There are many advantages to choosing a Consumer Proposal to pay off your debt.
- Repayment terms will fit within your budget, your Trustee nor your creditors will set you up to fail.
- Binding on all creditors once it is accepted
- You have formal creditor protection, creditors cannot commence or continue any action
- More flexibility; repayment terms can be set to accommodate your financial situation as well as the use of assets to satisfy proposal terms.
- Reflects more positively on credit rating as compared to a bankruptcy
- You can include debt owed to Canada Revenue Agency
- You can surrender assets back to secured lenders, with any liability compromised in your Proposal.
- If you incur new debt while in an ongoing Consumer Proposal, you can file a new Consumer Proposal to include the previous and new debt, subject to Creditor and Court approval.