Will a Consumer Proposal Affect my Mortgage?



Consumer Proposals are an attractive option for dealing with debts to home owners as unlike a bankruptcy, you get to keep control of your house if you’ve built up some equity.  In a Consumer Proposal you don’t “assign” control of your assets to the trustee like you would in an assignment in bankruptcy. Protecting an investment such as a home is important to most people so it is understandable that this question would be asked…


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How Long To Pay Credit Card If Paying Only Minimum Payment



If you only make minimum payments, how long will it take to pay off a credit card?  That’s a question too many Canadians don’t often consider.  The Financial Consumer Agency of Canada has a handy credit card payment calculator tool, so I used it to punch in some numbers.  Here’s an example: If you owe $30,000 on credit cards at an 18% interest rate, if you only make the minimum payment it will take almost…


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Why Don’t More Canadians Consider Filing a Consumer Proposal?



My firm, Hoyes, Michalos & Associates, partnered with Harris/Decima, the large research organization, to survey Canadians about their attitudes toward credit cards.  We did the survey because I know that if all you are doing is making a minimum payment on a credit card, you risk being in debt forever. We discovered that of those Canadians carrying a balance, 1 in 4 say it will take more than a year to pay off their outstanding…


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Will my Monthly Proposal Payments be Lower than in a Bankruptcy?



When I meet with people in our Vaughan office, I help them evaluate their options. In many cases, they are surprised to find that based on their budget it is more affordable to opt for a consumer proposal rather than a bankruptcy. This is because your monthly payments are often lower in a consumer proposal. For example, I met with Linda (not her real name) in April. Linda was in her fifties and did not…


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