Family, job, kids, health, elderly parents… anything can become the unexpected speed bump that throws your budget out of balance.
When the bills are growing faster than your budget, it doesn’t take long before you feel that debt rules.
A consumer proposal provides legal protection from creditors and immediately stops creditor calls, bank account and wage garnishments, sheriff executions, suspension of essential utilities, and other collection actions.
What is a consumer proposal and how does it work?
A consumer proposal allows you to reduce and settle your unsecured debts – including what you owe to the Canada Revenue Agency – for an affordable amount, to be repaid in one manageable monthly payment to the trustee for up to 60 months. You retain control of your assets, and the amount you need to pay to your creditors does not change if you get a better job, receive property or cash as a gift or an inheritance, or win the lottery.
The amount of your settlement offer to your creditors must be more than would be realized in a bankruptcy. And you must be able to demonstrate that you can meet that monthly payment without fail. Usually that means having a steady income.
As soon as your proposal is filed by a trustee, the legal protection kicks in and all garnishments, executions, and legal actions by creditors are stopped, and public utilities may not discontinue service for non-payment. Interest on your balances owed also is immediately stopped.
Only a licensed trustee in bankruptcy can prepare and file a consumer proposal.
The trustee prepares your consumer proposal based on what you demonstrate you can afford to pay, presents it to your creditors on your behalf in a meeting that you attend, and assists in negotiations until there is an agreement between you and the creditors on the amount you propose to pay. The trustee is an officer of the court and therefore is required to collect on behalf of the creditors as much as is reasonable. Therefore you are required to make full financial disclosure to your trustee, and offer as much as is realistic given your present financial situation.
Once the proposal is accepted by your creditors, the trustee administers the fulfillment (meaning the payout) of your proposal until it is paid off in full. You have the option of paying your proposal out over whatever timeframe you proposed to your creditors, or you may pay off the balance in full at any earlier time you choose. In the event that your is not accepted by creditors, you may choose to file an assignment in bankruptcy, make a fresh proposal to your creditors, or seek a solution that does not require insolvency proceedings.
In episode one of the real rules of debt, trustee Richard Goldhar talks about a consumer proposal and how it can help you shed the debt.
Advantages of a consumer proposal
- you retain control of your assets
- your obligation is limited to payment of the settlement amount as accepted by your creditors
- you can pay off the remainder of your proposal at any time you choose
- appropriate for unsecured debts (including arrears to the Canada Revenue Agency) totalling $250,000 or less (other options exists if debts are over $250,000)
How Goldhar shed the debt specialists can help
Goldhar & Associates Ltd. is a licensed insolvency practice dedicated to helping hard-working people find real-life strategies to relieve unmanageable debt loads and rebalance their finances for a stable and happy future.
Call Goldhar at 1-855-541-5114 now to arrange for a free, no obligation personal financial review. Or contact us to request the next available appointment time.
Your Goldhar shed the debt™ financial review is the first step in restoring balance to your financial life and your future.
A Goldhar trustee or shed the debt specialist will review your debt situation with you, explore all reasonable opportunities to resolve your financial problems, and provide you with straightforward counsel to help you rebuild your finances for a fresh start and a manageable future.
A consumer proposal will not be recommended until we’ve truly assessed your debt load and explored all other options for debt relief.
These debt relief options include:
- credit counselling
- debt consolidation loan
- consumer proposal
- Division I proposal (for unsecured debts over $250,000)
- assignment in bankruptcy
If you decide to file a consumer proposal, Goldhar will work with you to prepare the paperwork as fast as possible and then file it to stop all collection action. Thereafter Goldhar will present your settlement offer to your creditors and administer your proposal until it is paid out in full. If something happens and you can’t afford to make a payment, Goldhar will help you catch up, or amend your monthly payment schedule as reasonable.
Here’s what people we help say about Goldhar
Making a consumer proposal is a private matter. That said, some of the people we have helped – and we have already helped hundreds – were kind enough to share these thoughts about us:
“Goldhar is, without doubt, the best thing that has ever happened to me financially. If you have made some mistakes and need some financial help, give them 25 minutes and they will change your life. The staff are all efficient and friendly and they take the time to make sure you understand the finer details every step of the way. If you are thinking of contacting them do yourself a favour and call them now!” JT.
“After I left your office I kept thinking of your theme line ‘rebalance and come back to life’. That’s exactly how I feel. Back to life. can’t thank you enough.” V.
“I just want to share my heart felt appreciation to the Goldhar team. I appreciate all your efforts, professionalism and prompt service. This has been one of the hardest situations I have been through and I never wanted it to get to this point but in the end I am happy to have Goldhar on my team. Thank you for all the work you do to help people like me who just walked down the wrong path too many times but I am finally seeing a light at the end of that dark tunnel.” MP.
” I would like to thank you and your staff for handling my financial liabilities in a professional manner. I highly appreciate your work and will definitely recommend you to anyone I run into that requires your services. Thank you for your help.” A.S.
Don’t be embarrassed. And don’t be shy.
It’s natural to want to protect your privacy and your dignity when you’re dealing with unmanageable debt.
Here’s the good news: nobody needs to know.
Working with Goldhar permits you to come to terms with your creditors confidentially. Your family, your employer, your neighbours don’t need to know a thing – unless you happen to be formally indebted to them, which most often is not the case.
Your Goldhar shed the debt specialits can help you work out what to say to the children at home. But believe us when we say that the kids will only notice your smile. And they will be happier to see you bounce back to life. So will your mother, your community group, your friends, your brothers and sisters…
There will be no visits to your home, no notices posted on the door. The neighbours have no reason to know you are working with a Trustee in Bankruptcy. And there is no need to contact your employer – unless your wages are garnished, in which case our contact will be of the best kind – to advise of the removal of the garnishment.
How do I know if I need to file a consumer proposal?
Use Goldhar’s online rebalance® tool to calculate your total liabilities and assets.
You’ll find it here http://www.shedthedebt.ca/rebalance . Enter this private access code G2104CPBRG and enter all your income and expenses in the boxes. The rebalance tool will do the math for you and show you how much money you have, or don’t have, after you pay all the bills. If the shortfall is significant – and does look like it will get any better – a consumer proposal could be a wise financial decision. The longer you carry too much debt, the farther away you get from financial health, happiness, and a stable future.
Contact Goldhar Today and be Debt Free Tomorrow
Talk to Goldhar today to arrange a private, personalized review of your situation. Call 1 855 541 4115 or contact us
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