Why should YOU go directly to a Licensed Insolvency Trustee and NOT a Debt Consultant?
We are often asked why should someone avoid Debt Consultants? The best way to avoid unnecessary fees is to understand the debt restructuring process.
Consumer debt (credit card debt, line of credit etc.) is at an all time high in Canada. This means that the average Canadian is struggling to make ends meet on a monthly basis while trying to pay off their debt.
What are your options?
In Canada, currently there are NO government-sponsored programs that allow you to enter into payment arrangements. Every organization that offers “credit or debt” consolidation or payment programs, are in the BUSINESS of helping you organize your payments. As a business, they charge a fee for their service whether they tell you up front or not. Even the programs that are “Not-for-Profit” charge fees and are sometimes supported by the credit companies themselves.
Chartered Insolvency and Restructuring Professionals as a federally Licensed Insolvency Trustee (formerly Trustee in Bankruptcy)
Licensed Insolvency Professionals (formerly Trustees in bankruptcy) are also in the “business” of helping individuals with debt problems in that they are paid for their services. However, everything that a LIT does and says is subject to review and scrutiny the courts, the federal government and various professional regulatory organizations. LIT’s are professional individuals and firms who are licensed with the federal government and are the only ones in Canada who can offer a federal debt reduction or elimination programs by offering either a personal bankruptcy or a consumer proposal. Debt Consultants give you “advice” about these programs, but cannot offer or oversee these programs. And they often charge large thousands of dollars in fees for this advice.
LIT’s are governed by a federal Act called the Bankruptcy and Insolvency Act (BIA) and are the only professional licensed in Canada to oversee the formal restructuring plan called a consumer proposal. Theses federal government programs have been put in place to allow those in debt to make a fresh financial start. By formalizing the process under law allows both you and your creditors to know exactly what to expect and to be sure you are being treated fairly.
To help ensure that the rules are followed, a department of the federal government under Industry Canada called the Office of the Superintendent of Bankruptcy (“OSB”) is responsible for supervising the process and protecting the public interest. The OSB is responsible for issuing operating licenses to LIT Trustees and for reviewing everything that the Trustee does to ensure that every debtor is treated exactly the same and fairly as outlined under the BIA Act.
On top of the federal licensing that LIT’s must have to work as bankruptcy trustees, most LIT’s are members of a national professional organization (CAIRP and/or CICA) which is a professional association and each of its members must adhere to strict codes ethics and codes of conduct including rules with respect to advertising, training and licensing as well as ongoing professional development.
As A Debtor then, what can you expect from an LIT?
There is a high degree of training required to be a federally Licensed Insolvency Trustee (LIT) ( generally a three course plus yearly ongoing continuing education requirements,). Because of this training, LIT Trustees are the only professionals who can administer either a Consumer Proposal or Bankruptcy legislated by the Bankruptcy and Insolvency Act.
Colleen Craig of C. E. Craig & Associates, as a Chartered Professional Accountant, licensed LIT Bankruptcy Trustee and a Chartered Insolvency and Restructuring Professional, can outline all of your financial options for those faced with debt issues. As an LIT and a CPA Colleen possesses the credentials necessary to ensure that the process for debtors and creditors is fair and properly disclosed.
Bankruptcy is not always necessary when you are in a difficult financial situation and talking to an LIT Bankruptcy Trustee you know that you are getting advice from a qualified Insolvency Manager. You have other options available to you, you can select a debt counselor but in doing so, you have no idea as to their qualifications. Unlike Chartered Insolvency and Restructuring Professionals who have years of higher education and ongoing training, counselors have no such requirements. Talking to a bankruptcy trustee, a debt restructuring expert, you will discover ways you can not only pay your debts off, but recover your financial freedom. Trustee Colleen Craig from Victoria BC, will look at all of your options and help you through these tough financial times! Contact us today and learn how you can avoid bankruptcy!
Skip the Debt Consulting Fees – Go Directly to a Trustee
If you want to understand the debt reduction program called a consumer proposal or if you are considering a personal bankruptcy, avoid unnecessary debt consulting fees by going directly to a LIT Trustee – Your LIT is your local expert on eliminating your debt.
Don’t go to a debt consultant and pay their enormous fees where the LIT’s at C.E. Craig & Associates offer a FREE CONSULTATION where we outline your options and will detail all of your financial obligations throughout the process. Call Today and start on your path to feeling the relief of being debt free!