October 10th, 2009 by Questions
I owe roughly $83,000 in unsecured debts, spread out as follows…… $23,000 mbna mc, $22,500 rbc visa, $16,500 amex, $16,200 cibc visa, $3,800 td visa & $750 telus cell phone.
My monthly income is well below the surplus level and I have no assets. I told my trustee I could afford about $100 a month, which is roughly 8% on the dollar owing. He suggested I not even bother with a consumer proposal because it`s unlikely it will be accepted, and he suggests I just declare bankruptcy. My question is, why wouldn`t the creditors accept an offer of $100 a month, when they will get nothing in a bankruptcy settlement? Or should I tell my trustee to try and offer a consumer proposal anyways? He said that RBC requires a 5 year offer always, where I wanted to offer a cash settlement (money coming from a relative). What is to stop me, though, from negotiating the 5 year settlement and then paying it out anyways? Why does RBC do this?
Posted from: British Columbia