When dealing with a debt problem as many as 95% of people don\u2019t seek professional support right away. Once the decision is made to get help, it\u2019s not uncommon for people to feel overwhelmed trying to understand what resources are available, and where to turn for qualified debt advice and solutions.<\/p>\r\n\r\n\r\n\r\n
There\u2019s a lot to consider when you are deciding who best to help you with your debt. This decision is of course on top of any financial stress you\u2019re coping with, and hesitations you might have in talking openly about your financial situation to someone who is essentially a stranger. Before speaking with any credit counsellors or debt agents, you should understand the main differences in debt services, and key questions to ask before proceeding with any debt management or restructuring plans.<\/p>\r\n\r\n\r\n\r\n
Although credit counselling and similar services may be offered under many different names, here\u2019s an overview of the main three types of professionals offering debt help to consumers in Canada:\u00a0<\/strong><\/p>\r\n\r\n\r\n\r\n Licensed Insolvency Trustees are Canada\u2019s only<\/u><\/strong> federally regulated debt help professionals, fully qualified and endorsed to provide debt advice and services to consumers.<\/p>\r\n\r\n\r\n\r\n In Canada credit counselling agencies may be private companies or non-profit organizations. Legally there is no specific training or education required to call yourself a credit counsellor or perform credit counselling services.<\/p>\r\n\r\n\r\n\r\n Debt consultants operate under many different titles in Canada and may work as individual agents or part of a for-profit company. Like credit counsellors, they are not legally required to have any specific training or qualifications.<\/p>\r\n\r\n\r\n\r\n Without understanding the differences in services and asking the right questions, many people end up paying unnecessary costs or sinking even deeper in debt – it is crucial that you make an informed decision before<\/em> moving forward with a debt solution.<\/p>\r\n\r\n\r\n\r\n Debt Settlement Agent or Credit Counsellor – What\u2019s the Difference? Read More<\/a>\u00a0<\/strong><\/p>\r\n\r\n\r\n\n Book your free consultation with one of our experts and start living a debt-free life.<\/p>\n \n BOOK YOUR FREE CONSULTATION <\/a>\n <\/div>\n <\/div>\n<\/div>\n\r\n\r\n\n <\/div>\n <\/div>\n <\/div>\n <\/div>\n \n\n\r\n\r\n\r\n Asking the following key questions will help you better understand how any debt repayment plan you\u2019re considering will work for you and your specific situation. Particularly when it comes to informal options such as credit counselling and debt pooling, many people find that with the limitations and uncertainties of these services, they don\u2019t meet all their needs.<\/p>\r\n\r\n\r\n\r\n You want to be sure that any advice you receive is from someone knowledgeable about Canadian credit and debt.<\/p>\r\n\r\n\r\n\r\n Since only Licensed Insolvency Trustees hold an official government-qualified designation as debt help professionals, any training and certification credit counsellors or debt consultants have will be through self-regulated organizations which may vary significantly in quality and rigor. In addition, since there are no legally required training programs, many people operating as credit counsellors or debt consultants may not have any formal training at all!<\/p>\r\n\r\n\r\n\r\n At minimum<\/em> you should ensure that anyone you consider working with has:<\/p>\r\n\r\n\r\n\r\n Vague claims and advertising statements companies make can be confusing, and some even advertise their services as being part of a government program, which is completely misleading if they are not Licensed Insolvency Trustees. For example:<\/p>\r\n\r\n\r\n\r\n If you are ever in doubt whether you are speaking with a debt professional qualified by the government, or a representative who can manage a Consumer Proposal or bankruptcy for you, ask:\u00a0<\/em> It should never cost you money to discuss your debt options or have a consultation, but there will be costs if you decide to go forward with any type of financial restructuring plan.<\/p>\r\n\r\n\r\n\n\n Be careful seeking advice – some agents will encourage you to use their services instead of other good options you may have, because they are going to make money by helping you. Be extra vigilant if you are advised against a Consumer Proposal or personal bankruptcy by an advisor who is not qualified to assist you in either of those remedies. It\u2019s always advisable to get an opinion from a Licensed Insolvency Trustee.