Debt Consultants Referring People to file Consumer Proposals



Debt consultants advertise that they can settle your debts for a fraction of what you owe, all while promising to stop collection calls and wage garnishments. What they don’t say is that they are advertising the exact same service that only a Licensed Insolvency Trustee can administer: a consumer proposal. A consumer proposal is a legal arrangement between you and your creditors where you agree to repay a portion of your debt. Although, the amount offered to…


Read More

Beware Ads Advertising Government Debt Relief Programs



Have you seen any of the ads touting “Government of Canada Debt Relief Programs with promises to reduce your debt by 60, 70, even 80%?”  The businesses running these ads are trying to sell you “consulting services” – they’ve “been there before,” they know the “tricks of the trade,” they “know a guy…”  Please tell me you are not falling for any of this. The Government of Canada is not in the debt reduction business….


Read More

There Is No Cost To Your For Filing A Consumer Proposal



Your monthly consumer proposal payment includes all fees and taxes.  You make one, all inclusive, payment, which is based on what you negotiate with your creditors. It is as simple as that. So how does the Trustee get paid? The government sets up a tariff allowing the Trustee or Consumer Proposal Administrator to be paid out of the funds collected for your creditors.  You don’t pay the Trustee any extra payments, no up-front fees either. …


Read More

Do You Need a Trustee to File a Consumer Proposal?



Filing a consumer proposal has become a popular option for people who are unable to pay their debts in full.  And yes, you do require a licensed trustee to file a consumer proposal. It is always an option for you to informally propose some kind of compromise or settlement to a creditor on your own.  However, ceasing collections is voluntary and you are unlikely to receive that co-operation unless you can pay a significant portion of…


Read More

Who Talks to My Creditors?



The main reason most people consider filing a consumer proposal is that they want to stop the companies they owe money to (their creditors) from calling. Unfortunately many “debt consultants” take your money, but don’t actually talk to your creditors! Why? Because their strategy is for you to avoid your creditors for as long as possible in the hopes that by avoiding them they will be more agreeable to making a deal on your debts….


Read More

Debt Consultants Still Preying on the Unwary



I’ve met with several people who have enrolled in programs or entered into contracts with unlicensed debt consultants. These ‘consultants’ said they would help them through a  debt relief or debt settlement program.  I won’t name the companies, because sadly there are too many out there to name. They approached these companies because they didn’t want to file for bankruptcy. They assumed talking with a trustee meant filing bankruptcy. This meant that they were vulnerable to…


Read More

How To Know it’s Time to File a Consumer Proposal



I meet with individuals in Brampton Ontario often in a state of panic about their debt and their personal financial situation. They’ve avoided dealing with the problem for as long as they could and are now over the top as far as stress levels. The earlier you deal with debt problems, the more options you have. Here are some warning signs that it might be time to speak with a Trustee in Bankruptcy about filing…


Read More

Debts Consultants and the Scams they Attempt



The Scam “We’ll reduce your debts by 70% through a government mandated debt relief program” “We restructure your debt through a 100% legal program approved by the court” “We work for you and not your creditors” Have you heard of these catchy slogans from debt consultants who will tell you anything you would like to hear? Unfortunately, about 1 out of 4 individuals in Canada fall prey to these scam artists that will demand thousands…


Read More

Partners