[et_pb_section fb_built=”1″ _builder_version=”3.22″ custom_margin_phone=”|||” custom_margin_last_edited=”off|desktop” custom_padding=”0px|||” global_colors_info=”{}” theme_builder_area=”post_content”][et_pb_row _builder_version=”4.7.7″ width=”95%” global_colors_info=”{}” theme_builder_area=”post_content”][et_pb_column type=”4_4″ _builder_version=”3.0.47″ custom_padding=”|||” global_colors_info=”{}” custom_padding__hover=”|||” theme_builder_area=”post_content”][et_pb_text _builder_version=”4.7.7″ _module_preset=”64efc48f-99dc-417d-a857-f5e2b7e04215″ global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n
When it comes to making important decisions about your financial future, knowing and understanding your options can make all the difference. Bankruptcy<\/a>, for instance, is not the only option when facing financial hardship.<\/strong>\u00a0<\/p>\n At Hudson & Company<\/a>, we explore all alternatives to find a debt solution that is custom-tailored to your needs. In this article, we break down what bankruptcy<\/a> is, and what it is not. If you would like to know what the difference is between a\u00a0consumer proposal\u00a0<\/a>and debt consolidation<\/a>, we have your answers here.<\/p>\n [\/et_pb_text][\/et_pb_column][\/et_pb_row][et_pb_row column_structure=”3_4,1_4″ make_equal=”on” custom_padding_last_edited=”on|phone” _builder_version=”4.14.7″ _module_preset=”default” background_color=”#f5f5f5″ width=”90%” max_width=”1124px” module_alignment=”center” custom_margin=”||||false|false” custom_margin_last_edited=”off|desktop” custom_padding=”15px|19px|15px|19px|true|true” custom_padding_tablet=”|5vw||5vw|true|true” custom_padding_phone=”|5vw||5vw|true|true” border_width_all=”2px” border_color_all=”#D1D1D1″ global_colors_info=”{}” theme_builder_area=”post_content”][et_pb_column type=”3_4″ _builder_version=”4.14.7″ _module_preset=”default” custom_css_main_element=”margin: auto;” global_colors_info=”{}” theme_builder_area=”post_content”][et_pb_text _builder_version=”4.14.7″ _module_preset=”7f77cf43-aace-4042-ba1a-643004813aaa” hover_enabled=”0″ header_4_font_size_tablet=”1.6vw” header_4_font_size_phone=”3.2vw” global_colors_info=”{}” theme_builder_area=”post_content” sticky_enabled=”0″]<\/p>\n [\/et_pb_text][\/et_pb_column][et_pb_column type=”1_4″ _builder_version=”4.14.7″ _module_preset=”default” custom_css_main_element=”margin: auto;” global_colors_info=”{}” theme_builder_area=”post_content”][et_pb_button button_url=”#free-phone-consultation” button_text=”Yes, Please!” button_alignment=”right” button_alignment_tablet=”center” button_alignment_phone=”center” button_alignment_last_edited=”on|phone” module_id=”overlay_unique_id_6292″ _builder_version=”4.14.7″ _module_preset=”_initial” custom_button=”on” button_text_size=”0.8vw” button_bg_color=”#099A82″ button_border_color=”#f5f5f5″ button_font=”|600|||||||” button_text_size_tablet=”1.6vw” button_text_size_phone=”3.2vw” button_text_size_last_edited=”on|phone” global_colors_info=”{}” button_border_color__hover_enabled=”on|desktop” button_border_color__hover=”#099A82″ theme_builder_area=”post_content”][\/et_pb_button][\/et_pb_column][\/et_pb_row][et_pb_row column_structure=”1_2,1_2″ _builder_version=”4.14.7″ _module_preset=”default” hover_enabled=”0″ global_colors_info=”{}” theme_builder_area=”post_content” custom_padding=”||0px|||” make_equal=”on” sticky_enabled=”0″][et_pb_column type=”1_2″ _builder_version=”4.14.7″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”][et_pb_image src=”https:\/\/bankruptcycalgary.com\/wp-content\/uploads\/2019\/06\/Consumer-Proposal-vs-Bankruptcy-1024×683.jpg” _builder_version=”4.14.7″ _module_preset=”default” theme_builder_area=”post_content” alt=”Consumer Proposal vs Bankruptcy” title_text=”Consumer Proposal vs Bankruptcy” hover_enabled=”0″ sticky_enabled=”0″][\/et_pb_image][\/et_pb_column][et_pb_column type=”1_2″ _builder_version=”4.14.7″ _module_preset=”default” hover_enabled=”0″ global_colors_info=”{}” theme_builder_area=”post_content” custom_css_main_element=”margin: auto;” sticky_enabled=”0″][et_pb_text _builder_version=”4.14.7″ _module_preset=”default” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n Consumer proposals<\/a>\u00a0are the number one debt relief solution in Canada. A proposal is a legally binding agreement that offers creditor protection and allows you to repay your debts at a much lower rate over a longer period of time.