When the Crditor start suing its debtors
I have a $ 50,000 in unsecured (credit Cards debt). I have nothing to pay my creditors. No mortgage…..nothing to loos in bankruptcy. And from this month I am unable to pay my minimum Payments. I was thinking of filing consumer proposal, however I do not have a sound employment right now.
1. Is it to wise to wait a bit to get a Job and then file consumer proposal. As i do not want to file for bankruptcy.
2. When creditors usually go after its client and sue them.
3. Is it important for filling consumer proposal to have an employment or I can go for it without an employment.
4. Can browning from family members or Friends can be consider as an option to pay in proposal.. again i do not wanaa file bankrupcy..
Posted from: Ontario
Without consistent and stable income the filing of a consumer proposal is difficult and rarely recommended. Now potentially borrowing from family, if they are willing to cover you, is a way that a proposal can be crafted. But to determine this you really need to contact a local trustee and they will be able to assist you in determining what is possible.
In terms of the collection efforts that creditors make, you are correct that ultimately a law suit is probable, this law suit will result in a judgment being issued and then permission to garnishee wages, seize exigible assets (non-exempt assets as determined by provincial legislation) etc..