period of time. Payments are made to the Trustee on a regular, monthly basis. The Trustee then uses those funds to pay each of your creditors.

• You retain all of your assets
• Actions against you (such as garnishments) by unsecured creditors will be stayed (stopped)
• Most proposals are for 60 months (5 years) and payments are made over this time
• Creditors have 45 days to either accept or reject the proposal
• A more simplified process than a bankruptcy filing, with fewer duties required of you

CONSUMER PROPOSAL TOPICS:

• Consumer Proposals: An Overview and Benefits
• Consumer Proposal vs Bankruptcy
• Consumer Proposal vs Division 1 Proposal
• What Types of Debts Can Be Included In A Proposal?
• Successfully completing your consumer proposal
• Pay your Consumer Proposal down sooner