- Who they are:<\/strong> Debt.ca is a debt help website where you can access personal finance information, education and advice. Established in 2000, it offers access to Canada\u2019s largest debt relief network and a wide range of debt relief solutions to help you take control of your finances.<\/li>
- How they can help:<\/strong> Debt.ca connects you with debt relief service providers in your area. Whether you\u2019re looking for credit counselling, a debt management program or a licensed insolvency trustee to file a consumer proposal, Debt.ca can help you find a specialist near you.<\/li>
- Where they\u2019re available:<\/strong> All provinces and territories \u2014 online only.<\/li>
- How much they cost:<\/strong> Free consultation but there may be a cost for debt relief programs.<\/li><\/ul>
<\/p><\/div><\/article>
Pros<\/h4>
- Easy access to debt relief strategies<\/li>
- Free consultation<\/li>
- Quick and easy online application<\/li><\/ul><\/div>
Cons<\/h4>
- Be aware that the debt specialist you\u2019re matched with may charge fees<\/li>
- Some debt relief solutions could hurt your credit score<\/li><\/ul><\/div><\/div>
2. Consolidated Credit<\/h4>
![\"Consolidated](\"https:\/\/www.finder.com\/finder-us\/wp-uploads\/sites\/5\/2022\/09\/ConsolidatedCreditLogo_Supplied_300x59.png\" "\\"Image:")
<\/p>- Who they are:<\/strong> Consolidated Credit has been helping people pay off their credit card debt for over 15 years. This BBB-accredited not-for-profit is also an Accredited Member of the Canadian Association of Credit Counselling Services.<\/li>
- How they can help:<\/strong> Consolidated Credit offers education and professional counselling services to help you get out of financial difficulties. You can talk to a counsellor for free to review your overall financial situation and determine if you qualify for a debt management program or other options for debt relief in Canada.<\/li>
- Where they\u2019re available:<\/strong> Nationwide.<\/li>
- How much they cost:<\/strong> Free consultation but there may be a cost for debt relief programs.<\/li><\/ul>
<\/p><\/div><\/article>
Pros<\/h4>
- A+ rating from BBB and has been BBB accredited since 2008<\/li>
- 4.9\/5 stars based on over 6,500 reviews on Trustpilot<\/li>
- Easy to access debt help<\/li><\/ul><\/div>
Cons<\/h4>
- Some complaints about customer service issues<\/li>
- Some debt relief solutions could hurt your credit score<\/li><\/ul><\/div><\/div>
3. Credit Counselling Society<\/h4>
![\"Credit](\"https:\/\/www.finder.com\/finder-us\/wp-uploads\/sites\/5\/2022\/06\/CreditCounsellingSociety_Supplied_250x100.jpg\" "\\"Image:")
<\/p>- Who they are:<\/strong> The Credit Counselling Society is a non-profit charity with a mission to help Canadians achieve financial well-being. It is accredited by the Better Business Bureau (BBB), has over 25 years of experience and is an accredited member of Credit Counselling Canada. The Credit Counselling Society has also won Consumer Choice Awards in Ottawa, Hamilton, London, Winnipeg, Regina, Saskatoon, and Vancouver.<\/li>
- How they can help:<\/strong> The society offers a free in-person and over-the-phone credit counselling service where a counsellor can assess your financial situation and provide advice on the debt relief solutions in Canada to help you get back on track. It also offers other helpful debt relief options for Canadians, including debt settlement programs and debt management plans, as well as advice on filing a consumer proposal or filing for bankruptcy.<\/li>
- Where they\u2019re available:<\/strong> British Columbia, Alberta, Saskatchewan, Manitoba and Ontario.<\/li>
- How much they cost:<\/strong> Free credit counselling.<\/li><\/ul><\/div><\/article>
