Are Consumer Proposals Often Rejected?

What are the chances your consumer proposal will be accepted or are consumer proposals often rejected?   If you are considering filing a consumer proposal you are going to want to know what the chances are of your proposal being accepted by your creditors.

Once you file your proposal your creditors have an opportunity to vote on whether to accept or reject your proposal, we refer to this as the “voting period”.  Here are some of the things that your creditors will consider when deciding whether or not to accept your proposal:


How much are you offering?

After all of the fees and expenses of your proposal have been paid how much money can your creditors expect to receive?  There is not a pre-set amount that your creditors are looking for.  Each proposal is reviewed individually.  Obviously, the higher the amount you offer the greater the chance of your creditors accepting your proposal.

Is your proposal viable?

Along with your proposal, your creditors also receive a copy of your monthly budget.  Your creditors are going to look at your budget to see if the amount you are offering is realistic and the monthly proposal payment sustainable.  They are also going to review your budget to see if your expenses are in-line with your income.

In addition to the above, your creditors may also take into consideration the length of your proposal, the reason for your financial difficulties and the assets that you own.

Offering your creditors a meaningful proposal will almost always result in your proposal being accepted.

If you are having a difficult time keeping up with your debt repayments filing a proposal is an excellent option available to help you manage your debts and become debt free.

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