singles in deiner nähe Rostock - Consolidating debt in ontario

A consumer proposal is a form of debt consolidation because you end up paying one, lower monthly payment to your trustee rather than balancing multiple payments between your creditors.

Unlike a debt consolidation loan however, the amount you repay is less than your total debt.

You have seen all the ads – been told how a debt consolidation loan will get you out of financial trouble and reduce your monthly payments.

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Any one or more of your creditors may decide to not participate.

If you wages are being garnisheed, or legal collection action is being taken against you – there is nothing in a Debt Management Program that will force your creditors to stop such actions.

A debt consolidation loan is a good option if you still have reasonably good credit and have some source of stable income to be able to afford the monthly payments.

If you have poor credit, you may be asked to use your home equity, car or other assets you own as security for the loan.

Do you really want to put a close friend or relative at risk like that?

If your lender is a not a bank, but one of the growing number of private debt consolidation lenders – you will discover the high costs of private lending.

So if you owe ,000 on six credit cards today, you may be able to settle that debt with a monthly payment of only 0 for 5 years. If you cannot support the payments in a consumer proposal, even filing bankruptcy in Ontario can have the same debt consolidation effect on your monthly money management.

Filing bankruptcy provides immediate protection from your creditors; you stop making your old payments and make one monthly payment to your trustee during your bankruptcy.

If this is your first bankruptcy and your income is below the surplus income threshold you may only be required to make these payments for nine months.

Our best advice is to book an appointment with an Ontario bankruptcy trustee today to discuss your debt consolidation options.

A debt consolidation loan is where you borrow new money and use those funds to repay higher interest debts such as credit card debt.

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