In a bankruptcy, if your income is low and you have few assets, and your situation is straightforward (simple bankruptcy without a need to go to court), then it is possible to pay less than $75 / month for 18 months (or less).
If your income is high, what you pay in a bankruptcy is mainly based on your family income. The more you and your family earn, the more you are required to pay. If your income exceeds the standards established by the government, then you will pay for a longer period as well.
In order to compute what you are required to pay in bankruptcy, we must look at your after-tax income (net monthly income) and subtract essential expenses (called non-discretionary expenses) which include: Spousal and child support, Child care, Medical expenses (doctor prescribed), Mandatory payroll deductions (union dues etc) and Court-ordered payments. If you are a sole proprietor, we look at your operating income (gross revenues minus business expenses), less amounts remitted for tax (installments).
In a consumer proposal, it is possible to settle debts at 30% of what is owing. In some cases, the proposal can offer even less than 30%. Payments can be made over an extended period to fit within your budget and all payments are interest free.
At Rusinek & Associates Inc LIT, we do not charge anything over what you are required to pay. (We collect our fee from what we pay out to the creditors, not from you).