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getting desperate

my monthly payments are up to date because i have been taking cash advances from line of credits to pay credit card payments and vice versa – can i still file a consumer proposal even though i am not behind in anything – just getting progressively deeper in debt

Posted from: Ontario

One Response to “getting desperate”

A licensed trustee said...

You don’t have to wait until you start falling behind in your payments in order to file for a consumer proposal, BUT you do have to stop using your line of credit to make payments on your other debts. One of the things we like to see is how you fair for a month or two without using any credit – if you can’t live on your income then filing a proposal won’t actually solve your fianncial problems.

This invariably means you will miss a month or two of payments, but it is important to prove to yourself that you can live without credit. It can make for a rough month as you adjust, but it is worth it.

Th