Debt consolidation is a loan offered to a debtor by their bank. For example, if you have $30,000 in credit card debt, if you qualify, the bank will give you a $30,000 loan to pay off these credit cards. Depending on your term and interest rates, the payments could be around $650 per month for 5 years or more.
A consumer proposal is a payment plan administered by a licensed trustee in bankrupty. You offer a payment plan to your creditors based on your ability to pay. In most cases the payment is alot lower than a debt consolidation.
To discuss a consumer proposal in more detail, call or email a question.
