Review your full budget
A counsellor should assess income, expenses, debts and priorities before recommending a plan.
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Consumer proposal calculator Canada
Estimate a proposal payment scenario — without mistaking an online calculator for an actual consumer proposal quote.
A consumer proposal is a formal, legally binding process administered by a Licensed Insolvency Trustee. Use this calculator to model debt, settlement percentage and term, then compare the result with your real household budget. An LIT must assess what creditors may accept and whether a proposal is appropriate.
Under federal rules, a consumer proposal can run for no more than five years. Actual proposal terms depend on your financial circumstances and creditor acceptance.
Understand a DMP
A debt management plan can combine participating unsecured debts into one payment.
Ask about fees
Understand setup, monthly and counselling fees before signing an agreement.
Compare formal options
A consumer proposal or bankruptcy can only be administered by a Licensed Insolvency Trustee.
Compare practical paths
Use the estimate as a conversation starter, not a filing quote
Proposal payments are not set by a universal percentage. Creditors, assets, income and alternatives all influence what may be acceptable.
Verify current terms Outcomes are not guaranteed Compare total cost and fit
CPComparison path
Consumer Proposal
A formal settlement offer to unsecured creditors administered by a Licensed Insolvency Trustee.
- Best suited to
- Eligible insolvent individuals
- Maximum term
- 5 years
- Key risk
- Must complete accepted terms
What to verify
- Total cost, fees and current terms.
- Eligibility and material conditions.
- How the option fits your goal and timeline.
DMComparison path
Debt Management Plan
A non-bankruptcy repayment plan may be worth comparing when repaying principal remains realistic.
- Best suited to
- Repayment-capable households
- Main value
- Non-insolvency option
- Key risk
- Creditor participation
What to verify
- Total cost, fees and current terms.
- Eligibility and material conditions.
- How the option fits your goal and timeline.
BKComparison path
Bankruptcy
A separate formal insolvency process with different asset, income and discharge consequences.
- Best suited to
- Severe insolvency cases
- Main value
- Formal discharge path
- Key risk
- Legal/asset consequences
What to verify
- Total cost, fees and current terms.
- Eligibility and material conditions.
- How the option fits your goal and timeline.
Quick answer
How is a consumer proposal payment calculated?
There is no single fixed percentage that applies to everyone.
The key point
A Licensed Insolvency Trustee reviews your debts, income, household expenses, assets, likely bankruptcy outcome and what creditors may accept. A proposal can offer to repay a percentage of unsecured debt, extend repayment time or both, and the term cannot exceed five years. The calculator below simply divides an illustrative settlement amount over the term you choose.
No universal percentageTwo people with the same debt can receive very different proposal recommendations.
Assets matterCreditors may compare a proposal with what they could receive in a bankruptcy scenario.
Affordability mattersA proposal has to be sustainable enough for you to complete the accepted terms.
Creditors decideCreditors have legal rights to accept, reject or request a meeting under the proposal process.
Fit and caution
When this path may fit — and when to slow down
Use affordability, total cost, access and your actual goal as the main filters.
It may fit when you:
- You want to understand how a proposed settlement percentage translates into a monthly payment.
- You are preparing for a consultation with a Licensed Insolvency Trustee.
- You have separated unsecured debts from mortgages, secured loans and other obligations.
- You understand that the calculator does not predict what creditors will accept.
Pause and compare when you:
- You plan to file based only on an online percentage estimate.
- You have not included assets, household income or secured obligations in the broader analysis.
- You are assuming all debts will be released by a proposal.
- The modelled payment is already unaffordable in your current budget.
Compare structures
Compare the main alternatives before choosing
Similar goals can be served by very different products, fees and trade-offs.
Consumer proposal
Formal negotiated settlement
Compare optionsDebt management plan
Repayment through counselling plan
Compare optionsBankruptcy
Formal insolvency discharge process
Compare optionsDebt consolidation
Replace debts with new borrowing
Compare optionsBenefits and trade-offs
Potential advantages and disadvantages
Consider both sides of the decision before moving forward.
Potential advantages
- Helps translate a settlement percentage into an illustrative monthly payment.
- Makes it easy to compare 36-, 48- and 60-month scenarios.
- Can help you prepare questions for an LIT consultation.
- Shows the difference between total original unsecured debt and the modelled settlement amount.
Potential disadvantages
- Cannot estimate creditor voting or acceptance.
- Does not calculate a bankruptcy comparison, asset realizations or surplus-income consequences.
