Consumer proposal and mortgage renewal
January 26th, 2009 by Questions
My mortgage is up for renewal in July of 2011. I have a perfect payment history and expect I always will. I was considering doing a consumer proposal (I have too much credit card debt for my income to support), and consulted with my mortgage broker first. She told me there was absolutely no way I would be approved for a renewal from her if I was still paying the consumer proposal when my renewal came up, and I would lose my house. She said if I had been discharged from a bankruptcy, however, I had a fighting chance.
Then I went to see a Licensed Insolvency Trustee, and although he said he could do a bankruptcy for me (with 21 month term due to surplus income), he saw no reason not to do a consumer proposal instead, as plenty of people renew their mortgages while paying off consumer proposals. He says my broker is wrong. I am troubled by the conflicting information. Where do I go from here?
Posted from: Ontario
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