<\/strong>\u00a0A proposal is only legally recognized if it is filed by a <\/span>Licensed Insolvency Trustee<\/a>. While the trustee negotiates with creditors on your behalf, your payments are determined why what you can financially afford and the details of your particular circumstances. Your offer is accepted by creditors based on a majority vote.<\/span><\/p>\n [\/et_pb_text][\/et_pb_column][\/et_pb_row][et_pb_row _builder_version=”4.7.7″ width=”95%” global_colors_info=”{}” theme_builder_area=”post_content”][et_pb_column type=”4_4″ _builder_version=”3.0.47″ custom_padding=”|||” global_colors_info=”{}” custom_padding__hover=”|||” theme_builder_area=”post_content”][et_pb_text _builder_version=”4.14.7″ _module_preset=”64efc48f-99dc-417d-a857-f5e2b7e04215″ hover_enabled=”0″ z_index_tablet=”500″ text_text_shadow_horizontal_length_tablet=”0px” text_text_shadow_vertical_length_tablet=”0px” text_text_shadow_blur_strength_tablet=”1px” link_text_shadow_horizontal_length_tablet=”0px” link_text_shadow_vertical_length_tablet=”0px” link_text_shadow_blur_strength_tablet=”1px” ul_text_shadow_horizontal_length_tablet=”0px” ul_text_shadow_vertical_length_tablet=”0px” ul_text_shadow_blur_strength_tablet=”1px” ol_text_shadow_horizontal_length_tablet=”0px” ol_text_shadow_vertical_length_tablet=”0px” ol_text_shadow_blur_strength_tablet=”1px” quote_text_shadow_horizontal_length_tablet=”0px” quote_text_shadow_vertical_length_tablet=”0px” quote_text_shadow_blur_strength_tablet=”1px” header_text_shadow_horizontal_length_tablet=”0px” header_text_shadow_vertical_length_tablet=”0px” header_text_shadow_blur_strength_tablet=”1px” header_2_text_shadow_horizontal_length_tablet=”0px” header_2_text_shadow_vertical_length_tablet=”0px” header_2_text_shadow_blur_strength_tablet=”1px” header_3_text_shadow_horizontal_length_tablet=”0px” header_3_text_shadow_vertical_length_tablet=”0px” header_3_text_shadow_blur_strength_tablet=”1px” header_4_text_shadow_horizontal_length_tablet=”0px” header_4_text_shadow_vertical_length_tablet=”0px” header_4_text_shadow_blur_strength_tablet=”1px” header_5_text_shadow_horizontal_length_tablet=”0px” header_5_text_shadow_vertical_length_tablet=”0px” header_5_text_shadow_blur_strength_tablet=”1px” header_6_text_shadow_horizontal_length_tablet=”0px” header_6_text_shadow_vertical_length_tablet=”0px” header_6_text_shadow_blur_strength_tablet=”1px” box_shadow_horizontal_tablet=”0px” box_shadow_vertical_tablet=”0px” box_shadow_blur_tablet=”40px” box_shadow_spread_tablet=”0px” global_colors_info=”{}” theme_builder_area=”post_content” sticky_enabled=”0″]<\/p>\n Bankruptcy<\/a> is typically a last resort, but life does not always go as planned, and it is important to have a trained professional to help you through the process. Filing for bankruptcy<\/a> will take action to clear your debts and provide protection from creditors.\u00a0Bankruptcy<\/a> will eliminate your debts through the surrender of your assets in exchange for debt freedom. This solution is also fast acting \u2013 a person filing for the first time will likely be absolved from their debts within 9 months.\u00a0<\/strong>In cases of repeat filing or high-income status, it may take up to a maximum of 21 months to clear debts.<\/p>\n Are you unable to make your monthly debt payments in full? Do you owe $250,000 or less, excluding an unsecured home mortgage and personal vehicle? Would you have the ability to pay a portion of your debts if the payments were lower? If so, a\u00a0consumer proposal<\/a>\u00a0might offer an alternative to bankruptcy.