Consumer Proposal 2018-08-20T14:18:28+00:00

Consumer Proposal

Is a Consumer Proposal Right for you?

Get in touch with us, if you are ready to discuss your debt.

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What is a consumer proposal?

A consumer proposal is an alternative to a bankruptcy. It is a debt relief option which allows you to make an offer to your unsecured creditors to settle the amount owed to them. The amount to be paid back is based on your income, assets, and total debt load.

This repayment schedule will provide for a reduction in the total amount owing, usually ranging from 50% to 75%. The time in which to pay back varies and can be no longer than five years. Once a consumer proposal is accepted by the creditors it is a legally binding contract between you and your unsecured creditors.

Am I eligible to make a consumer proposal?

As long as you owe less than $250,000 (this amount would exclude the mortgage on your home) you would be able to file a consumer proposal.

Should you owe more than $250,000, you would be required to file a Division 1 Proposal, which is another proceeding but the same concept as the consumer proposal.

What happens to my house, vehicle, RRSPs, RESPs ?

Once you file a consumer proposal, you will be able to maintain your home, car, and other assets that are important to you and your family. In order to determine your monthly payment the Licensed Insolvency Trustee will need to evaluate the value of your assets.

How will it help me?

Once you file a consumer proposal all interest charges, collection calls, wage garnishments and any legal action will stop. Since a Licensed Insolvency Trustee will act on your behalf, you do not need to contact or deal with your unsecured creditors directly.

Are all my debts eliminated when I file?

In most cases all unsecured debt will be eliminated by a consumer proposal, including Canada Revenue Agency debt. However, there are various debts that would not be eliminated and you would be responsible to maintain the payments. These debts would normally be any fine, penalty or restitution order made by the court, parking or speeding tickets, spousal or child support, any award for damages in respect of an assault, and student loans that are less than seven years old since your last study date.

What are my duties when filing a consumer proposal?

  • Attend two mandatory counselling sessions within the required time frame;
  • Make the required monthly payments;
  • Keep your Licensed Insolvency Trustee informed of your current address and other contact information.

What will happen to my credit rating?

The filing of a consumer proposal remains on the credit report for three years from when the terms of the proposal are completed.  A benefit of a consumer proposal is that you can complete the terms sooner than initially agreed upon, which would reduce the length of time it appears on your credit report. Even though it is on your credit report, our qualified counsellors will discuss with you the necessary steps to take in order for you to rebuild your credit history.

How do I get started?

Contact us to book an initial meeting to review your monthly income and expenses, your debt load and your assets. We will explain all of your duties and responsibilities. We are here for you throughout the entire process.  When meeting with one of our experienced Licensed Insolvency Trustees they will make sure that the monthly amount being paid back is suitable and manageable to your financial situation.

We pride ourselves in being committed to making sure that each individual client understands the consumer proposal process. We want you to ask all the questions that are concerning you.  

Paving the Road to Debt Freedom

Reduce Your Debt

Reduce Your Debt

A consumer proposal is a debt relief option which allows individual to consolidate their debts into one monthly interest free payment. It is a legal binding process between you and your creditors to repay a portion of what is owed. A Licensed Insolvency Trustee will negotiate with the creditors on your behalf to reduce the amount of debt owed. The amount of debt to be repaid is based on your income, assets and total debt load.

Restructure Your Debts

The debt consolidation loan option allows you to combine your debts into one loan with a lower interest rate. This option is available through a bank or a financial institution. In this option you would pay off the amount owing to your creditors in full while getting a new single monthly loan payment.  Debt consolidation however will only reduce your interest payment and your overall amount owing is not reduced or eliminated.

Eliminate Your Debt

A Bankruptcy is a legal process that can be filed through a Licensed Insolvency Trustee. It is another debt relief option that can help individuals deal with their financial problems.  In general, if you debt load is very high, your income is limited and you have no assets or minimal assets, then the bankruptcy option is likely the best course of action to follow.

Budgeting

Credit counselling is an option where you would be able to meet with one of our certified credit counsellors to discuss your fixed living expenses and required monthly bill payments.  We would discuss strategies and techniques to help you better manage your monthly financial plan. This option does not reduce or eliminate your debt.