- Does not determine which debts are legally included or survive the proposal.
- Can create false precision if the percentage is treated as an actual quote.
Use your real numbers before deciding.Compare costs, timelines and alternatives based on what you can actually afford.
Compare Debt-Relief Paths Detailed guide
How to use a consumer proposal calculator responsibly
Use several scenarios, then take your debt, income and asset information to a Licensed Insolvency Trustee for a legal assessment.
Total the unsecured debts you want assessed
List credit cards, unsecured loans, lines of credit and other debts separately from secured debts and special obligations.
Test more than one settlement percentage
A single percentage is not a quote. Model several scenarios to understand the range of monthly payments.
Keep the term at 60 months or less
The Office of the Superintendent of Bankruptcy states that a consumer proposal cannot exceed five years.
Compare the payment with your household budget
A proposal only works if you can maintain the required payments while continuing to cover essential living costs and secured obligations.
Have an LIT review the actual case
The LIT evaluates your assets, debts, income, likely bankruptcy outcome and creditor considerations before recommending or filing a proposal.
Decision framework
How the main options differ
Use the table as a starting framework, then verify current terms and eligibility.
| Comparison point | Consumer proposal | Debt management plan | Bankruptcy | Consolidation |
|---|---|---|---|---|
| Legal structure | Formal insolvency | Non-bankruptcy arrangement | Formal insolvency | New credit |
| Payment basis | Accepted proposal terms | Repayment plan | Legal income/asset rules | Loan terms |
| Maximum proposal term | 5 years | Varies | Not a proposal term | Loan term varies |
| Common mismatch | Calculator treated as quote | Cannot repay principal | Do not understand duties | Rate/approval not workable |
This comparison is educational. Product availability, approval, rates, fees, account features and professional options vary by provider and individual circumstances.
Interactive planning tool
Model a consumer proposal payment scenario
Choose an illustrative settlement percentage and term to see the monthly payment that would result.
Planning estimator
Use your own numbers
This is arithmetic only. It does not estimate what creditors would accept or what an LIT would recommend.
Primary estimate
Illustrative monthly payment—Illustrative total settlement—
Difference from original debt—
An actual consumer proposal is developed and filed by a Licensed Insolvency Trustee and is subject to federal insolvency law and creditor rights. This calculator is not a proposal quote.
Next step
Take the estimate into a full debt-relief comparison
MoneyMatch can help you understand the major debt-relief structures, while a Licensed Insolvency Trustee is required to assess and administer a consumer proposal.
Compare fit before committing.
MoneyMatch helps organize relevant options and educational resources. Money Match Cash Back may be available on eligible approved products; availability and approval are not guaranteed.
How MoneyMatch evaluates fit
Our comparison methodology
We organize financial paths around total cost, eligibility, usability, flexibility, consumer protections and material trade-offs.
Fit with the goal
We start with what the user is trying to accomplish and whether the structure actually addresses that need.
Complete cost
We include material fees, interest, account requirements and other costs that can change the outcome.
Trade-offs and protections
We explain eligibility, flexibility, consumer protections and consequences instead of ranking by one headline feature.
Last reviewed: August 7, 2026 · Author: Money Match Canada · Reference: Office of the Superintendent of Bankruptcy consumer proposal guidance.
Advertising disclosure: MoneyMatch may receive compensation from some provider links at no extra cost to you. Compensation does not determine approval, rates, account terms or whether an option is suitable for you.
Frequently asked questions
Consumer Proposal Calculator Canada questions
Clear answers to common questions Canadians ask before choosing this path.
What percentage do you pay in a consumer proposal?
There is no universal percentage. The amount depends on your assets, income, debt, likely bankruptcy outcome, affordability and what creditors may accept.
How long can a consumer proposal last?
The Office of the Superintendent of Bankruptcy states that the term of a consumer proposal cannot exceed five years.
Can I calculate my exact consumer proposal payment online?
No. An online calculator can model arithmetic scenarios, but a Licensed Insolvency Trustee must assess your full circumstances and develop the actual proposal.
Do creditors have to accept a consumer proposal?
Creditors have rights under the federal process to accept or reject a proposal and may request a meeting when the statutory requirements are met.
Who can file a consumer proposal for me?
A Licensed Insolvency Trustee is the federally regulated professional authorized to administer and file a consumer proposal.
Compare the next step with your full situation in mind.
Use MoneyMatch to organize your options, then verify current terms, eligibility and important trade-offs before moving forward.