How Long Does it Take to File a Proposal?
Timing depends on a number of factors. The lengthiest part of the process is gathering the relevant information and arranging an independent evaluation as to the value of a home or property, if required. Once the application has been completed a Licensed Insolvency Trustee can prepare and file the documents almost immediately.
Do I Need a Lawyer or a Debt Management Company?
Lawyers or Debt Management Companies are not eligible to file Consumer Proposals. Only a Licensed Insolvency Trustee can file a Consumer Proposal.
Do My Creditors Have to Accept the Terms of My Consumer Proposal?
There are a number of different scenarios that may happen within the Consumer Proposal process. However, at the end of the day, if the majority of creditors represented by dollar value vote in favour of the Proposal all unsecured creditors are legally bound by the process. If a creditor doesn’t vote they are legally bound by the creditors that do vote.
What Happens Once I Complete the Payments/Terms of the Consumer Proposal?
Upon completion of the terms of the Consumer Proposal you will receive a Court Order titled Certificate of Full Performance of Proposal discharging the debtor from those debts included within the Proposal. Certain debts are not eligible to be discharged from bankruptcy or a Proposal; more information on these debts can be found HERE.
What if My Debt is Greater Than $250,000?
If your debt is greater than $250,000, don’t worry, you are can still offer a Proposal to your creditors. There are solutions available to address your individual situation. Please contact our office to discuss your options in greater detail.
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We want to help you to get out of debt. Don’t hesitate to contact us if you would like to learn more about bankruptcy alternatives like debt consolidation in Kelowna, Kamloops or Penticton. Contact us today for more information.