One Response to “Why can the trustee say no to a proposal”
Barton Goth – Goth & Company Inc. -Trustee in Bankruptcy said...
Usually a Role of the Trustee doesn’t say no to a consumer proposal, but provides advice in terms of whether or not they think you qualify or they think it is possible in your situation. The biggest reason most trustee’s advise against a proposal is if you simply don’t have enough income to merit a realistic offer to your creditors. If you can’t afford to make an offer that the creditors have a hope of considering then there is no point wasting the time and energy of putting a nominal proposal together. Another reason may be sporadic or inconsistent earnings. If your wages aren’t reliable enough to have confidence that the required payments under the proposal are going to be made, then putting forward a proposal may not be a good route for you. The best then to do is to as the trustee why they have suggested the proposal may not be a good fit for your situation.
Usually a Role of the Trustee doesn’t say no to a consumer proposal, but provides advice in terms of whether or not they think you qualify or they think it is possible in your situation. The biggest reason most trustee’s advise against a proposal is if you simply don’t have enough income to merit a realistic offer to your creditors. If you can’t afford to make an offer that the creditors have a hope of considering then there is no point wasting the time and energy of putting a nominal proposal together. Another reason may be sporadic or inconsistent earnings. If your wages aren’t reliable enough to have confidence that the required payments under the proposal are going to be made, then putting forward a proposal may not be a good route for you. The best then to do is to as the trustee why they have suggested the proposal may not be a good fit for your situation.