Free Consultation

From consumer proposal to personal bankruptcy

I am in 36monthx$700 per month consumer proposal, the trustee fee (such as trustee fee, conselling fee) will be paid from the amount of $252000(36×700).

In the middle of consumer proposal, asseume in the 20th month of the consumer proposal, I will suffer from permanent cash income reduce, which may lead me to file bankruptcy to stop this consumer proposal. I will file this bankruptcy through the same trustee.

If I file bankruptcy, do I need to pay another new amount of bankruptcy fee(such as court fee, trustee fee, conselling fees) to the trustee? In other words, I firstly file consumer proposal, pay a fee to trustee, then I file bankruptcy in the middle life of consumer proposal, will I pay a new amount of bankruptcy fee to trustee (and courts, counselling)?

One Response to “From consumer proposal to personal bankruptcy”

Barton Goth GCO Bankruptcy Trustees said...

The first thing you may want to consider is trying to send an amended proposal due to change in circumstances. It may be possibile to get the creditors to agree to a reduction.

In terms of filing bankruptcy after a proposal, it is just as if the proposal was never filed so you will have to pay trustee fees, court registration costs, and costs to register with the Superintendent of Bankrutpcy just like everyone else.