A corporation becomes insolvent when it’s unable to pay its debts; these can include suppliers, financial institutions, lease payments. The corporation can file for bankruptcy or make a proposal to its creditors. The business may continue, be sold, or sometimes would have to be closed. A Licensed Insolvency Trustee can evaluate what is the best way to take care of the business debts as often they are personally guaranteed.

Over 10,000 Clients Helped

Irene

The first two Trustees that I spoke to each told me not to declare bankruptcy. Each of them told me that I would not get an automatic discharge. They said that my $175,000 credit card debt was too high and if I waited, my bankruptcy application would "look better" and maybe then I would be discharged. Mr. Sheriff and his team said nothing of this kind. They took me on as a client. Nine months later I have my automatic discharge. I am debt free.
2017-11-09T05:25:26+00:00
The first two Trustees that I spoke to each told me not to declare bankruptcy. Each of them told me that I would not get an automatic discharge. They said that my $175,000 credit card debt was too high and if I waited, my bankruptcy application would "look better" and maybe then I would be discharged. Mr. Sheriff and his team said nothing of this kind. They took me on as a client. Nine months later I have my automatic discharge. I am debt free.

Jeffrey

Mr Sheriff helped me get out of debt with dignity. He was professional, efficient and quick.
2017-11-09T05:26:37+00:00
Mr Sheriff helped me get out of debt with dignity. He was professional, efficient and quick.

Fernando

I graduated hoping that finding work would be easy,  unfortunately, that wasn't the case. I couldn't find a job and I started receiving phone calls from my creditors harassing me day and night demanding payment. I needed a way to pay off my debt or reduce it as much as possible.  I searched the net for debt solutions in Toronto and found that Sheriff Sole & Madej Inc. were near my home and decided to give them a try. I filed for a Consumer Proposal and after 2 months I can now say that I successfully reduced my debt by 65%.
2018-01-26T17:50:05+00:00
I graduated hoping that finding work would be easy,  unfortunately, that wasn't the case. I couldn't find a job and I started receiving phone calls from my creditors harassing me day and night demanding payment. I needed a way to pay off my debt or reduce it as much as possible.  I searched the net for debt solutions in Toronto and found that Sheriff Sole & Madej Inc. were near my home and decided to give them a try. I filed for a Consumer Proposal and after 2 months I can now say that I successfully reduced my debt by 65%.

Sue

We were  overwhelmed with the amount of outstanding debt, as my husband lost his job and we couldn't afford to pay our bills and cover our mortgage, we knew we needed help.  Sheriff Sole & Madej Inc. helped us reduce our debt load by filing a consumer proposal. Now we can afford our monthly payments as our debt was consolidated into one manageable monthly payment.
2018-01-26T17:53:03+00:00
We were  overwhelmed with the amount of outstanding debt, as my husband lost his job and we couldn't afford to pay our bills and cover our mortgage, we knew we needed help.  Sheriff Sole & Madej Inc. helped us reduce our debt load by filing a consumer proposal. Now we can afford our monthly payments as our debt was consolidated into one manageable monthly payment.

Our Locations

North York (Head Office)
2001 Sheppard Avenue East, Suite 120
Toronto, ON M2J 4Z8

Brampton
2 County Court Boulevard, Suite 400
Brampton, ON L6W 3W8

Pickering
1315 Pickering Parkway, Suite 300
Pickering, ON L1V 7G5

Barrie
92 Caplan Avenue, Suite 627
Barrie, ON L4N 9J2

Markham
7676 Woodbine Avenue, Suite 300
Markham, ON L3R 2N2

Mississauga
2 Robert Speck Parkway, Suite 750
Mississauga, ON L4Z 1H8

Mississauga Airport Road
5925 Airport Road, Suite 200
Mississauga, ON L4V 1W1

Hamilton
1 Hunter Street East, Ground Floor
Hamilton, ON L8N 3W1

Midtown Toronto
1920 Yonge St, Suite 200
Toronto, ON M4S 3E6

Vaughan
9131 Keele Street, Suite A4
Vaughan, ON L4K 0G7

Scarborough
10 Milner Business Court, Suite 300
Scarborough, ON M1B 3C6

Kitchener
55 King Street West, 7th Floor
Kitchener, ON N2G 4W1