Credit Counselling in Brantford

Credit Counselling, also known as a Debt Management Plan, is an alternative to filing bankruptcy or a consumer proposal, and is provided by non-profit credit counsellors that are members of the Ontario Association of Credit Counselling Services.

Credit counselling has two components. First, the credit counsellor at the Family Counselling Centre of Brant will meet with you to assess your financial situation, help you make a budget, and give you some advice about dealing with your money problems.

Next, if your debt problems are so large that you can’t handle them on your own through budgeting and expense reduction, they will work out a debt management plan with your creditors. In a Debt Management Plan the people you owe money to (your creditors) agree to take payments over time.

In a Debt Management Plan you must repay your debt in full, but in many cases the creditors will agree to a reduced interest rate, or even no interest at all.

Since you are required to repay your debts in full, a Debt Management Plan is most appropriate for someone who has enough income to repay their debts, but just requires an extended time period to make the payments.

If you can pay some of your debt but not all of your debt, a consumer proposal may be a better option. If you cannot reasonably be expected to make any significant payments towards your debt, a bankruptcy may be required.

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