DEBT RELIEF OPTIONS IN KINGSTON, ONTARIO
Consumer Proposal
A consumer proposal offers an efficient solution if you’re grappling with credit card debt, tax debt, or personal loans. This legally binding contract between you and creditors consolidates and settles your debt for less than the owed amount. Only Licensed Insolvency Trustees like Chande Debt Solutions can file consumer proposals.
Our LITs will assess your financial situation thoroughly to determine realistic monthly payments. Upon creditor approval, you make monthly payments, and once all conditions are met, the remaining debt is discharged.
Key benefits of a consumer proposal include:
- Discharging up to 75% of your debt
- Halting legal actions like wage garnishments or frozen bank accounts
- Ending collection calls
- Retaining all assets, including tax refunds
- No additional interest on included debts
Debt Consolidation Vs. Consumer Proposal
Debt consolidation involves securing a loan to merge various debts under one, preserving credit scores and financial control. However, it may require collateral and does not address underlying issues or prevent further interest accrual. While impacting credit scores, consumer proposals discharge a significant portion of the debt, halt legal actions and collection calls, and eliminate additional interest.
Personal Bankruptcy
Considered a last resort, personal bankruptcy offers a radical approach when paying back debts becomes unfeasible. This relatively quick and cost-effective solution can discharge debt in as little as 9 months. It is critical, however, to remember that in a bankruptcy, you will lose any non-exempt assets you own.
