Do I qualify to file a consumer proposal?
Hello, I`ve two kids and a spouse. Combine salary:84,000 yearly Mortage:350,000 market value 340,000. 7.50% interest rate. Monthly mortage payment: 3,154.00 No car payment. Unsecure debts of $75,000. I would like to know if we would be qualify to claim consumer proposal? if we would have enough money earning combined. If yes, let me know which way best to go, as I was told I may not be qualified cause of the amount our income is combined, and with two minor kids. I don`t want to lose my home, which way to go?
Posted from: Ontario
to go?
Posted from: Ontario
It is very easy to qualify to file a consumer proposal, which you do.
Technically as long as you owe greater than $1,000, are unable to pay your debts as they become due, and reside in Canada, then you are eligible. The problem is eligibility and whether the consumer proposal is a good fit for your situation.
Realistically what it all comes down to is cash flow. Ultimately you need to have sufficient cash flow each month, after your living costs, to be able to make a reasonable offer to your creditors. To determine this you really need to meet with a local trustee. The trustee will be able to look at your budget, combine it with the details presented above and help you determine a) if you are in a position to offer a viable proposal, and b) what that proposal would have to look like to be approved by your creditors.