If your situation changes and you cant manage your Consumer Proposal payment, it may be possible for your Licensed Insolvency Trustee to modify your debt settlement terms by filing an amended Consumer Proposal.
In this situation, your creditors would be advised of your intention to change your Consumer Proposal terms, and they must agree to accept the amended Consumer Proposal. As with the original proposal, if the majority of creditors (by dollar value) vote in favour, the new proposal terms will take effect.
In rare cases, an adverse change in circumstance may lead a person who has filed the Consumer Proposal to abandon it altogether and file a personal bankruptcy. While a Consumer Proposal is an alternative to personal bankruptcy, it does not take away the option to file a bankruptcy if the circumstances warrant it.
If you have an ongoing Consumer Proposal and feel your situation is making it challenging to fulfill, speak with your Licensed Insolvency Trustee or Estate Manager as soon as possible. We will work with you to find an alternative solution.