When the creditors have been calling you several times a week and the stress of it all is just too much to bear, it may be time to consider debt management counselling. Debt management services include counselling you to learn how to take back control of your finances. Bankruptcy isn’t your only option.

A debt management plan is sometimes an option for those finding their monthly payments too difficult to manage. Your credit counselor can help you negotiate with your creditors to give you some breathing space. Oftentimes, negotiating with creditors can result in waiving of interest fees – which means you pay directly on the principal. This can speed up the repayment significantly.

A consumer proposal is something your debt management counselor may suggest if you can make monthly payments but just need more time to pay off the debts. Where a debt management plan is a mutual agreement between you and your creditors to pay back your debt, a consumer proposal is a legally binding procedure. You are often given a longer period of time to pay off your debt. This legal document could ensure you a lesser more manageable payment over a longer period of time.

Regardless of your personal situation, bankruptcy doesn’t have to be the only solution to your financial difficulties. Consult a debt management agency to discover what works best for you and your family.