Preferential Debt Repayment
August 15th, 2008 by Questions
I am quite far in debt with a number of unsecured lenders. I am potentially receiving a lump-sum of money in the next month or so, though no where near the total debt.
I am considering a proposal as a means to get back on my feet.
What am I to do with this lump-sum IF I receive it? Should I use it to reduce debt or should I keep it on hand to help fund the proposal?
Also, if I were to pay down one particular lender (student loans) who would not be bound to the terms of the proposal (less than 10 years), how many months would I have to wait before filing the proposal to eliminate the risk of having this lump-sum debt payment seen as preferential creditor treatment?
Posted from: Alberta