Filing a Consumer Proposal allows you to settle your debts at a fraction of what is owed without filing bankruptcy.
Keep your assets, income tax refunds and GST credit.
Interest on virtually all debt stops immediately.
Collection activities, court actions and garnishment (seizure) of income, are stopped too.
Canada Revenue Agency cannot start or continue enforcement activity to recover taxes owing.
Most consumer proposals run from 3 to 5 years in duration, but can be completed in as little as 2 months.
Payments are affordable and are customized to fit within your budget.
The impact on your credit score is better than filing bankruptcy and you cannot be terminated from work as a result of making a consumer proposal.
Do you have enough income to do a consumer proposal?
If you have a budget surplus; i.e., you would have money left over at the end of the month if you didn’t have to service your monthly unsecured debt (eg. charge card, credit card, tax debt, but excluding mortgage and car payments which are secured debts), then you may be in a position to eliminate your debts by filing a consumer proposal.