June 3rd, 2012 by Questions

i have filed a cosumer proposal .60,000 out of 79,000 owed to royal bank.I was asked to pay trustee 150.00 at meetin then postdate my first payment of 600.00 a month.Is this a normal process .also is it true royal bank refuses majority of CP

Posted from: Ontario


One Response to “concerned”

, A licensed trustee said:

Let’s deal with the payments first – if your trustee asked for $150 when you filed it is because they want to be able to pay your “filing fee” to the government from payments you have made, rather than from their corporate account. I get it – it’s cheap, but most trustees are accountants…

The post-dated cheque is ok too – it means your trustee likely isn’t set up for pre-authorized payments. Between the two things, the cash for fees and the post-dated cheques, it suggests your trustee isn’t up to speed on current technology or practice – that’s not necessarily a bad thing…

As for RBC, well, they set the most strngent terms for proposals. Their basic rule is the same as every other bank – they want you to repay at least as much as a bankruptcy or 1/3 of your debt, which ever is greater, BUT whenever they have a majority of the debt (when you owe them more than half of everything that you owe) they tend to take a closer look and decide for themselves how much is enough. In these cases it can be difficult to predict what the bank will do…

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