Can I pay off my consumer proposal early

March 5th, 2009 by Questions

My wife and I filed a proposal in 2006 for payments over 50 months. We have now paid for 27 months and now have enough equity in our home to refinance and pay off the proposal. However when I asked my trustee`s assistant about this she said it would open up the whole proposal and likely result in annulment. My trustee is one of the Trustees listed on your site in New Brunswick. Am I getting the right information?

Posted from: New Brunswick


One Response to “Can I pay off my consumer proposal early”

, A licensed trustee said:

You do not have to ask your trustee for permission to pay out a proposal early and it in no way affects the total amount you agreed to pay. Simply call and ask for the outstanding balance and send them a cheque. Likely the person you spoke to is unfamiliar with the law and spoke without consulting with the trustee.

Please post a follow up comment below:

(Note: comments are reviewed by moderators and then posted after approval. In addition, due to high volume some of the comments might not be posted.)