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Consumer Proposal vs. Bankruptcy

Consumer Proposals and bankruptcies are both government legislated options which can provide you with relief from significant debt problems. In addition, both debt solutions can only be administered by a Licensed Insolvency Trustee and provide a legal stay of proceedings which require creditors to discontinue harassing collection calls, garnishment or other legal proceedings.

Determining which, if either, option is an appropriate solution in your own unique situation depends on a number of variables. Let’s explore the advantages and disadvantages of both a Consumer Proposal and a bankruptcy.

Consumer Proposal - Advantages and disadvantages

Chart listing the advantages and disadvantages of a consumer proposal

Bankruptcy - Advantages and disadvantages

Chart listing the advantages and disadvantages of bankrupcty

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2024-07-15

Myth-Busting Consumer Proposals (MNP 3 Minute Debt Break)

Consumer Proposal

Debt can be a heavy burden, and exploring a consumer proposal can feel daunting. It's natural to seek information online or talk to loved ones during this stressful time. Research is a good first step, but be cautious – online sources can be unreliable, and even well-meaning advice from friends or family might be inaccurate. Many people have misconceptions about consumer proposals before meeting with a Licensed Insolvency Trustee (LIT) for the first time. But you need to know… LITs are there to answer your questions and set the record straight.

Let's tackle three common myths about Consumer Proposals to help you make the right decision.

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