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A consumer proposal is a settlement made between you and the lender with the assistance of a Licensed Insolvency Trustee. The trustee will facilitate the negotiation between you and the creditor concerning the repayment terms. The agreement includes paying a reduced amount of your total debt owed within a certain period, usually five years. Once the agreement has been finalized, the creditors will not be able to take a portion of your income. Moreover, the interest on your debt will stop immediately.
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