Most people start by asking what creditors you can include in a consumer proposal when it comes to major banks. The answer is simple: all unsecured bank debts qualify. This includes credit cards, loans, unsecured lines of credit, and overdrafts.
Once filed, these lenders must freeze interest and stop all collection activity.
Collection Agencies
Any account sent to a collection agency can be added to your proposal. Agencies must stop calling, emailing, threatening legal action,
or adding fees.
Our trustees notify them immediately so the pressure ends for good.
Government Debts
Many types of government balances are eligible. This includes CRA tax debt, GST/HST amounts owing, CERB or CEWS overpayments, and old student loans (over seven years).
These debts freeze the moment the proposal is filed, giving you protection even against aggressive
government collections.
Payday and High-Interest Lenders
Payday loans, instalment loans, cash advance platforms, and online lenders can all be included.
These debts often carry extremely high
interest, but a proposal stops the charges instantly and rolls everything into one manageable monthly payment.
Judgments and Lawsuits
Even if a creditor has sued you, the debt can still be included.
The moment your proposal is filed, all legal action stops—including wage garnishments and bank freezes.. Our trustees at Yanch Dey will send notice to employers and banks so enforcement ends quickly.
Debts You Cannot Include
Only a few debts cannot be discharged:
- Child or spousal support
- Court fines
- Fraud-related balances
- Student loans under seven years old
Even when these debts cannot be included, reducing your other obligations often makes them far easier to manage.
