When you file a Consumer Proposal, you will work with a Licensed Insolvency Trustee to create a personalized plan for how much you can realistically afford to pay back over a certain period of time.
With a Consumer Proposal, you only have to repay a portion of your total debt over a maximum term of five years. All payments are made through your LIT who then pays each of your creditors.
A Consumer Proposal can help to eliminate your unsecured debt like credit card bills or personal loans. It also stops your creditors from taking legal action against you, including wage garnishment and collection calls.