Heading Towards Safer Water

Banking Overdrafts – Protection or Peril

As children, most of us had the unpleasant experience of getting in a little over our heads while swimming. However, once we could feel the bottom, we were able to push with our feet and head towards shallower and safer water.

For the thousands of people in the Toronto area who are struggling to pay their debts – overdrafts can provide a misleading and false sense of touching bottom. Once you feel it, you may not be able to head for safer water.

In an earlier article on the dangers of overdrafts, we discussed the ‘dollar draining cycle of overdrafts‘, how to take back control, and learn to better manage money. We showed how, in addition to being costly and hard to get out of, overdrafts can cultivate a wrong (and potentially harmful) attitude towards money.

But what happens if you cannot break free of overdrafts?

Being unable to pay off and stop using your overdrafts – may be an indication of serious debt problems.

You may have fallen behind during a period of unemployment, illness or family crisis.

You may be using overdrafts in an effort to pay off debts that ultimately are unpayable.

Whatever the reason,

  • if you are too far in debt to stop using your overdraft, and
  • you know you cannot get out of your financial chaos on your own,
  • it may be time to talk to a licensed bankruptcy trustee, such as David Sklar & Associates – about a consumer proposal.

In Ontario, only licensed bankruptcy trustees can determine your eligibility as well as file and administer consumer proposals.

How can a consumer proposal help?

If you qualify for a consumer proposal, your trustee will work with you and present your unsecured creditors with your proposal to repay a portion of your debt. The proposal will help you to avoid bankruptcy and protect your assets from disbursal.

Your unsecured debts can include credit cards, CRA taxes, overdrafts, and more. There are some types of unsecured debts that cannot be included – such as child support, some student loans, court fines, and fraudulent debt. Your trustee will review the details with you.

Your secured debts, such as mortgages, car loans, etc. cannot be included in your proposal. You will be required to make your secured loan payments to keep those assets that have loans against them. However, with the reduced monthly payments for unsecured debts, most people who file for a consumer proposal, find it much easier to make their secured debt payments.

How do your find out if a consumer proposal is in your best interest?

If you are struggling with overdrafts and facing serious debt problems – it may be time to get the help you need to head towards safer water.

If you live in the Toronto area, you are welcome to call David Sklar & Associates at 416-498-9200 to book a free consultation with one of our caring, Licensed Debt Professionals™.

If you live outside the Toronto area, you can find a licensed trustee in your area by using the Superintendent of Bankruptcy’s Trustee Registry.

 

Take Your First Step Towards A Debt Free Life

If you are overwhelmed by debt and live in the Toronto area, call us at 416-498-9200 to book a FREE, confidential appointment. We will review your financial situation in detail and discuss all of your options with you. Alternatively, you can fill out the form below and our team will reach out to you. 

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Ready to live debt free?

I cannot emphasize enough how thankful I am for Jackie Stanley's help with filing for bankruptcy.All of us dread being put in this position and we have a million questions about the process but trust me Jackie makes it so easy for you that you don't have to do anything yourself!She is very kind and friendly and puts you at ease right away. She emphasizes with you and let's you know it's not your fault.Most importantly when you leave that first meeting you will not believe the load that is taken off your shoulders. You can actually feel it!You are a godsend Jackie and I can't thank you enough!!I hope you are highly valued there as much as you are by me!
Sue Murray
18:45 05 Dec 21
Putting together and executing a Consumer Proposal can be daunting, that is unless you work with Cori Naron at David Sklar & Associates Inc. Cori's advice and support has been instrumental over the past five years. Thank you Cori!!
Barry Kuntz
20:37 01 Dec 21
I’m very happy with the services I received for Jackie Stanley who helped me get my finances in order. It was a quick and easy process & all of my questions were answered.
Amanda Frappier
01:18 19 Nov 21
I have had the privilege of being supported by Jackie at David Sklar Associate. She was very helpful, very professional and very friendly. She gave me the help I need. Thank you Jackie for your help.
Alex Taylor
22:03 17 Nov 21
Got my probe solved, great service
arny raposo
17:02 11 Nov 21
Jackie at Daivid Sklar and Associates is such a pleasure to work with. She explained everything in great detail and is always there when I have a question or concern. She really cares about her clients.
Steve Medica
09:33 10 Nov 21
I filed a proposal with another group, which came in as a referral from one of my brokers. My experience went from ok to bad to worse, due to lack of communication and education on the process I was to embark on. I worked with Cori Naron in the past, and I came to her now for help on literally doing the work that the other group should have done. Cori stepped in, educated me, advised on rights, responsibilities, how the process works and what potential outcomes may happen. I do not have enough words of recognition and gratitude for what she did - she alleviated stress, anxiety, dead-end thoughts and she made me live again. Congrats to DSklar for hiring her and retaining such talent.
Giani Kokolakis
18:45 25 Oct 21
Very professional service. Before contacting David Sklar & Associates i contacted bunch of other firms they seemed fishy. After I spoke with Jason Sklar at Hamilton Office I discovered professionalism with hope. I was explained every step of my situation with solution professionally. Thank you David Sklar & Associates.
Wajay Awan
07:29 12 Oct 21
I met David a few months ago and i am glad I did. He has helped me all the way through my bankruptcy with good advice and explained every step of the process. David is a very down to earth and very professional. Anytime I've had a question I was able to reach out to David by phone or email and he always got back to me. If your struggling with your bills and need a way to get help, I strongly recommend David Sklar &Associates to help you. My experience with them on 1-5scale would be a 5;; My life is so much better now, thanks to David Sklar.
Bruce Locke
16:13 08 Oct 21
I have had the privilege of being supported by Jackie S, at David Sklar n Associate.She was helpful, professional and friendly. I was able to get the help I needed at a difficult time in my life. I would recommend anyone who needs support with working out their debts to ask for Jackie, she will be waiting to assist however she can to help you through your debts. She works with a team who is always ready and responsive.Thank you Jackie and your team:)
Denise Simpson
15:17 09 Sep 21
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