I have a rental property that is worth only about $8000 but it helps out as an income. Will lose it in a consumer proposal?

Posted from: Newfoundland and Labrador

One Response to “ken”

Barton Goth – Goth & Company Inc. -Trustee in Bankruptcy said...

Unlike in a bankruptcy there is no automatic vesting of assets with the trustee in a consumer proposal. But the property still has to be considered. A calculation must be done to estimate what the creditors would receive should a bankruptcy be filed, so this would include the sale of the rental property. Then in the proposal you simply have to make sure the offer you make to creditors provides a better recovery. But you should contact a local trustee and they will help you determine what type of offer you would need to make.