When you file a consumer proposal, the creditors have 45 days to vote on whether they will accept the terms that you offer them as settlement on your debt in full.

The majority of consumer proposals are accepted as your trusted advisors are experienced in designing a consumer proposal that meets the criteria that many creditors review when looking at your offer.

However, from time to time a creditor may vote ‘no’ to your consumer proposal. When this happens there are a few things to remember. The first is that the consumer proposal voting system operates under a ‘majority rules’ process. This means that if the majority of your creditors accept your proposal, than the creditor that voted ‘no’ must participate in the consumer proposal.

<p”>A ‘no’ vote does not usually signal the end of the process. If it is your majority creditor voting ‘no’ to your consumer proposal, the creditor will usually request a change to the terms that you offered- perhaps a few more dollars, per month, or a few months more to the length of your payments. At that point a meeting of creditors is held and the new terms are discussed.

If you agree to meet the creditors terms, then the consumer proposal is deemed to be accepted and you would continue making the payments. If the terms are not acceptable to you, a counter offer can be made, which hopefully that creditor will accept.