5. Pay your secured creditors

A consumer proposal usually does not include debts you owe to secured creditors. Secured creditors are creditors who have collateral. These types of debts usually include:

• car loans
• mortgages

When you file your consumer proposal, you will need to decide if you want to keep your home or cars. You must also be sure that you can make the payments that you have agreed to.

If you don’t want to keep your house or car, you can include that  in your consumer proposal. This means that your house and cars will be sold and the money used to pay your creditors. Any debt that you still owe to your secured creditors will be included in the consumer proposal.