What is a
consumer proposal?
A plain-language introduction to the process, the people involved, and the questions worth asking.
A little clarity changes things
Your debt doesn’t
define your next chapter.
Understand consumer proposals, explore your options, and take your next step with more confidence. Clear information for Canadians, at your own pace.
✓ No pressure✓ No sign-up to learn✓ Canadian resources
Education comes firstUnderstand before you decide
Know who you’re talking toWe are not an LIT
Clear about our roleDisclosed professional referrals
Potential debt reductionUp to 80%of eligible unsecured debt, in some cases.
You may be able to repay
less than you owe.
A consumer proposal may reduce eligible unsecured debt by up to 80% in some cases. A Licensed Insolvency Trustee assesses your finances and helps develop an offer for your creditors.
This is a possible outcome, not a guaranteed or typical reduction. Your income, assets, debts and creditor acceptance affect the terms. You must complete the accepted proposal to receive its debt relief. ConsumerProposal.ca is an educational publisher, not an LIT.
Explore whether a proposal could fit80% possibility: Hoyes, Michalos & Associates · Process and conditions: OSB
Start with understanding
Less uncertainty.
More perspective.
You don’t need to know all the terminology. Start with the question that’s on your mind.
What is a
Is there another
way forward?
See how proposals compare with bankruptcy, consolidation, and credit counselling.
Compare your optionsWho can help
with the next step?
Learn what a Licensed Insolvency Trustee does and how to find a licensed professional.
Understand the LIT’s roleDifferent paths. Different needs.
Your situation
deserves a closer look.
There’s no single answer for everyone. Get familiar with the differences before deciding what to explore.
Consumer proposal
Formal processA formal offer to your creditors to repay a portion of what you owe, extend the time to pay, or both.
Who to speak withLicensed Insolvency Trustee
What to understandTerms, affordability and creditor acceptance
A useful first questionIs a proposal suitable for my situation?
Read the official OSB explanation ↗A starting point for learning, not a recommendation. A qualified professional can assess your full circumstances.
Put the numbers in perspective
Make room for
a clearer picture.
Explore how a hypothetical repayment amount changes across different timeframes. No email needed.
Consumer proposal scenario calculator
What could a payment look like?
Choose an illustrative total and a repayment term. These are your assumptions, not an offer.
$500$60,000
Repayment term
Your illustrative monthly payment
$250 / month
$12,000 spread over 48 months
This is a payment scenario, not an eligibility decision or a quote. Your actual proposal depends on your circumstances and the formal process.
For this illustration, the entered total includes any assumed fees. We divide it into equal monthly payments; no debt-reduction percentage is assumed.
Take it one step at a time
You don’t need every answer.
Just a place to start.
A little preparation can make the next conversation easier.
1
Get the full picture
Bring together your debts, income, essential expenses, and the questions on your mind.
2
Understand the possibilities
Compare how different options work and what each could mean for your circumstances.
3
Talk with the right person
A licensed professional can assess your situation and explain the choices available to you.
A little more clarity
For the questions
that stay with you.
Let’s clear a few things up
Questions are
a good beginning.
Plain answers to some of the things you may be wondering.
No. ConsumerProposal.ca is an educational website with disclosed professional referrals. We do not file or administer consumer proposals or bankruptcies. Those services are handled by a Licensed Insolvency Trustee.
No. They are different legal processes with different responsibilities and consequences. A proposal involves an offer to creditors. An LIT can explain both options, including costs, assets, and the implications for your situation.
No. It divides a hypothetical repayment total by the term you select. It cannot assess eligibility or predict creditor acceptance. Use the result to explore a scenario and prepare questions, not as an offer or expected outcome.
No. You can contact an LIT directly using the Office of the Superintendent of Bankruptcy’s directory. You are free to choose whom you contact. Any referral relationship or compensation through this website will be disclosed before you proceed.
A clearer next step
starts with a conversation.
Learn about Licensed Insolvency Trustees and find the official directory. You can contact a professional directly.