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How much income do I need to file a consumer proposal?

I have 50000 in credit Cards debt. I am married living with my wife and two children. How much income I need to file a consumer proposal, and what will be the minimum pament per month..


Posted from: Ontario

One Response to “How much income do I need to file a consumer proposal?”

Barton Goth – Goth & Company Inc. -Trustee in Bankruptcy said...

There is no fixed income level that you must have, it is more determined by your monthly cash flow as to offer a consumer proposal you have to have sufficient room in your monthly budget to be able to afford the proposed payment.

In terms of what the minimum payment each month would be, you will need to contact a local trustee to do so. The trustee will have to look at a number of factors, including the composition of your debts (i.e. which banks you are dealing with), your monthly cash flow, they nature and types of assets you own. All of this informaiton is used to determine:
a) what you would be worth to your creditors if a bankruptcy were to be filed;
b) How much must be offered in the consumer proposal;
c) What type of payment you can afford each month; and
d) what is going to be necessary to offer to the creditors to get them to come on board.