A consumer proposal in NL is an alternative to bankruptcy
While not everyone is familiar with it, a consumer proposal can be a powerful debt-relief option that may significantly reduce or even eliminate what you owe. It must be filed through a Licensed Insolvency Trustee (LIT), like our team.
What is a consumer proposal?
A Legally Binding Debt Settlement Option
A consumer proposal is a formal, legally binding agreement that helps you settle your unsecured debts for less than what you owe — without the need for bankruptcy. Administered by a Licensed Insolvency Trustee (LIT), this process is governed by Canadian federal law and overseen by the Office of the Superintendent of Bankruptcy Canada.
Government-Regulated Debt Help
At Farber, our federally Licensed Insolvency Trustees manage the entire consumer proposal process, from creating your repayment plan to negotiating with creditors. We ensure that the process is secure, transparent, and straightforward — with no upfront fees or hidden costs.
Key Advantages of a Consumer Proposal
Stop Collections & Lawsuits
Once your consumer proposal is filed, all collection activity stops. This includes halting interest charges, collection calls, wage garnishments, and lawsuits.
One Affordable Monthly Payment
We’ll consolidate all your eligible debts into one fixed monthly payment based on what you can afford, making it easier to manage your finances.
Keep Your Assets
Unlike bankruptcy, you get to keep your home, vehicle, and RRSPs when you file a consumer proposal, offering you peace of mind.
Not sure if a consumer proposal is right for you? You may need to seek out debt counselling or debt consolidation services to help you explore all your debt relief options. These services are offered by credit counselling agencies or financial institutions like a bank.
Are You Eligible for a Consumer Proposal in NL?
Basic Eligibility Requirements
You may qualify if you meet these criteria:
● You owe less than $250,000 in unsecured debt (excluding your mortgage).
● You are unable to repay your debts in full.
● You have a stable source of income.
Common Debts That Can Be Included
- Credit card balances
- CRA and tax debts
- Payday loans
- Personal loans
- Lines of credit
Take the first step
The Consumer Proposal Process in Newfoundland and Labrador
Start with a confidential consultation with a Farber trustee in Newfoundland and Labrador, available online, by phone, or in person.
Our team works with you to craft a personalized repayment plan based on your financial situation and files it with the federal government.
Your creditors will have 45 days to vote on the proposal. If creditors holding the majority of your debt agree, the proposal becomes legally binding.
Once approved, you’ll begin interest-free monthly payments. As you make your payments, you’ll also start rebuilding your credit for a better financial future.Still weighing your options?
Learn more about the pros and cons of filing a consumer proposal so you can make the most informed decision for your financial future.
Why Work with Farber in NL?
Experienced Local Professionals
Whether you're in St. John’s or other communities across Newfoundland and Labrador, our team understands the unique challenges locals face. We’re here to help.
No Judgment, Just Solutions
We provide a compassionate, non-judgmental approach. Whether you're ready to file or just exploring your options.
Licensed & Regulated by the Federal Government
With over 45 years of experience, Farber is a trusted name in debt relief, helping Canadians resolve their financial challenges since 1979.
Never knew Farber existed until a couple of weeks ago. I'm still surprised that more Canadians don't know about this wonderful lifetime opportunity! I gladly started to speak to friends and colleagues who are in debt about Farber Debt Solutions. It felt great to help a friend with this information, especially when he told me how satisfied he was about feeling debt free. On top of that, I was glad to see that there is a counselling program that gives support, education and guidance on managing debt. Thank you so much and I encourage anyone who is reading this review to inform a friend who is not aware that there is real help. Thank you again for freeing my years of burden.
Farber is the only trustee you can trust, especially with consumer proposals. And the only one who can deal with Revenue Canada. Excellent service, knowledgeable staff, as painless as it can be
Five whole years later and I still have the same feelings: Every single individual that I worked with at Farber, from my initial intake to 5 years later has been an excellent example of true customer support. From answering questions repeatedly to guiding me confidently, everyone here at Farber made the worst-feeling situation feel like something I could get through. The folks at Farber really ‘Get it’ and this is so much more than just a legal department: These are people who will help you as much as you are willing to help yourself. Special thanks to: Pamela, Kim, Elisha, Taghreed, Beth, Lambert and Greg. You are all amazing!
Frequently asked questions
Learn More About Our NL Locations
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