Ontario Debt Settlement
Bankruptcy or Consumer Proposal’s are not the only options available if you are deeply in debt. There are other debt relief options available to Ontarian’s.
For many years, residents of Ontario from Toronto to Ottawa who were deeply in debt thought bankruptcy was their only option. After all, a Canadian bankruptcy erases all your consumer debts permanently. This debt erasure, however comes at a price – making you toxic to creditors for several years.
Insolvency, Bankruptcy and Consumer Proposal statistics breakdown for Ontario
|Kingston – Pembroke||Insolvency||5.6||5.1||4.9||5.0||4.6|
|Muskoka – Kawarthas||Insolvency||4.8||4.7||5.1||4.5||4.3|
|Kitchener – Waterloo – Barrie||Insolvency||5.8||5.1||4.8||4.3||4.1|
|Hamilton – Niagara Peninsula||Insolvency||6.1||5.5||5.2||4.7||4.2|
|Windsor – Sarnia||Insolvency||7.1||5.9||5.4||5.0||4.3|
Table source – Office of the Superintendent of Bankruptcy Canada
Many residents seem to be learning that bankruptcy is not the best option if one is deeply in debt. When compared to 2010, there was a forty five percent (45%) decline in the number of insolvencies in the province in 2014. Nevertheless, this figure is not necessarily as encouraging as it could be because it is more difficult and expensive to file for bankruptcy in Canada than ever before. These hurdles may contribute more to the decline in bankruptcies than consumers paying off their debt.
A better option may be debt settlement, which can wipe away a good portion of your debt without harming your credit as seriously. Moreover, it is easy to get a debt settlement in Ontario, so you will not have the same legal fees and time in court that a bankruptcy usually requires.
The debt settlement process consists of negotiations with creditors to accept debts as paid in full for less than what you actually owe. Someone might agree, for example, to settle a $10,000 debt with a creditor for $4000. Once the creditor signs the agreement and the debtor pays the new sum, the debt is satisfied and the debtor no longer has to worry about collection calls.
You may be tempted to negotiate an Ontario debt settlement on your own. But this is not a wise move because creditors are experts at securing the best terms for themselves and not you. That is why you should get professional debt settlement help. Fill out the Canada debt relief form for expert help and advice with debt relief in Ontario.