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Know Your Options

A Trustee in Bankruptcy is a licensed professional specializing in debt just like a medical doctor is a licensed professional specializing in your health. After a doctor performs an examination they’re able to provide you with your options and recommend a course of action to solve your health problems. A Trustee in Bankruptcy does the same thing during your free initial consultation. He takes the time to understand the specifics of your financial situation while focusing on what you owe, what you own, and what you earn. He needs to determine how deep the hole is and what you have to dig with. Regardless of your situation, Welker and Company always considers the following 5 options.

#1 – Do Nothing

Can you afford to get out of debt on your own? If so, we’re happy to confirm the good news and send you on your way. Unfortunately, for the vast majority of individuals who seek our help this isn’t a viable option as their paycheque or bank account are being garnished, their creditors are harassing them, or they’re unable to pay all of their bills each month. Regardless, this option is always one to consider.

#2 – Consolidation Loan

By obtaining a consolidation loan and using the one loan to pay all of your creditors you can often reduce your monthly interest rate and payments. For some individuals this is all it takes. While they can’t afford their current monthly payments this reduction in interest reduces their payments enough to make them affordable. While Welker and Company doesn’t offer consolidation loans directly, we are happy to refer individuals who would benefit from a consolidation loan to reputable lenders.

#3 – Debt Management Plan

Accredited Credit Counsellors offer 60 month repayment plans that stop interest from accruing while debts are repaid. The creditors must all agree to the repayment plan in order for the interest to stop and all debts must be paid in full. If it is interest alone that’s making your payments unaffordable than a debt management plan may very well may be a viable option. Welker and Company is happy to refer individuals who would benefit from this service to reputable credit counselling agencies.

#4 – Consumer Proposal

Only offered by licensed Trustees in Bankruptcy, consumer proposals allow individuals to repay less than they owe on an interest free basis over as many as 60 months subject to creditor approval. All creditors are bound by the proposal if a majority of creditors approve it. Consumer Proposals typically involve the repayment of one third of the outstanding debts. A successful consumer proposal requires adequate funding from reliable employment income or family and friends. A consumer proposal must be made if the individual is able to afford it.

#5 – Bankruptcy

As a last resort, when individuals are unable to make a consumer proposal or repay their creditors in full, bankruptcy is considered. Bankruptcy is often the quickest and least expensive way to free yourself from debt. The process can last as few as 9 months and cost as little as $1,800.

Only licensed Trustees in Bankruptcy can file Consumer Proposals or assignments in Bankruptcy. Welker and Company never charges upfront fees and encourages everyone dealing with too much debt to book an initial consultation before deciding on a course of action. The debt resolution industry is loosely regulated and full of empty promises. Get the facts before making any decisions and contact a Trustee in Bankruptcy, even if not Welker and Company, before making any decisions. You’ve got nothing to lose, except your debt.

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