Help for Anyone with Too Much Debt
We deliver professional debt management help
No one likes having money problems – that’s why we’re here to help.
We get your debts under control, including credit cards, taxes debt, lines of credit, payroll loans, or other debt. Since 1981, Ken Rowan has helped thousands of people with proposals to creditors, bankruptcies, or simply guidance and budgeting help. If you have debt we can help you too.
Ken Rowan & Associates Inc. is licensed by the Office of the Superintendent of Bankruptcy as a Licensed Insolvency Trustee (“LIT”), previously known as a Trustee in Bankruptcy. Only an LIT can administer professional debt management through consumer proposals to creditors and through the bankruptcy process.
Spend some time with us
Check out your options as we explain them in plain language, whether it is about cost, consequences, where we have offices, or check out our FAQ page for answers to more common questions.
Contact us if you have overbearing debt and want to start fresh – send us an email with your questions.
You have options
If you are struggling with debt, email your question to us, call us to chat, or set up a free confidential meeting us to discuss your options. These options include:
- hang in there / status quo. Maybe you can take some steps to rework your budget – to reduce your expenses and to increase your incoming monies. Can you move to lower cost accommodation, change your means of travel, stop smoking or drinking? Does it make sense for you to work overtime, or look for a second job? Can you bring into your home a student or a border or a roommate? On a longer term basis should you pursue education or retraining if that would lead to a higher paying job? These are things we should consider even if we don’t have a financial problem!
- contact your creditors and ask for an interest rate reduction or an extension of time to pay. This can be effective if you are in the very preliminary stages of financial difficulty or if you face some simple timing issues regarding money in and money out. Your creditors will likely pull up your credit report and see if you have an unused balance on any credit cards. Then, with your permission, they would want to draw upon that unused credit facility to pay off or pay down your debt to them. This process of contacting your creditors might be perceived as a wasted, frustrating and useless experience. At best, your creditors may give you a grace period before they demand payment.
- sell assets and use the proceeds to pay down debts, or perhaps a home equity loan or second mortgage could be available to you. Be aware that could be financially unwise in your circumstances to pay down debt by encumbering your home with personal debt, by drawing down probably exempt investments such as registered retirement savings plans and the cash surrender value of life insurance policies, or by selling off exempt assets such as household furnishings or your vehicle. Check our FAQ page regarding your exemptions – assets you are allowed to keep free from claims by your creditors.
- a consolidation loan might be available to pay off your debts. Try this – add up all your debts and divide by 60. Can you afford that monthly payment? Maybe divide by 72 , or by 84. Do you think you should have to pay for that many months? Would a lender give this to you? Would you cut-up your credit cards so you won’t run them up? Adding in interest expense, consider these examples:
- to repay $25,000 over 4 years with interest at 15% per annum, it will cost you $696 per month. To repay it over 6 years it will cost you $529 per month. What is a reasonable monthly payment you can make and just when does a payment level become unreasonable?
- to repay a $15,000 debt at 20% interest it will cost you $557 monthly for 3 years, or $397 monthly for 5 years. Does this fit in your budget? Have you done a budget?
- the following options are available only through Licensed Insolvency Trustees such as Ken Rowan & Associates Inc.:
- consumer proposals to creditors – these contractual arrangements between you and your creditors are facilitated by us under the Bankruptcy and Insolvency Act. Consumer proposals are a professional debt management solution and represent the majority of our files. Although every person’s circumstances are unique, as a rough rule of thumb it is expected you would pay at least 25% of your total unsecured debts (exclude any mortgage or car loans) over four or five years. E.G. $50,000 of debt would require at least $260 monthly for 48 months or $208 for 60 months. If you give us your particulars we can do this calculation for you. Check out consumer proposals here
- personal bankruptcy – a consumer proposal might not make sense if your income will not justify monthly payments or if your debts are very high. This is when bankruptcy really makes sense. Check out bankruptcy here
- Division 1 proposals to creditors, where non-mortgage debt (on your principal residence) exceeds $250,000 or where a previous consumer proposal was commenced but not completed.
Contact Ken for free, specialized help regarding your financial circumstances and options.
Surrey head office: #210, 2411 – 160 Street, Surrey BC V3Z 0C8
Metrotown office: #206, 5050 Kingsway, Burnaby BC
Downtown office: #708, 1155 West Pender Street, Vancouver BC