<\/p>\n Consumer proposals<\/a>\u00a0guarantee that:<\/p>\n <\/p>\n A\u00a0consumer proposal<\/a>\u00a0can be a life-changing alternative to bankruptcy for the right person. For others, bankruptcy<\/a> may make more sense. It is important for a person facing financial difficulty to understand how both debt plans work, so they can make an informed decision.<\/p>\n <\/p>\n Any resident of Canada who files for bankruptcy<\/a> or a\u00a0consumer proposal<\/a>\u00a0must attend two sessions of credit counselling.<\/strong><\/p>\n <\/p>\n While there are many key differences between\u00a0consumer proposals<\/a>\u00a0and bankruptcy<\/a>, they both guarantee debt resolution and creditor protection.\u00a0<\/em>A licensed professional will help you navigate the intricacies of each option and your own circumstances to find the right path towards achieving debt freedom.<\/p>\n Debt settlement is a broad term and can mean many different things. Bankruptcy<\/a> and\u00a0consumer proposals<\/a> could be considered forms of debt settlement. In most cases, however, agencies offering debt solutions will advertise \u2018debt settlement\u2019 plans. These companies often promise the world but deliver poor results.<\/p>\n To begin with, these agencies simply cannot guarantee that your settlement will be accepted. Because these services are not rendered by Licensed Insolvency Trustees<\/a>, their employees are\u00a0not able to guarantee creditor protection from collection calls, wage garnishment, or aggressive legal action.\u00a0<\/strong>Because most agencies will advise you to stop making your scheduled payments and it can be several months to years before they approach your creditors with a settlement offer, this means you will be hounded by creditors. The process can take several years, and there are often hidden service costs. These agencies will typically not make contact with your creditors until a significant amount of money is accumulated. As a result, it offers a rather unsettling form of debt settlement.<\/p>\n A\u00a0consumer proposal<\/a>\u00a0will consolidate your debts. But, debt consolidation<\/a> in the traditional sense will gather your debts together into a single loan. A single monthly payment simplifies your life. In most cases, your interest rate will also be lower with a loan.<\/p>\n <\/p>\n <\/p>\n <\/p>\nConsidering your options? Get professional advice with a free and confidential phone call!<\/h4>\n
Should I consider a\u00a0Consumer Proposal<\/a>?<\/h2>\n
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What are the different criteria?<\/h3>\n
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What are the differences in debt resolution?<\/h3>\n
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How do the terms and conditions compare?<\/h3>\n
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Comparing asset allocation?<\/h3>\n
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What about my income?<\/h3>\n
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What are the differences in credit rating?<\/h3>\n
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What are the differences in obligations?<\/h3>\n
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What about taxes?<\/h3>\n
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Could \u2018debt settlement\u2019 be the answer?<\/h3>\n
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Should I consolidate my debts<\/a>?<\/h3>\n
Advantages of<\/em>\u00a0this debt management plan include the fact that:<\/em><\/h4>\n
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Disadvantages of debt consolidation<\/a> can include the fact that:<\/em><\/h4>\n
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