Pros<\/h4>
- Free counselling service<\/li>
- Established in 1996<\/li>
- A+ rating from the BBB<\/li>
- Offers a wide range of educational resources to help you better manage your money<\/li><\/ul><\/div>
Cons<\/h4>
- Not available in all provinces<\/li>
- Sliding fee scale for debt management program ($75\/month cap)<\/li><\/ul><\/div><\/div>
4. Money Mentors<\/h4>
![\"Money](\"https:\/\/www.finder.com\/finder-us\/wp-uploads\/sites\/5\/2022\/06\/MoneyMentors_Supplied_350x160.jpg\" "\\"Image:")
<\/p>- Who they are:<\/strong> Money Mentors is an Alberta-based not-for-profit with over 25 years of experience offering debt relief in Canada. With six locations across Alberta, this credit counselling service has won multiple Consumer Choice Awards in Credit and Debt Counselling Services.<\/li>
- How they can help:<\/strong> Money Mentors offers free and confidential credit counselling and financial assessments. It can also help you understand your debt consolidation options and get out of debt with Alberta\u2019s Orderly Payment of Debts (OPD) program.<\/li>
- Where they\u2019re available:<\/strong> Alberta.<\/li>
- How much they cost:<\/strong> Free.<\/li><\/ul><\/div><\/article>
Pros<\/h4>
- Unbiased advice from a non-profit organization<\/li>
- Free financial needs assessment via phone, video chat or in person<\/li>
- Also offers free personal finance classes<\/li><\/ul><\/div>
Cons<\/h4>
- Only available in Alberta<\/li><\/ul><\/div><\/div>
5. Credit Canada Debt Solutions<\/h4>
![\"Credit](\"https:\/\/www.finder.com\/finder-us\/wp-uploads\/sites\/5\/2018\/09\/CreditCanada_Supplied_450x250.jpg\" "\\"Image:")
<\/p>- Who they are:<\/strong> Credit Canada has been helping Canadians access debt relief help and get out of debt for more than 50 years. This credit counselling agency is BBB accredited and offers access to a wide range of debt relief options.<\/li>
- How they can help:<\/strong> Credit Canada offers free counselling services in English and six other languages. After assessing your financial situation, it can help with debt consolidation and management programs, plus provide financial coaching and help you build your credit.<\/li>
- Where they\u2019re available:<\/strong> Nationwide.<\/li>
- How much they cost:<\/strong> All programs are free except for the Debt Consolidation Program (DCP).<\/li><\/ul><\/div><\/article>
Pros<\/h4>
- Not for profit<\/li>
- Canada\u2019s oldest credit counselling agency<\/li>
- A+ BBB rating and BBB accredited since 2007<\/li>
- 8-time winner of the Consumer Choice Award for credit and debt counselling<\/li><\/ul><\/div>
Cons<\/h4>
- Be aware that some debt relief solutions can negatively impact your credit<\/li><\/ul><\/div><\/div>
6. Solve Your Debts<\/h3>
![\"Solve](\"https:\/\/www.finder.com\/finder-us\/wp-uploads\/sites\/5\/2022\/06\/SolveYourDebts_Supplied_373x130.jpg\" "\\"Image:")
<\/p>- Who they are:<\/strong> Next on our list of the best debt relief companies in Canada, Solve Your Debts is a credit counselling service with more than 25 years of experience. This agency is accredited by the BBB and has a team of Accredited Financial Counsellor Canada (AFCC) certified counsellors to provide debt help.<\/li>
- How they can help:<\/strong> This not-for-profit offers free credit counselling to help you determine the best way to get out of debt. It also provides budget mentoring services and financial education to help you better manage your money.<\/li>
- Where they\u2019re available:<\/strong> Atlantic Canada.<\/li>
- How much they cost:<\/strong> Free 1.5-hour consultations (debt relief programs come with a small fee).<\/li><\/ul><\/div><\/article>
Pros<\/h4>
- Seven offices throughout Atlantic Canada<\/li>
