Often, people are uncomfortable speaking openly about their debt and its impact on their personal well-being. Those who are experiencing credit issues fear that the social stigma of debt may be viewed negatively by family and friends and society in general.
In addition, many may feel ashamed, embarrassed and completely overwhelmed about their debt. People experiencing debt-related stress often suffer from many associated health issues, such as sleepless nights, headaches, tension and more. And feeling out of control when it comes to managing their debt payments often prevents people from taking control of their financial situation.
Not all debt results from overspending, living beyond one’s means, frivolous behaviour or money mismanagement. Debt often occurs due to circumstances beyond a person’s control, such as financial hardships caused by a job loss, relationship breakdown, business failure or an inability to repay student loans.
Although rising interest rates may eventually curb debt accumulation, this can still pose a serious threat to Canadians who are already struggling to manage their debt load.
The financial stigma of filing a Bankruptcy or Consumer Proposal to your creditors is often not as bad as many may believe. While your credit score will be affected, taking charge of your situation by facing it head on can help you eliminate most debt. It also allows you to have a fresh start and provides you with an opportunity to rebuild your credit rating.
Taking the first step is often the most difficult. Yet thousands of Canadians use the formal options of a bankruptcy or proposal each year. Sitting down to speak with a Licensed Insolvency Trustee (LIT) should be the first step and not a last resort. The financial advice provided by an LIT can help guide you in taking back control of your financial situation — and your life.
MNP LTD can help you change the status quo and get back on the road to financial success. We offer a Together we will find the solution that best fits your situation, whether it is a Bankruptcy, Consumer Proposal or another solution.
CIRP, LIT
Senior Vice President
Servicing: Dartmouth (Venture Run), Bridgewater, Digby, Liverpool, Yarmouth, Windsor (NS), Middleton
2024-08-13
Bankruptcy Consumer Proposal
Meta Description How can an LIT help you navigate the debt relief journey? Read Randy Kobbert’s story to discover how he helped a debtor achieve a fresh financial start.
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It is important to understand the terms and conditions of a buy now, pay later plan before signing up for it.
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A hot topic in economic news these days is the question of when the Bank of Canada will announce whether they are going to change the prime lending rate. For consumers, the more important question is: how will this announcement affect you?
