Are you suffering with a mountain of unsecured debt? Have you tried other methods of debt relief, but they are not working because you simply just owe way to much to creditors and lenders? Are you considering filing for bankruptcy in Kitchener so that you can get a fresh financial start? Well if so, Access Mortgage is here to tell you, THERE IS ANOTHER WAY! Do not file for bankruptcy until you have talked to the professional team at Access Mortgage today. Declaring bankruptcy can severely damage your credit for up to 7 years! If you are considering this form of debt relief, we encourage you to get in touch with us at Access Mortgage. Read on for more information about bankruptcy in Kitchener, and how Access Mortgage can help you avoid it.
What are the effects of filing for bankruptcy in Kitchener?
Bankruptcy has implications, both good and bad. If you are thinking of going this route for debt relief, here are some of the major effects of filing for bankruptcy that you should know:
Will be noted on your credit report:
Equifax, the largest credit reporting agency in Canada, will put a note on your credit reporting stating that you filed bankruptcy, and that note will remain on your credit report for six years from the date you are discharged from a first bankruptcy. A second bankruptcy remains on your credit report for 14 years.
You will have certain duties and payments:
During your bankruptcy in Canada you are required to perform certain bankruptcy duties, including reporting your income to your trustee each month. If your earnings go above the level set by the government, you are required to pay more. This is called surplus income. So, one of the effects of filing bankruptcy is that if you have high income, your bankruptcy may be expensive.
What are some better options instead of filing for bankruptcy in Kitchener?
At Access Mortgage, we take great pride in being able to help our clients get on the path of financial freedom. Nobody wants to be in a mountain if debt that feels like there is a dark shadow following them wherever they go. Debt consolidation and refinancing are just a few of the methods that we preach to our clients, so that they can become debt free without damaging their credit for a long time. How do these two strategies work? Let’s take a look:
Debt consolidation loans involve combining several high-interest loans or debts into a single debt with a lower interest rate. A debt consolidation program works to simplify life for the consumer by replacing a number of bills with one lower monthly payment. For example, a consumer with four credit card bills can get a debt consolidation loan to pay off the credit cards, resulting in one payment, rather than four.
Refinancing with Access Mortgage involves combining all your debt into one single new mortgage. We do this because the interest rate and the payment is the lowest it can be with a secured loan, such as a mortgage. Refinancing has the potential to do things like: remove your interest with high interest, reduce your payments, and improve your credit score.
Don’t risk damaging your credit for many years because you filed for bankruptcy in Kitchener, consumer proposal, or credit counselling. Let Access Mortgage help you get on the path of debt relief by using strategies like a refinance, or debt consolidation. For more information about how you can avoid bankruptcy in Kitchener and still become debt free, please feel free to continue browsing through our website. Click here to find our contact information and to fill out our contact form.