Falling behind on your bills, whether telephone bills, utility bills, rent, or car payments, is a common warning sign that deserves further attention. Being behind on your bills is a typical sign of a budget shortfall meaning that your monthly expenses exceed your income,
The first step is to prepare a budget and compare your income with your expenses. If you have a budget surplus, meaning that your income is greater than your expenses, then it’s simply a matter of applying that surplus to your overdue bills and catching up in time.
If your expenses are greater than your income than you have a shortfall or deficit. If this is the case you must determine the cause. Is your income too low due to a recent lay off, reduced hours, or loss of job for example, or are your expenses simply too high? By analyzing your expenses you can identify opportunities for savings such as:
Alternatively, you may seek to increase your income by:
Overdue bills alone can typically be managed through budgeting and a renewed focus on your income and expenses.
When you have other debts, such as credit card balances, lines of credit, or payday loans in addition to your overdue bills, and payments towards those debts are causing you to fall behind on your bills then a Consumer Proposal may be your solution.
Some of us face personal financial crisis during our lives. We may be able to solve some money problems ourselves, but sometimes we need professional help. The situation may have gradually worsened over time, or happened suddenly because of a job loss, serious illness, divorce, or other major life event.
Whatever the cause, if you’re struggling with debt, you have options. Recognize the danger signals.
You may have a debt problem if:
Meet with a Licensed Insolvency Trustee to go over all of your options
If you are facing serious financial difficulties, you will want to meet with a Licensed Insolvency Trustee. When you meet with a Licensed Insolvency Trustee, try to assemble as much information about your financial situation as possible including: credit card statements, bank statements, pay stubs, mortgage records, loan documents, etc. A Licensed Insolvency Trustee will explain your options and the advantages and disadvantages of each option. The consultation is free, and it does not cost anything to start working with a Licensed Insolvency Trustee. If you are asked by for money up front it is a red flag; call us instead.
A Licensed Insolvency Trustee is an officer of the court who balances the interests of you and your creditors. In addition to helping you assess your situation, a Licensed Insolvency Trustee will inform and advise you about both the proposal and bankruptcy processes and play an impartial role in ensuring your rights, as well as those of the creditors, are respected.
A Licensed Insolvency Trustee is the only professional authorized to administer government-regulated insolvency proceedings that allow you to be discharged from your debt, such as a consumer proposal or a bankruptcy.
When you work with a Licensed Insolvency Trustee, you can rest assured that you are dealing with someone who has demonstrated that they have the knowledge, experience and skills to be granted a license from the Office of the Superintendent of Bankruptcy, and is overseen by federal regulators.
A Licensed Insolvency Trustee:
We don’t sell our services. We simply assist you to understand your options and support you in deciding what path is best for you.