A Consumer Proposal May Be Your Solution
An alternative to filing bankruptcy, the Consumer Proposal is an interest-free repayment option that protects you against creditors and allows you to keep your assets.
A Consumer Proposal is a debt relief solution that allows you to reduce your debt and repay a portion without interest. It is a formal, legally binding process with an offer to pay back a percentage of what is owed to your creditors, extend the time you have to pay off your debts – or both. It’s a repayment plan where you pay back your creditors, but often at a fraction of what you owe them.
The length and amount of your offer will depend on a combination of affordability and how your offer compares to bankruptcy. A Consumer Proposal is a popular alternative to bankruptcy because it allows you to keep your assets.
Benefits of a Consumer Proposal
- • Allows you to keep your assets
- • Stops collection calls and wage garnishments
- • Freezes interest and penalties on your debts
- • Reduces the amount you pay back on your debts by 70%
Eli’s Path to Debt Freedom
After cashing out an RRSP to pay for his wedding. Eli received an unexpected tax bill. With his other debts he could not afford to pay and eventually the debt grew. CRA decided to initiate a wage garnishment. We helped Eli avoid bankruptcy with a Consumer Proposal. Debt consolidation saved Eli’s pay cheque and his Consumer Proposal taught him to plan for unexpected expenses in the future.
November 27, 2020
Great team 👏 Ewelina is amazing helpful and understanding. Thank you for the help Ewelina Keep up the great work. All the best.More
November 26, 2020
Nice and very friendly very helpful and knowledgable couldn’t ask for a better serviceMore
November 25, 2020
She’s very good representative and she’s explain friendly clearly from the start to the end specially for managing the financial situation. KatilaMore
November 25, 2020
Perveen and Chris have been extremely helpful and reassuring during a very difficult time.More
November 25, 2020
So far the service has been excellent.More
November 24, 2020
Perveen Katila was excellent in her help with us during counseling sessions. Answered all our questions and gave suggestions.More
November 22, 2020
I want to thank the wonderful team at Spergel for helping me get my life back. I was in a financial bind, did not know where to turn. Theyhave help me back on my feet debt free. I...More
November 19, 2020
Everyone's circumstances are different, but I am sure that going through bankruptcy is one of the most stressful (and shameful) things one can experience. I didn't know how I...More
Frequently Asked Questions
Consumer Proposal vs. Bankruptcy
A consumer proposal gives you the flexibility to ensure your monthly payments fit into your budget. Unlike in a bankruptcy where payments are determined solely based on income, a proposal fixes your monthly payment. You decide what you can afford that offers a fair return to your creditors – based on your current earnings, not your future ones.
Who Qualifies For Consumer Proposals
Anyone with enough debt to file bankruptcy may also consider a consumer proposal. The proposal offer must be better than what creditors would get if you were to file a bankruptcy. WE will help you calculate this amount and use our experience provide advice on what an offer your creditors would likely accept.
Debt Help Learning Centre
If you’re just starting to explore your options, visit our learning centre to learn from our articles and resources to start on your path to debt freedom, and when you’re ready, our trustees are always available to listen.