Student Loan Debt and Consumer Proposals

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Consumer Proposals and  Your Student Loan Debt

Student loan debts are increasing for students, as cost of living and tuition increases as well. This leaves many students with a considerable student loan to manage.

Student loan debt is handled a little different than with unsecured debt. If you are considering proceeding with a consumer proposal, how will this affect your student loan debt?

For a student loan to be included within a bankruptcy, the student loan must be outstanding for over seven years from the date of completion of the student studies before it can be included within the bankruptcy.

With a consumer proposal, once the majority value of the unsecured debtors agrees to the proposal, then all unsecured creditors have to agree to the terms of the consumer proposal. The Student Loans Program will participate in dividends during the term of the proposal; however, you will be responsible for the balance outstanding after the dividends have been applied. (if the loan is under the 7 year mark)

If your student loan debt is under the 7 year mark, then we highly recommend that you keep making your monthly payments and on time. The other option is to contact your student loan department and see about making interest only payments. This can help you within your times of financial stress, and still keep help maintain your credit rating.

If you are troubled with student loan debt, here are some options you can look into:

If you have unpaid student loans and are considering a Consumer Proposal/Bankruptcy, you should to speak with David Sklar & Associates, Licensed Bankruptcy Trustees. If you live in the GTA, call to set up a free initial consultation, where we will assess your situation and explore all of your choices with you.

Take Your First Step Towards A Debt Free Life

If you are overwhelmed by debt, call us at 1-844-962-9200 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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the service was excellent, Grace Cuffaro and Serena Sklar was very helpful and knowledgeable.
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Trina was Very pleasant and professional to deal with made the process absolutely easy no stress at all explained everything simplified it down so I could understand it would definitely recommend it
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This place is great! Grace answered all my questions, very welcoming and I never felt judged! So far everyone I have dealt with was super polite, thorough and treated me with respect! 10/10 recommend!
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They are very accommodating and very respectful. They do very professional and make sure your worries are being addressed. Excellent job Samycha thanks for the help.
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Sharon Baltzer
Treated very well. They showed me a great deal of respect. Felt a load had been taken off my shoulders. Would highly recommend.
Ken Burgess
Your staff was all very helpful and kind. They did not make you feel like a lesser person. We are so happy we went to see you to get us out of debt.
Lawrence Wolfe
My experience working with Trina and then the rest of the team was great. They listened to all my concerns and addressed them.
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Great company with amazing experience. Satisfaction guaranteed. All information provided from experts help understand whole processes.
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5 Star Trustees with alot experience. Answer all my questions needed.
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