When Is It Time to Get a Consumer Proposal?
Is a consumer proposal right for you? If so, when and how should you get it?
A consumer proposal in Kamloops can be a good option for those struggling to pay off their debts. Rather than file for bankruptcy, which has a longer and more crucial effect on one’s credit record, it might be better to get a consumer proposal in Kamloops instead.
When granted a consumer proposal, your lender can reduce your debts, thereby making it easier to pay them off. But before you get this, here are some of the things that you should ask yourself:
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Is this the only way to finally be free of debt?
There are still consequences to having a consumer proposal. It will usually cover smaller debts but not your mortgage. You still need to keep up with your mortgage payments. It also takes 6 years before it can be removed from your credit records. So make sure you make this one of your last options.
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Can you still make the payments needed?
With a consumer proposal, your creditor will only slash off your debts by a certain percentage. You are still obliged to pay off the remainder. This is usually payable within 5 years. If you can’t make the payments, it’s best to look for something else such as bankruptcy.
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Do you still want to deal with your creditors?
It will put a stay in your old debts but once approved, you still need to pay off the debts. With the help of a Licensed Insolvency Trustee such as Mike Wright & Associates Inc, you can pay off the debts and not have to personally meet the creditors.
Keep these things into consideration to ensure that it’s the best option for you.
To know more about Bankruptcy in Kamloops BC please visit our website: debtfreebc.ca
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