With the sun setting before you even manage to get out of work, the snow on the roads and the slush on the sidewalks, winter can quickly become the season of hibernating. Though that can put a damper on many Canadians’ social lives, plenty of people welcome the change of pace. Winter can be a chance to cut down on your spending and focus on repaying debt that you already have. It’s easier to skip social events or prevent impulse buying when you’re feeling less inclined to go out shopping or to enjoy happy hour with your colleagues.
Winter can be your chance to catch up on debt you accumulated over the summer, when you’re busy going on holiday and more likely to eat out or go shopping. The increased sunlight increases spending, and that means a lot of Canadians dip into savings or go into debt in the summer. When you know that you tend to spend a lot more in the summer, instead of adding to your debt to cover the costs, plan for it by saving through the winter.
For some, repaying their debt isn’t seasonal, but an ongoing process. A Consumer Proposal in Canada can help anyone who has become insolvent repay their debt in a reasonable time frame without forcing them to sell assets. Insolvency means that your income isn’t enough to keep up with your debt repayments, and it’s a financial crisis. It can lead to collection calls, garnishes on your wages, a bad credit rating, and mounting interest. A Consumer Proposal in Canada can get you out of that situation.
Consumer Proposals in Canada
Consumer Proposals in Canada are filed by a Licensed Insolvency Trustee, a federally regulated professional who advises you and handles filing for Consumer Proposals and bankruptcy in Canada. A Consumer Proposal in Canada consolidates your unsecured debts, i.e., the debts you owe that don’t have any collateral, like credit card debt, utility bills, payday loans, and debt consolidation loans. A Consumer Proposal immediately stops collection efforts from your unsecured creditors, including legal actions against you. In Toronto, Licensed Insolvency Trustees like David Sklar & Associates are available to advise you when you face insolvency. A Licensed Insolvency Trustee represents your interests and helps you draft a fair Consumer Proposal that your creditors will accept. They act as an intermediary between you and unsecured creditors to come to an agreement that will reduce your debt and make it easier to pay.
Consumer Proposal or Bankruptcy
When you’re insolvent, bankruptcy is also an option, but Licensed Insolvency Trustees in Ontario like David Sklar& Associates encourage clients to seek a Consumer Proposal first. Declaring bankruptcy can mean that you have to give up property, damaging the financial foundation you’ve built for yourself. A Licensed Insolvency Trustee can help explain the advantages of a Consumer Proposal over bankruptcy, but it’s important to seek out early on. When you notice that you’re struggling to keep up with debt payments, it’s time to seek help.
This winter, get the debt help you need and start rebuilding your credit rating and your savings. Cut out impulse buying and get back on track to financial success.