Information From 4 Pillars In Victoria On Consumer Proposals

In Canada, there are different options for individuals to consider if they are facing mounting debt without an ability to pay back creditors and become current on the debt. One opportunity that a debt consultant from 4 Pillars in Victoria will review is the possibility of a Consumer Proposal.

This is not the same as bankruptcy, and that is an important distinction to make. However, it is also not the right option for all clients in Victoria, which is why talking to a 4 Pillars debt consultant should be the first step. The free initial consultant allows our clients to understand their options and then make a decision that is best for their unique situation.

The Basics

The Consumer Proposal is filed through a licensed insolvency trustee and an agreement between the individual and the creditors for the repayment of the debt. This agreement can include paying off a specific percentage of the debt or modifying the repayment schedule over a longer period of time without added interest or fees.

All Consumer Proposals are administered by a Licensed Insolvency Trustee or LIT, not by a 4 Pillars debt consultant. There are requirements for the proposal the LIT must follow. This includes a maximum time limit for repayment of the agreed upon debt of no more than 5 years.

Our 4 Pillars debt consultants provide information on the options for a Consumer Proposal based on your specific financial scenario. A Consumer Proposal may be used as an option for debt of up to $250,000, excluding a mortgage.
To learn more about your options for debt in Victoria, talk to the team at 4 Pillars Debt Consultants. Call us today at 866-690-3328 for a free consultation.