Consumer Proposal fees
May 5th, 2012 by Questions
If the fees that are charged by licensed trustess are regulated by government can you tell me how much it costs for a consumer proposal? I was just quoted fees of $1800 with a $500 deposit required now and remaining to be paid in 60-90 days.
Posted from: Ontario
One Response to “Consumer Proposal fees”
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May 05, 2012 at 8:55 pm, A licensed trustee said:
The preparation fees for a proposal are $1500 plus HST and are paid from your first payments to the trustee. In other words, whatever terms have beens et in your proposal (say $250 per month for 60 months) your trustee will be paid the preparation fee first – in my example it will take 6 months to do so. Trustees don’t usually require upfront fees – they certainly don’t allow you 60-90 days to pay the balance….
The arrangement you are describing sounds more like a debt consultant – someone that is charging you a fee and then will refer you to a trustee to file your consumer proposal for you (only trustees may file consumer proposals).
You should either ask whomever you are dealing with to prove that they are licenced trustees or call the nearest Office of the Superintendent of Bankruptcy and ask if the company you are dealing wiht are trustees.