103 - Is There an Advantage to Paying Off My Consumer Proposal Early

Filing a Consumer Proposal has become the most popular option to help Canadians manage their debt. In fact, 75% of insolvent debtors are choosing to file a Consumer Proposals as opposed to only 25% filing for Bankruptcy. There is good reason for this choice. But what happens if your circumstances change for the better and you are in a position to pay your proposal off sooner? What would be the advantages or would it be disadvantageous? 

Derek Chase, Licensed Insolvency Trustee, answers these questions and discusses different scenarios where this may come up. He explains:

• Why Consumer Proposals have become so popular
• How long a Consumer Proposal lasts and the effect on credit ratings
• Why a creditor would agree to accept less than they are owed
• When it would make sense to pay the proposal off earlier
• Two mandatory counselling sessions when the pros and cons of increasing payments or paying it off would be discussed with your LIT

Licensed Insolvency Trustees are federally regulated and approved by the Canadian government.You can be assured you are receiving the best unbiased advice from these knowledgeable debt professionals.

Derek Chase is a Licensed Insolvency Trustee in British Columbia. He has been helping individuals and corporations restructure their debt since 1997. His areas of practice include personal and corporate insolvency including Consumer Proposals and Bankruptcy. The best part of his work is to be able to witness lives change for the better when the heavy burden of unmanageable debt is lifted. 

• Chase & Associates Licensed Insolvency Trustee
• Consumer Proposal Calculator
• Consumer Proposal: What Is a Consumer Proposal & Other FAQs