Need answers about a vehicle and a consumer proposal.
November 1st, 2009 by Questions
I`m considering a consumer proposal. I`m approx $20,000 in debt with unsecured credit cards/bank loans. I also have a secured car loan with approximately $23,000 remaining to be paid over the next 5 years @ $500/month. I need my vehicle for work as I travel frequently. My vehicle is worth less than what is currently owed. Will I have to give up my vehicle if I do a consumer proposal?
Posted from: British Columbia
One Response to “Need answers about a vehicle and a consumer proposal.”
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November 02, 2009 at 10:26 am, Barton Goth - Goth & Company Inc. -Trustee in Bankruptcy said:
The consumer proposal really won’t have any impact on your ability to keep the vehicle. The vehicle loan, being a secured by the vehicle, ultimately works outside of the consumer proposal process, so the lender cannot seize the vehicle simply because the consumer proposal is filed. So as long as you are up to date on your vehicle payments, make these payments on time and can continue to do so, then your vehicle arrangements really won’t be altered.