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credit rating after completing a consumer proposal

Hi! We just completed our consumer proposal payments this year. Is it possible to apply for a credit card or car loan , or if possible mortgage (first time house house buyer) loan to help us rebuild our credit? What is our credit rating after completing a consumer proposal payment? Thanks.

Posted from: Ontario

One Response to “credit rating after completing a consumer proposal”

Doug Stuive, CA | Trustee | CIRP said...

Legally you can apply for credit but it may take a few years to be able to recover your credit rating after completing your consumer proposal. You may wish to start with a secured credit card. This means that you pay a security deposit to the credit card company which they keep in reserve in case you default on your credit card. This type of card is easy to obtain and will improve your credit score with proper use. After you have some good credit along side your proposal credit you may be in a position to apply for other products. After three years your consumer proposal and the debt from that proposal will be erased from your credit report. At that time you can look at obtaining a mortgage successfully.
There are some mortgage brokers and companies that can help you obtain a mortgage before that time but you would want to approach these opportunities with caution to make sure the interest rates and or service charges are reasonable.