Are you running out of reasons to delay payment? Has the bank started calling you? Find relief from a Doyle Salewski Licensed Insolvency Trustee.
An LIT is trained and certified by the government as a professional debt management expert. Their job is to walk you through all the ways you can manage bank loans, including the ones they can’t directly administer. Other financial services providers aren’t trained to provide that kind of breadth, which is why working with an LIT is more advantageous.
In the case of debt due to bank loans, we’ll most likely recommend a consumer proposal to reduce the amount of your bank debt or a file of bankruptcy to fully eliminate it.
In short: less damage to your credit.
In Canada, credit is expressed on a scale from R1 to R9, with R1 being good credit. When you enter into a consumer proposal, your credit rating moves to R7 because while you’re unable to pay your entire debt, you’re agreeing to pay some of it back. Declaring bankruptcy means you’re unable to pay any of your debt, which moves your credit to R9.
If you decide to file a consumer proposal, we’ll review your financial situation and come up with an offer to your creditors that benefits both you and them that will most likely involve a reduction of the amount you owe in exchange for a speedier payback. We’ll send them the offer, which they’ll have 45 days to accept. When they do, a new payback structure will take effect.
If you choose to declare bankruptcy, we’ll take the steps necessary to complete the process quickly so you can fully discharge your bank debt and get on with your life.
Can you rebuild your credit after filing a proposal or declaring bankruptcy?
Yes you can! While the incident will stay on your report for 7 years, if you follow good practices during that time, you can easily return to an R1 and once again enjoy all the benefits of having good credit.
Because we've been providing relief in this area since 1996. We’ve worked with all the major and independent banks in Ontario and Quebec, we know how to negotiate with them and we can help you come up with a financial plan to avoid getting into bank debt again.