i am in a proposal now but not good ,would like to go bankrupt

March 18th, 2010 by Questions

i have been paying $250 a month for 13 months plus the an up front fee of $1000.00 for an accepted proposal , i am finding that it is my house and all the bills that go with it are too much..can i change from the proposal to total bankrupty..even if i sell my house there would be a bank fee of $12.000.00 for breaking my mortage agreement.i am ready to go bankrupt to save my health and insanity.i am current with everything i owe .i am on a garantied pension and retired.

Posted from: Ontario

Questions

One Response to “i am in a proposal now but not good ,would like to go bankrupt”



, A licensed trustee said:

You really shoulod be directing this question to your trustee – that’s one of the things they are being paid to do (answer your questions).

That being said you can’t convert your proposal into a bankruptcy, BUT you have the right to file bankruptcy at any time and once you have missed 3 of your proposal payments the proposal will be cancelled. Unfortunately the money you’ve paid into the proposal is effectively lost – you won’t receive any credit towards the cost of filing for bankruptcy – the clock (and the bill) starts ticking again.

This happens quite regularly due to changes in circumstances (for example when a job is lost).

If for some reason you don’t want to use the same trustee to file for bankruptcy that you used to file your proposal you don’t have to. Use the links to find a trustee in your area and give them a call.

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