Do you get a sense of dread whenever your phone rings because it is just as likely to be an aggressive collection agent as it is to be your loved one or friend? If so, it’s time to start looking for a solution to the problem. Hiding from it can only last for so long.
Fortunately, there are ways to get the calls to stop, including making a consumer proposal or filing bankruptcy.
A consumer proposal is one option that can stop collection calls as well as collection attempts, like wage garnishment or lawsuits. It is a legal agreement between you and your creditors that allows you to settle your debts for less than you owe.
Consumer proposals are prepared by bankruptcy trustees. Trustees are financial professionals who are licensed by the government to administer bankruptcies, prepare consumer proposals, and provide debt counseling. A trustee will help you determine an amount you can afford to repay each month, then submit that proposal to your creditors. If accepted, you make one monthly payment to your trustee each month. He or she then distributes the money to your creditors.
Consumer proposals are growing in popularity among Canadians because they not only stop collection calls, but they are a great alternative to bankruptcy and protect your assets.
Sometimes a consumer proposal doesn’t make sense for everyone as the payments may still not be affordable. In that case, you may want to consider bankruptcy. A bankruptcy stops all collection calls and attempts, and it also eliminates all unsecured debts. When you file bankruptcy, you agree to surrender your assets in exchange for discharge from your debts. Many people worry that they will lose everything in a bankruptcy; however, this is not the case. We can help you determine what you can keep if you file bankruptcy in Ontario.
Although bankruptcy often times has negative connotations, a bankruptcy can actually be a positive experience. It provides relief from debt and offers a fresh financial start.
When creditors call, it can be tempting to ignore them or silently hope they’ll just go away. However, taking action visiting a trustee to find out what options are available to you can finally stop collection calls.
If you’re being bombarded with collection calls, contact us today for a free consultation and begin your fresh start.
