A Consumer Proposal- The Basics From 4 Pillars

One of the possibilities that Canadians have to pay off debt is to use the option to file a Consumer Proposal. This is a specialized option that includes a filing that is made through a Licensed Insolvency Trustee.

The debt consultants at 4 Pillars can provide insight and information on the Consumer Proposal process to clients based on the specific information the client provides. This information includes the types of debt the consumer is struggling to pay, as well as income, assets, and other financial considerations.

This first step is essential to determine if a Consumer Proposal is the best option. This is where our experienced debt consultants are an asset to our clients. In some cases, other types of debt relief strategies may be more effective, but it is always ultimately up to the client to determine how to proceed and if a Consumer Proposal is the right choice.

The Advantages

Your 4 Pillars consultant takes the time to explain the Consumer Proposal and what it entails. For most people, this agreement allows for a single monthly payment that has been agreed upon by the creditors through the Licensed Insolvency Trustee. The monthly amount is usually lower than the total of the current monthly payments that are being made, which can help people to get back on track while still repaying their debts.

The timeline for the repayment of a Consumer Proposal is based on the amount of the debt and the agreement to the proposal by the major creditors. The maximum term of the agreement is five years, which is also a benefit to the consumer.

Based on your financial situation, the staff at 4 Pillars can provide more specific information. Keep in mind, it is one option, and a Consumer Proposal is not always the right choice. To discuss your options with one of our experienced debt consultants, call us at 866-690-3328.