Life Happens: Blue Collar
In the demanding world of blue-collar work, financial stability can feel as elusive as a tool lost in the depths of a job site. The unique challenges of the trades often include irregular income, the responsibilities of operating as a small business owner, and limited access to financial resources, making it all too easy to fall into the trap of debt.
At MNP, we recognize the financial hurdles those in blue-collar professions face and the strain it puts on your livelihood and peace of mind.
Whether you're grappling with mounting debt or seeking strategies to build a more secure financial future, our team of professionals is dedicated to helping you find the right solutions for your unique circumstances.
"Debt can be an enormous weight in a blue-collar life. A Trustee will be your source of information and guidance, providing practical solutions and steadfast support to help lighten the load and pave the way to financial relief."
- Sandra Landry, MNP Licensed Insolvency Trustee
Managing debt on a fluctuating income can be challenging. Start by creating a realistic budget based on your average earnings, prioritizing essential expenses like rent, utilities, and groceries. Consider setting aside a portion of each paycheck for savings to cover unexpected expenses and help smooth out income fluctuations.
The first step in combating debt is to analyze where you are spending your money. If you see a clear way to stop incurring more debt and are able to act quickly to reduce spending, you may be able to regain control on your own.
If your financial troubles persist, an MNP Licensed Insolvency Trustee can discuss different options with you, such as Consumer Proposals or Bankruptcy, or put you in contact with a credit counselling organization during our free, confidential consultation.
A Consumer Proposal is for individuals who can make a settlement offer to unsecured creditors. This can be done by way of payments to creditors (either monthly or as a lump sum) when there is a need to change the current arrangement of payments. A Consumer Proposal can change the payment terms (up to a maximum term of 5 years) and the overall amount required to be repaid.
A Bankruptcy is a formal process to relieve an individual of their debts to unsecured creditors that has more reporting requirements than a proposal. Payment requirements will fluctuate based on equity in assets and income earned during the bankruptcy period.
A Bankruptcy lowers your credit rating to the lowest score (R9), while a Consumer Proposal has less impact on your rating (R7). For a more detailed explanation of each process, visit the Explore Your Options section of the website.
Have more questions?
Visit our FAQ page to access many other answers to your most pressing questions.
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