February 4th, 2012 by Questions
Can you please help me with the two questions below:
1. If my consumer proposal is rejected, will I need to pay the full amount owed or can I keep making the same monthly payments I am making now
2. Does the interest on the credit cards stop accruing the day I file or after it’s accepted?
3. Why does the trustee need information on a my life insurance policy and would my life insurance agent find out that I have filed a proposal?
Posted from: British Columbia
One Response to “susan”
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February 04, 2012 at 8:35 am, A licensed trustee said:
1. If your proposal is rejected (which is not what ususally happens unless you don’t listen to your trustee and offer a number that is too low) then you will need to contact your creditors to make payment arrangements. Most will set you up on a payment plan at your old interest rate.
2. Interest stops on the day you file your proposal. If it is accepted then therev won’t be any new interest charges. If it is rejected, interest is retro-actiovely charged back to the day you filed the proposal.
3. Your trustee needs to ask you about any/all of the things that you own – your insurance falls into that category. If you file a proposal your trustee is unlikely to contact your insurance agent – trustees usually only contact your agent if you file for bankruptcy.