When you are in debt, bankruptcy is not the only way out. Indeed, you can solve your financial problems without feeling obligated to sell all your assets. This remains possible thanks to the consumer proposal. This solution allows you to repay your creditors over a longer period. To convince you to adopt this proposal, we present here its main advantages.
End with harassment
The consumer proposal remains a payment offer that you make to your creditors. It remains authorized by bankruptcy and insolvency law, which allows you to repay your debts over a period of up to 60 months. However, if you do not know how to proceed, you can seek the advice of a Montreal consumer proposal expert . You will thus be able to benefit from the support of a licensed insolvency trustee advisor.
The latter will become your legal representative to your creditors. You will therefore no longer communicate directly with the people to whom you owe money. This is still very beneficial, as you will no longer receive frequent messages or calls from your creditors.
Make a single monthly payment for all your debts
When you submit a consumer proposal and it is accepted, you benefit from a reduction in your debts, or an extension of the repayment period. The reduction in your due can even reach 50%. By choosing this solution, you will therefore pay a predefined amount each month to your Licensed Insolvency Trustee.
This one will take care of distributing this sum between your various creditors. In addition, the money you deposit remains unchanged. It doesn’t depend on your income. In addition, the consumer proposal allows you to make a refund without interest.
Protect your assets
Another advantage of the consumer proposal remains the conservation of your goods. This even remains the main reason why many people opt for this debt repayment solution. Unlike bankruptcy, which could lead you to liquidate your assets, the consumer proposal guarantees you to keep them all.
And although there is a similarity between the stages of bankruptcy and those of the consumer proposal, the latter remains the ideal solution you have to settle your debts. Indeed, by opting for this alternative, you will not be making monthly payments based on the income you earn. Thus, you cannot declare bankruptcy. In addition, this offer protects you from foreclosures and allows you to keep your assets.
Regain freedom and control of your finances
At the end of the reimbursements provided for in your consumer proposal, you will obtain a certificate showing that you no longer owe it. Therefore, you will remain free from your debts. However, you should know that this offer to creditors does not prevent you from paying your fines or your support payments.
The full repayment of your due will give you a great relief. This will allow you to look serenely towards the future. And to help you regain control of your finances, the Consumer Proposal gives you the opportunity to participate in two financial recovery sessions. So don’t hesitate to take advantage of it now.