Car and Credit Score in Consumer Proposal
June 9th, 2014 by Questions
Hi there – If I decide to go with consumer proposal do I lose my car even if I have a loan on it and what happens to my credit score?
Posted from: Manitoba
One Response to “Car and Credit Score in Consumer Proposal”
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June 09, 2014 at 10:37 am, Jillian Taylor-Mancusi, Trustee | B.A. | C.I.R.P said:
When you file a consumer proposal your assets, such as your car do not vest in the trustee. That is to say that the proposal would have to be crafted to insure that you get to keep the car. When you meet with a trustee in bankruptcy they can explain that in detail.
In that you are unable to pay your debts in the normal course of events, thus the need for a proposal, the proposal will not hurt your credit score much worse than it is right now. The credit bureau reports the fact of a proposal for three years after the completion of the proposal.