<\/p>\r\n\r\n\r\n\n Book your free consultation with one of our experts and start living a debt-free life.<\/p>\n \n BOOK YOUR FREE CONSULTATION <\/a>\n <\/div>\n <\/div>\n<\/div>\n\r\n\r\n\n <\/div>\n <\/div>\n <\/div>\n <\/div>\n \n\n\r\n\r\n\r\n Always be clear on what your monthly payments will get you, what out-of-pocket costs you will be charged, and whether you are expected to pay upfront fees before any work will be done on your behalf. Here are a few examples of the different types of payments<\/a> you could encounter:<\/p>\r\n\r\n\r\n\r\n How Much Debt Will a Consumer Proposal Eliminate? Learn More<\/a><\/p>\r\n\r\n\r\n\r\n Before committing to any plan or repayment program, be sure it will cover all the debts for which you need help. For example, government debts including income tax debt, student loans, or CERB overpayments<\/a> can only be managed (and reduced, or forgiven completely) by working with a Licensed Insolvency Trustee.<\/p>\r\n\r\n\r\n\r\n It\u2019s also important to find out what will happen if any creditors are not in agreement with the repayment plan you propose. Here are some key differences to consider:<\/p>\r\n\r\n\r\n\r\n Unlike Licensed Insolvency Trustees, neither debt consultants nor credit counsellors can offer you protection from your creditors; creditors may continue to contact you, garnish or seize your wages, and\/or take money from your bank accounts.<\/p>\r\n\r\n\r\n\r\n Can Creditors Really Take my Income if I Can\u2019t Pay my Debt?<\/a><\/p>\r\n\r\n\r\n\n <\/div>\n <\/div>\n <\/div>\n <\/div>\n \n\n\r\n\r\n\r\n Many people find out too late that there are few measures to keep debt consultants and credit counsellors in check. With debt repayment agents there is no federal regulatory body, no complaints or dispute processes, but there are some provincial regulations in BC that provide basic standards for licensing conditions and fee guidelines.<\/p>\r\n\r\n\r\n\r\n Licensed Insolvency Trustees though, are<\/em> overseen and regulated by the Federal Government, and there are built-in safeguards for consumers at the highest levels possible.<\/p>\r\n\r\n\r\n\r\n Book your free consultation with one of our experts and start living a debt-free life.<\/p>\n \n BOOK YOUR FREE CONSULTATION <\/a>\n <\/div>\n <\/div>\n<\/div>\n\r\n\r\n\r\n There are many factors to consider when it comes to credit counselling solutions, and these are only a few of the questions you may need to ask. You should only move forward once you have a clear, confident understanding of your options.<\/p>\r\n\r\n\r\n\r\n Learn About Your Options for Debt Forgiveness in Canada<\/a><\/p>\r\n\r\n\r\n\r\n It\u2019s important to keep your specific situation and needs in mind, so before you sign consider:<\/p>\r\n\r\n\r\n\r\n The decision to use a credit counselling program, Consumer Proposal<\/a>, or even bankruptcy<\/a> is yours alone to make, but you aren\u2019t alone in navigating your options. You owe it to yourself to get debt help and can safely get unbiased advice for free by contacting a Licensed Insolvency Trustee in your province.<\/p>\r\n\r\n\r\n\n <\/div>\n <\/div>\n <\/div>\n <\/div>\n \n\n\r\n\r\n\r\n Sands & Associates works with consumers across BC, and we pride ourselves on our empathetic and non-judgmental approach to helping people, understanding that in addition to the financial strains, there are many emotional layers to dealing with a debt problem.<\/p>\r\n\r\n\r\n\r\n Learn about your options and choose the debt-free plan that\u2019s right for you. Get started with a free, confidential debt consultation \u2013 telephone, online and in-person services are available across BC.<\/strong><\/p>\r\n\r\n\r\n\nLicensed Insolvency Trustees<\/strong><\/h3>\r\n\r\n\r\n\r\n
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Questions to Ask Your Credit Counsellor About Their Services and Plans<\/strong><\/h2>\r\n\r\n\r\n\r\n
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\u201c<\/em>Are you a Licensed Insolvency Trustee?<\/em><\/a>\u201d<\/em><\/p>\r\n\r\n\r\n\n <\/div>\n <\/div>\n <\/div>\n <\/div>\n \n\n\r\n\r\n\r\n\r\n
\n GET A FINANCIAL<\/span>\n FRESH START <\/h2>\n
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What You Should Ask Yourself About Credit Counselling and Other Debt Solutions<\/strong>\u00a0<\/strong><\/h2>\r\n\r\n\r\n\r\n
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