When Does Orderly Payment of Debt Make Sense?
Orderly payment of debt (OPD) is a program offered under the Bankruptcy and Insolvency Act and a viable alternative filing a bankruptcy, or a consumer proposal. OPD is a repayment program that permits consumer debtors to pay their unsecured debts in full over a period of time. The OPD has many advantages, for instance, it provides protection court from your creditors (i.e. they are prevented from being able to make any attempts to collect on their debts), the payment schedule is set up based on your ability to pay, under OPD a reduced interest rate is charged (5%), you do not have to directly contact your creditors, there is access to a credit counselor who while help you to resolve some of the issues that have caused these difficulties and they will help you to understand how to rebuild your credit once the program is finished. The one down side to fining under OPD is the impact on your credit rating. As a result of filing under OPD you will have an R7 that will be listed on your cred
