Consumer Proposal vs Bankruptcy – Which One is Right for You? If you struggling with debt, how do you know which debt relief option is right for you? Both consumer proposals and bankruptcies have similar benefits, but the length and cost are different. Listen to this week’s podcast as Ted Michalos, my partner and cofounder, compares various aspects of filing a consumer proposal vs bankruptcy.
Consumer Proposal vs Bankruptcy: Legal Protection
Both consumer proposals and bankruptcies provide a stay of proceedings, meaning that all actions against you has to stop. Therefore:
Creditors cannot sue
A lawsuit in progress must stop – unless they get permission from the court to continue
Wage garnishment stops
Collection calls stop