The Finance Center

Question: I have about $50,000 in credit card debts.  I got laid off two years ago, and it took me a year to find another job, which did not pay as well as my old job.  I live in Ontario, so I am wondering if I should file bankruptcy in Ontario, or is there something else I should consider?

Answer: Yes, there are other debt management options you should consider.  Bankruptcy should be your last resort, not your first choice.  Here are some options:

First, now that you are back to work, is it possible to repay your debts on your own?  If you can, that’s your best option, even if it takes a year or two to substantially reduce your debt.

Second, if you have high interest rate credit cards, a second option to consider would be a debt consolidation loan to consolidate your debts and reduce the interest you are paying.

Third, if the bank won’t give you a consolidation loan, another option is a consumer proposal.  In a consumer prop0sal you make a settlement with your creditors.  For example, the credit card companies may be willing to accept payments of $500 per month for 50 months, or $25,000 in total, and then right off the rest.  Whether or not they will accept that deal depends on your personal situation.

If those options are not possible then yes, filing bankruptcy in Ontario may be your final option.  You should consult with an Ontario consumer proposal administrator or an Ontario bankruptcy trustee to arrange for a free initial consultation to fully explore your options before you make a decision.

New credit card rules went into effect in 2010, requiring that your monthly credit card statement include important information about how long it will take you to get out of debt if you only pay the minimum payment and what payment you need to make to rid yourself of the balance in three years. This information is included on your statement for your benefit; use it to your advantage to help you put together an actionable “get out of debt” plan for the next three years.

Gather Credit Card Statements

The first step in getting out of debt is to face the debt. Gather each of your credit card statements. Identify the monthly payment amount you need to make on each credit card to pay it off in three years and write it down. Add up each of the payments to get the total figure you have to deal with on a monthly basis to finally get rid of your credit card debt for good.

The second step in creating your debt payoff plan ising to terms with paying off your credit card debt. You have to

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Many people want to know about the different retirement plans available to assist them in their decision making about saving for retirement. There are so many differences between roth ira and ira that is really confusing. Each option has its advantages and disadvantages that must be analyzed in light of the investor’s circumstances and needs.

A Roth IRA is a retirement plan and an account in which a person may invest part of his income for saving for retirement. The Roth IRA was introduced in 1998 and was named by the Senator William Roth and this plan differs from the normal IRA. To help with decision-making, it is important that both IRA are fully understood and the analysis of their advantages and disadvantages is done carefully.

A Roth IRA is an individual retirement account in which you may contribute a certain part of your income after deducting taxes. Read more…

Investors who bought “alternative” investments believed that these assets would have low correlations and great rewards, but some got burned by that thinking. Exchange traded funds are a viable and less risky way to gain access to this area of the market.

Alternative asset classes usually depend on sophisticated financial instruments and some produced higher returns by being exposed to high leverage, according to Reuters. As credit dried up, investors were left with assets that were valued at substantially lower prices.

There are a variety of ETFs that deal in alternative asset classes. For instance, commodity ETFs provide investors exposure to commodity investments without the necessity of taking delivery of the physical stocks. For

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