What is a Resonable Offer?
June 2nd, 2009 by Questions
I understand that this question is very broad-based and that the actual answer would depend on specific circumstances and ultimately the position of each respective creditors – but this is the question……
What is considered a reasonable or standard range of settlement when making an offer to creditors in terms of percentage of debt and the time frame to pay out a successful consumer proposal?
Would it be 10 cents on the dollar, 20 cents, 50 cents? I`m just looking for a rule of thumb. And how long of an amortization period to pay out the agreed to amount? Should I expect 3 months, 1 year, 5 years – again just looking for a rule of thumb?
Presently, I owe approximately $70,000 in unsecured credit card and unsecured lines of credit. If I offered 25 cents on the dollar over 36 months – would that be reasonable or unreasonable?
I am self employed with a very irregular income but my wife has a stable job and nets roughly $2800.00/month. I am confident that my self employment income is going to become much more stable but I cannot validate that view at the moment.
Posted from: Ontario