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Husband is considering a consumer proposal, instead of bankruptcy

My husband is considering consumer proposal, we own a house together and he owns a quarter of a cottage with his family. Can creditor’s ask for the equity in those properties, even though he’s a partial owner?

One Response to “Husband is considering a consumer proposal, instead of bankruptcy”

A licensed trustee said...

In a consumer proposal creditors typically receive payments over a period of time; they don’t receive the actual asset, meaning it is unlikely your husband would lose the house or cottage.

To determine the correct amount to offer the creditors in a consumer proposal your trustee will determine how much the creditors would receive in a bankruptcy, and then offer them a greater amount, over a period of time.

For more information, I suggest you contact a licensed trustee to fully explore your options.