If you feel overwhelmed by debts, you are not alone.
According to data from credit rating agency Equifax Canada’s fourth quarter of 2019, Calgary residents have $29,789 as their average debt. Over the same period, the average delinquency rate (that is, the percentage of credit users missing at least three payments) in Calgary was 1.37 percent. This was higher than the reported delinquency rate in Canada on non-mortgage payments, which stood at 1.2 percent during the last three months of 2019.
It is natural to be worried. We get it.
But as a consumer debt management firm serving Calgary, we also know that there is hope.
We meet people every day who are in a debt situation that may be similar to yours and know for a fact that it is possible to look beyond your current debts and the insecurities they bring.
The first step is to talk to an expert who is ready to listen and help.
We are right here. Contact us for a free credit assessment.
Consumer Debt Consulting Calgary
Consolidate your debt with easy and affordable monthly payments
A lot depends on your level of debt and your personal preferences including how much you are willing to re-think your expenses. Adopting a more disciplined budget might help you to a certain extent. Try to come up with a plan and stick to it. Create a list of priorities so that you are able to manage the must-haves and slowly work your way out of debt.
Here are a few other options to consider when the debt to deal with is too much and cannot be managed by simply putting expense restrictions in place.
We suggest you consider this option when you don’t want to go the bankruptcy route but find yourself struggling with a very daunting debt amount. According to the Bankruptcy and Insolvency Act, a consumer proposal is a fully-legal and responsible arrangement between you and your creditor that is worked out by a Proposal Administrator.
With a consumer proposal in place, you get to lower your payments to fixed schedules and debt collectors can no more call you. What’s more, you can still hold on to your home or your car, which you may have lost in a bankruptcy.
In this approach, you work with a credit counsellor like Consumer Debt Consulting to pay your unsecured debts through one manageable monthly payment. You typically get five years to pay off all that you owe. In this approach, interest rate is either lowered or frozen to a certain number. You need to pay to your credit counsellor, who will then distribute this to your creditors.
We will work with you and help you understand if a DMP is the right choice for you. We will look closely into such factors as whether your creditors are likely to accept such a settlement and if your financial situation will permit the payment of a fixed monthly amount.
This option will typically let you ‘settle’ to pay an amount to your creditor that is less than what you owe. Creditors are willing to agree to this approach as, in many cases, they get nothing when the debtor files bankruptcy. Although this might appear to be the best solution, you might need to meet a few conditions to opt for it. For example, you need to owe at least $10,000 in unsecured debt.