Proposal 75K limit
I have unsecured debt for c.a. 70K and student loans(undischargable) for some 40K.
Can I make proposal under BIA to those unsecured creditors? In other words, does the 75K limit for proposals applies calculating ALL debt or only those debts that are dischargable in bankruptcy?
The $75,000 limit for consumer proposals includes all of your debts except secured debts that relate to your principal residence (that means the mortage on your home). In other words, your student loans would be included in the calculation of your total debt (so would things like a car loan or lease, mortgages on investment properties, etc). Based on the facts you have provided you are not eligible to file a consumer proposal.
It may be possible to file a different type of proposal, commonly called a Division I Proposal, to deal with your debts. This procedure has no “limit”, but is more complicated and therefore more costly to prepare and administer.
I suggest you contact a local trustee and ask them in a proposal is the right solution for your financial problems.