Divorced with credit card debt – How We Helped
Sue Jung, one of our Licensed Trustees in Bankruptcy, met with a client in our London office who was struggling with her debt. She was recently divorced and worked as a retail store manager. After years of credit card mismanagement, she found herself with $9,700 in credit card debt. She was worried that if she took debt action, she would lose her RRSPs.
How we helped:
The client felt a moral obligation to her creditors and wanted to pay back what she could reasonably afford. It was important to her to avoid bankruptcy. Therefore, we helped her to file a consumer proposal.
We reviewed her finances and determined what she could afford her creditors. We helped her create a proposal that was sent to her creditors and later approved. Her creditors agreed to a payment of $125 per month for 60 months.
By filing a consumer proposal, she was able to:
- eliminate her credit card debt
- protect her RRSPs
- immediately stop all creditor action and interest charges
Where is she now?
She was able to pay her creditors the agreed upon amount and also attended two credit counseling sessions that have helped her manage her finances going forward.
We can help you become debt-free too - contact us for a free consultation.