Credit Counselling and Consumer Proposal

While there are a few similarities there is definitely a difference. Credit Counseling will offer a Debt Management Plan (or in some provinces like Alberta Orderly Payment of Debt). Both of these are options that allow you to pay the debts in full with a reduced interest rate over a period of time.

The biggest difference is that a Consumer Proposal will often allow you to negotiate to pay a portion of the debt over a period of time. The interesting thing is that they both result in the same impact on your credit, so most people opt for the consumer proposal as it is typically cheaper and ultimately you end up in the same place.