Consumer Proposals Toronto

We Can Help You With:

High Credit Card Debt Reduction / Collection Calls / Debt Reduction / Foreclosure Debt Solutions / Student Loans / Pay Day Loans / Income Tax Debt / Wage Garnishments / Credit Consultation Loans

Understanding the vote to accept or reject the proposal

If the consumer proposal is accepted

Once the proposal is accepted you will:

  • Be responsible for making periodic or lump sum payments to the Licensed Insolvency Trustee.
  • Have to attend a minimum of 2 financial counseling sessions
  • Adhere to the conditions in the proposal
  • Retain your assets so long as you make payments to the secured creditors

If the consumer proposal is rejected

If the proposal isn’t accepted you can do the following:

  • Declare bankruptcy
  • Amend the proposal and resubmit it to creditors
  • Consider alternative methods of solving your financial difficulties

How the consumer proposal will affect your credit rating

A person who submits the consumer proposal or declares bankruptcy gets assigned to the lowest credit score possible. The information that affects your credit score will be removed after a certain period of time depending on the information and where you live.

Obtaining credit from consumers after filing a consumer proposal will depend on how well you can convince lenders of your ability to repay and your financial maturity. There is no guarantee of getting credit and nobody is required to extend you credit.

Upon fulfilling terms of the consumer proposal you will get the ‘certificate of full performance’. Send a copy of the certificate to all major credit-reporting agencies so that your credit record can be updated. For reference, you need to keep all documents related to the proposal.

If you meet the conditions of the proposal

Once you meet all the conditions in the proposal you will be released legally from the debts detailed in the consumer proposal. However, if you miss 3 monthly payments or your schedule is not frequent and your last payment is three months past due then the proposal will be annulled. Thereafter creditors will take action to recover their money unless the proposal is amended and re-filed or there is a court order stopping them. In certain conditions, the annulled consumer proposals can be revived.

Are you thinking of getting a consumer proposal in Toronto, need some questions answered, have any complaint or there is a problem with your Licensed Insolvency Trustee? At York Credit, we are here to help. Give us a call now. We are happy to help in any way we can.

Our Counseling Services Will:

Solve Your Financial Issues

Relieve Your Stress

Teach You Money Management