BEN ASKED: I have a lot of debt that’s gone to collections but that was a few years ago. How do I go about paying it all back?

ANSWER: The first step is to figure out who you owe the money to. Since your debts are old there is a good chance that they are being handled by collection agencies.  Learn more about dealing with collection agencies here.

The best way to find out who you owe and which collections agencies may be handling your accounts is to get a copy of your credit bureau report.

There are two major credit reporting agencies in Canada: Equifax and Transunion.  You can go online to either credit reporting agencies website or and obtain an instant copy of your credit report, but it will cost you.

Alternatively, you can get a free copy of your credit report through the mail by completing the forms on my website.

Once you have your credit report you will be able to figure out who you owe and roughly how much. Once you know how much you owe you will need to figure out a plan to pay back the debt. You can use our debt options calculator to see how much various debt repayment options may cost.

If you are going to attempt to dig yourself out of debt on your own you will want to pay the creditors that are charging the highest interest rate first.

If the amount of debt is more than you feel you can handle on your own, then I would recommend contacting our office to review your situation with one of our licensed trustees in bankruptcy.

We’re here to help you get a fresh financial start!

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