Personal Debt Solutions

Don’t Let Your Money Define You

With over 60 years of experience, Crowe MacKay & Company is committed to providing honest advice - meaning we tell you what you need to know, not what you want to hear.

Our team of Licensed Insolvency Trustees understands how overwhelming it is to deal with debt and is committed to working with you to regain your financial freedom. We know that money matters are personal, so we take the time to get to know our clients to understand each unique circumstance.

When working with our team, you can be certain about the care you will receive – no judgments, just personalized debt solutions to help you [re]build your financial future.

Debt Reducing Solutions

Let our team of Licensed Insolvency Trustees work with you to create a customized solution to manage your debt.

Consumer Proposal

Ordinary Proposal

Bankruptcy

Debt restructuring and credit relief solutions icon

Debt Restructuring & Credit Relief Solutions

The Knowledge Bank

How do you know if you need financial help?
Ask yourself these questions:
- Is it difficult to pay your bills on time?
- Are you making minimum payments on your credit cards? (or missing payments?)
- Do you spend over the limit on your credit cards, overdraft or line of credit?
- Have you missed a mortgage or loan payment?
- Are collection agencies/companies calling you for payments?
- Does your current financial situation have you feeling stressed and anxious?
Defining Debt
Does money talk make you uncomfortable? Review these key terms to build confidence when discussing debt.

Consumer Proposal: Unlike informal negotiations, a proposal acts as a binding contract between you and your creditors. The form of a proposal is very flexible and can be tailored specifically to your circumstances. For instance, a proposal can involve:
- Compromising your debts
- Delaying payment
- Converting debt to equity
- A combination of them all
This option is only available to those with consumer debts of less than $250,000.

Bankruptcy: Bankruptcy is when you cannot repay reduced amounts to creditors and have to sign over most of your assets to pay for your outstanding debts. This option is for individuals who have liabilities greater than $1,000, where their debt exceeds the value of their assets.

Ordinary Proposal: (Division 1 Proposal): Similar to a Consumer Proposal, an Ordinary Proposal applies to individuals (or businesses) with more complex situations with debts over $250,000.

Insolvency: The state in which you are unable to repay all of your debts.

Secure Debt: Loans protected by collateral, i.e. mortgage, auto loans, home equity lines of credit. This type of debt is commonly known to have lower interest rates and be less of a risk.

Unsecured Debt: Loans not protected by collateral., i.e. credit cards, student loans, and personal loans. This type of debt is commonly known to have higher interest rates and is riskier.

Licensed Insolvency Trustees (LIT): These are the professionals you will work closely with when managing your debt to make informed decisions. LITs are federally regulated professionals and will deal with creditors on your behalf.

Find our full glossary of terms here.

Options That Make Cents

What’s the best way to deal with debt? There is no one size fits all, but when you work with a Crowe MacKay & Company Licensed Insolvency Trustees, be confident knowing you will receive a customized solution to manage your debt. Below we’ve listed standard options for repairing your debt.

Increase your income: To increase your household’s income, you could consider getting a second job, or a non-working family member could seek employment. Before proceeding, you should factor in any additional related expenses such as childcare, transportation and attire before proceeding down this route. This solution may work in less complex situations where you are not dealing with a significant amount of debt.

Budgeting: By creating a budget, you track the money “coming in” and “going out” of your household each month, including rent, food and other needs. This tool allows you to identify imbalances in your finances and where you can reduce your spending.

Loan consolidation: Bundle all of your debt ( i.e. credit cards, loans) to create one simple and convenient monthly payment. If you can do this, you should refrain from using your credit cards and live on a cash-only basis until the consolidation loan has been paid in its entirety - this will stop you from taking on more debt. This option is not for everyone, as many people in financial difficulty cannot get a consolidation loan through conventional sources. If you can qualify for a loan, it is essential to shop around for the best interest rates and repayment terms.

Consumer proposals: This is a legally binding process governed by the Bankruptcy and Insolvency Act that a Licensed Insolvency Trustee can only administer. The proposal is flexible and tailored to your financial situation, typically giving a percentage of what you owed to creditors, paid over an extended period. The maximum term for a proposal is five years.

Ordinary proposals: Similar to a consumer proposal, but applies to those with debt over $250,000.

Filing for bankruptcy: Bankruptcy is an option when you cannot pay creditors. When a LIT files for bankruptcy, you are protected from those you owe money to, but it requires you to sign over most of your assets to clear up unsecured debt quickly.

Discuss your Debt Relief Options

For any questions on debt solutions and debt restructuring in Vancouver, call us, or complete the form below. We look forward to speaking with you.

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