According to it, a debtor can ask creditors of debt cancellation, terms of payment extension or even both. The main advantage of Consumer Proposal is the possibility to cancel a part of your debts(55% – 75%, it depends on every single case) without filing for bankruptcy. You won’t lose your house, car or business. The standard term of payment is 60 months, but you can do it faster, if it’s possible.
Day: April 11, 2018
Bankruptcy
According to Canada Bankruptcy and Insolvency Act and the Ontario Execution Act there is the way out for people in financial crisis when they want to start a new life without debts. Who can file for bankruptcy? An adult person with a debt at least $1,000 who can’t pay it. Usually, the bankruptcy process takes 9 months, and if it’s your first bankruptcy and you did everything right, then you may get back your previous status. There is also a possibility that you’ll have to go to a court…
Debt Consolidation
It is a personal loan, usually in a bank, that allows reducing the interest payments by the way of all the debts consolidation for a lower percentage. This procedure can’t solve the problem at all, it just prolongs “agony”. Your debt isn’t getting smaller, instead you have monthly payments and you have to meet the bank criteria to get this loan…