Top 6 things to do to Avoid Bankruptcy in Calgary
1.Try to work through your debts on your own. Cut expenses or get a second job.
2. A debt consolidation loan is an option if you have good credit, or if you have a friend or family member willing to co-sign a debt consolidation loan. If you have equity in your house, you could get a second mortgage and use the loan to repay your higher interest rate credit cards, so you reduce the interest you are paying. Be careful on 2nd mortgages as they often cannot be repaid and you will ultimately lose your house.
3. If your debts are more than one year old, a debt settlement may be an option. In a debt settlement you offer to pay less than the full amount owing to your creditors. Creditors may be willing to accept less than the full amount owing. You will likely need to offer the settlement as a lump sum of money.
4. If you don’t have a lump sum of money, credit counseling, or a debt management plan, may be an option. A not-for-profit credit counsellor will contact your creditors and work out a plan where you repay the debts in full, but generally at a reduced or zero interest rate.
5. If you can’t afford to repay the debts in full, a consumer proposal is another option. In a consumer proposal your consumer proposal administrator negotiates a payment plan where you pay back a portion of your debts, generally between one third and one half of what you owe. This allows you to get relief from your debts, but avoid bankruptcy.
6. Sell Your House Today and free up some money to pay your debts. We only offer cash and close as quick as you need.
You do not want to declare Bankruptcy — and you dont want to have a Foreclosure either. These are credit damaging and difficult to move past or recover from.
Call us at 403-283-6777 and we can help you make the best decision moving forward.