Debt can hamper your future and prevent you from achieving your dreams. Everyone passes through a rough time financially, whether because of businesses failing or paying for the hospitalization of a loved one. There are a few ways you can make the payment terms of your debt favorable, you can file for bankruptcy, consolidate your debt, or file a consumer proposal.

Consumer Proposal Defined

It is a contract that is negotiated by an administrator on your behalf. The legal contract negotiated in a debt consolidation option allows you to repay unsecured debt through partial payments. The contract will allow you to pay only part of the debt you owe instead of the whole thing. You can avoid filing for bankruptcy when you apply for it. The debt consolidation option allows you to reduce debt and pay monthly payments that are consistent with your monthly earnings. This proposal allows you to keep assets like your house whenever you are in trouble financially. Filing this proposal is an option you can take, if you are having trouble paying for debt.

Should you file for a consumer proposal Ontario?

Applying for a debt consolidation in Ontario can help ease the burden of paying for your debt. You can benefit from applying for it. One of the advantages of getting it is that wage garnishments end right away. You don’t have to worry about not having any money to spend because the wage garnishments you have gotten will be released once you file the said proposal. The interest rates on your debts will cease to increase once your consumer proposal has taken effect. Your creditors can no longer contact you about payment. You no longer have to worry about losing your assets once your proposal has taken effect. You are only liable to pay for part of your debt within a period of five years. You will only incur a credit rating of R7 instead of R9, the lowest possible rating, when you file a debt consolidation option. Filing the proposal provides plenty of benefits, and is clearly better than filing for bankruptcy. But before you apply for one, it is best to seek advice from an expert.

Consumer Proposal Ontario Services

Consumer proposal Ontario services can help you manage your debt and negotiate a consumer proposal for you. Seeking advice and help from a professional debt consultant can help you manage your debts moving forward. A professional service provider can help you find the best solution for your financial troubles.