Debt Help & Debt Relief in Toronto & GTA
If you are having financial difficulty or are on the verge of personal bankruptcy in Toronto, the GTA or in Southern Ontario, debt help is available for you at Harris & Partners Inc. Licensed Insolvency Trustee (formerly known as a Trustee in Bankruptcy). We can put you on track to eliminate your debt.
Debt Relief Options
There are various types of debt relief options that can help you manage and eventually eliminate your mounting debt:
1. Consumer proposal – A consumer proposal is an agreement with creditors, outlining the percentage of the debt you owe them and allowing you to extend the amount of time you can pay back this debt. The payments are made through the Licensed Insolvency Trust (LIT) which will pay the creditors on your behalf. This is typically the safest and most effective way to pay down debt.
Government debt relief program
Keep in mind that a consumer proposal is also the only Canadian government debt relief program. It is under the Bankruptcy and Insolvency Act – which makes it a legal debt settlement option to help you avoid bankruptcy.
2. Debt settlement – you hire a company to negotiate the debt with the creditor. You pay a fee, and the company will work to lower your overall debt and propose a lump-sum payment.
3. Debt management – a credit expert will review your circumstances and help you determine a repayment plan that works for you (how much and how often you will pay creditors).
4. Debt consolidation – you consolidate various debts under one loan to pay back to creditors. This approach can help you save on interest over time.
5. Declaring bankruptcy – with the help of a lawyer, you can go to the court to declare bankruptcy. They will evaluate your debts before granting you bankruptcy discharge – to wipe out your existing debt. This is typically the last resort after you’ve exhausted your other debt control options.
It’s important to choose the debt relief option that makes the most sense for you.
How Do Debt Relief Plans Affect Credit?
Debt relief plans can affect your credit in a number of ways and depending on the approach you choose – it can be good or bad. Although, if you are searching for debt relief options it’s likely the case that your credit has already taken some hits, fortunately debt relief plans can help to ensure further damage isn’t done to your credit score.
You will always have debt issues unless you start determining ways to get ahold of and prevent debt in your daily life.We recommend the following 6 steps to help you on the road to reducing your debt: