1. Bad Credit? Tough Luck!?

2. stops people from getting mortgages, stops people from getting mortgages, car loans and credit cards car loans and credit cards those with poor credit scores pay higher those with poor credit scores pay higher rates and fees rates and fees Most people deal with their credit report Most people deal with their credit report issues by ignoring them!!

3. You know you have a debt problem when you… frequently pay bills after their due date; frequently pay bills after their due date; regularly bounce cheques; regularly bounce cheques; use an advance from one credit card to pay the minimum amount on another card; use an advance from one credit card to pay the minimum amount on another card; receive a call from a collection agency; receive a call from a collection agency; regularly ask friends or family for loans; regularly ask friends or family for loans; have your utilities cut off (telephone, hydro). have your utilities cut off (telephone, hydro). have cut back on regular budget expenses such as clothing, recreation and sometimes even food; have cut back on regular budget expenses such as clothing, recreation and sometimes even food; are considering a second job in order to balance your budget. are considering a second job in order to balance your budget.

4. Rework your budget / Budget counselling planning your spending means making choices and sticking to them planning your spending means making choices and sticking to them understand your true financial position; understand your true financial position; determine how much money you need to meet your basic needs; determine how much money you need to meet your basic needs; achieve your goal of regaining control of your spending; achieve your goal of regaining control of your spending; evaluate your daily expenses; evaluate your daily expenses; identify the priorities that will be the base of your consumer choices; and identify the priorities that will be the base of your consumer choices; and perhaps even save for more difficult times or help make a cherished dream become reality. perhaps even save for more difficult times or help make a cherished dream become reality.

5. Consolidate your debts a single loan (ideally from a financial institution) that allows you to repay your debts to several or all of your creditors at once a single loan (ideally from a financial institution) that allows you to repay your debts to several or all of your creditors at once a single payment a single payment interest rate that is lower than that charged by your creditors, saving you money in interest charges interest rate that is lower than that charged by your creditors, saving you money in interest charges Warning! A blemished credit rating will likely diminish your ability to secure a consolidation loan, therefore it is best to act as soon as possible Warning! A blemished credit rating will likely diminish your ability to secure a consolidation loan, therefore it is best to act as soon as possible

6. Selling one of your assets / possessions selling an asset can alleviate a difficult financial situation selling an asset can alleviate a difficult financial situation house, a car, a television, in order to get your debt down to a manageable size house, a car, a television, in order to get your debt down to a manageable size

7. “Last Resorts” option! Consumer Proposal Consumer Proposal an offer made by a debtor to his or her creditors to modify his or her payments. an offer made by a debtor to his or her creditors to modify his or her payments. you may propose that you will pay a lower amount each month, but over a longer period of time you may propose that you will pay a lower amount each month, but over a longer period of time propose that your creditors accept being paid a percentage of what you owe propose that your creditors accept being paid a percentage of what you owe

8. Bankruptcy! Bankruptcy! legal process performed under the Bankruptcy and Insolvency Act legal process performed under the Bankruptcy and Insolvency Act you assign all of your assets, except those exempt by provincial law, to a licensed trustee in bankruptcy you assign all of your assets, except those exempt by provincial law, to a licensed trustee in bankruptcy relieves you of most debts, and legal proceedings against you by creditors should stop. relieves you of most debts, and legal proceedings against you by creditors should stop.

9. How does bankruptcy affect employment? bankruptcy should not affect your employment. However, there are some special cases. bankruptcy should not affect your employment. However, there are some special cases. you may have difficulty being bonded. you may have difficulty being bonded.

10. Does it cost anything to go bankrupt? Yes. There is a filing fee to be paid to the Superintendent of Bankruptcy. In addition, the trustee is entitled to be paid. These fees are prescribed by the Bankruptcy and Insolvency Rules Yes. There is a filing fee to be paid to the Superintendent of Bankruptcy. In addition, the trustee is entitled to be paid. These fees are prescribed by the Bankruptcy and Insolvency Rules

11. How do can I fix my poor credit? starting from scratch. starting from scratch. Apply for a Secured Credit Card Apply for a Secured Credit Card You can put money on your credit card and use that to help regain good history You can put money on your credit card and use that to help regain good history Or you can secure it with a savings account with money in it. Or you can secure it with a savings account with money in it.