- A+ BBB rating and has been BBB accredited since 2004<\/li>
- Consumer Choice Award winner<\/li>
- Free budgeting tools and resources<\/li><\/ul><\/div>
Cons<\/h4>
- Not an option if you\u2019re not in Atlantic Canada<\/li>
- Fees apply after initial consultation<\/li><\/ul><\/div><\/div>
7. Hoyes Michalos<\/h4>
![\"Hoyes,](\"https:\/\/www.finder.com\/finder-us\/wp-uploads\/sites\/5\/2022\/09\/HoyesMichalosLogo_Supplied_300x59.png\" "\\"Image:")
<\/p>- Who they are:<\/strong> Hoyes Michalos is a Toronto-based licensed insolvency trustee and credit counselling firm. Founded in 1999, it is accredited with the BBB and can help you explore a range of suitable debt relief options.<\/li>
- How they can help:<\/strong> Hoyes Michalos offers a free consultation to help you assess your options for debt relief in Canada. These range from credit counselling to debt settlement, debt consolidation, consumer proposals and personal bankruptcy.<\/li>
- Where they\u2019re available:<\/strong> Ontario.<\/li>
- How much they cost:<\/strong> Free initial consultation.<\/li><\/ul><\/div><\/article>
Pros<\/h4>
- A+ BBB rating and BBB accredited since 1999<\/li>
- Plenty of positive customer ratings<\/li>
- Has 29 offices in Ontario (non-local Ontario residents served via phone & video)<\/li><\/ul><\/div>
Cons<\/h4>
- Not an option if you don\u2019t live in Ontario<\/li>
- Be aware that fees may apply after initial consultation<\/li><\/ul><\/div><\/div>
8. Spergel<\/h4>
![\"Spergel\"](\"https:\/\/www.finder.com\/finder-us\/wp-uploads\/sites\/5\/2022\/09\/SpergelLogo_Supplied_300x100.png\" "\\"Image:")
<\/p>- Who they are:<\/strong> Spergel offers a team of credit counsellors and licensed insolvency trustees to help you get your finances back on track. Headquartered in Toronto, it has offices in Ontario, Qu\u00e9bec, Manitoba, Saskatchewan, Alberta, British Columbia, and the Maritimes. It\u2019s also BBB accredited.<\/li>
- How they can help:<\/strong> If you\u2019re struggling with debt, you can book a free consultation with Spergel to discuss your options for debt relief in Canada. Help is available seven days a week, and Spergel can help you assess options such as debt consolidation, a consumer proposal and bankruptcy.<\/li>
- Where they\u2019re available:<\/strong> Nationwide.<\/li>
- How much they cost:<\/strong> Free consultation.<\/li><\/ul><\/div><\/article>
Pros<\/h4>
- A+ BBB rating<\/li>
- Lots of positive customer reviews<\/li>
- Virtual and in-person consultations available<\/li><\/ul><\/div>
Cons<\/h4>
- Check what fees will apply after the initial consultation<\/li><\/ul><\/div><\/div>
9. Sands & Associates<\/h4>
![\"Sands](\"https:\/\/www.finder.com\/finder-us\/wp-uploads\/sites\/5\/2022\/09\/SandsAssociates_Supplied_250x90.jpg\" "\\"Image:")
<\/p>- Who they are:<\/strong> Sands & Associates offers bankruptcy and debt help services in BC. Founded in 1990, this Consumer Choice Award-winning firm has more than 25 offices around BC.<\/li>
- How they can help:<\/strong> If you need help managing your debt, you can book a free consultation with Sands & Associates by filling out an online form. As licensed insolvency trustees, Sands & Associates can help you assess your options for debt relief in Canada and decide which one is best for you.<\/li>
- Where they\u2019re available:<\/strong> BC.<\/li>
- How much they cost:<\/strong> Free consultation.<\/li><\/ul><\/div><\/article>
Pros<\/h4>
- A+ BBB rating<\/li>
- 4.9\/5 stars based on over 1,900 Trustpilot reviews<\/li>
- Helping people get out of debt for over 30 years<\/li><\/ul><\/div>
Cons<\/h4>
- Not BBB accredited<\/li>
- Only has offices in BC<\/li><\/ul><\/div><\/div>
10. MNP Debt<\/h4>
![\"MNP\"](\"https:\/\/www.finder.com\/finder-us\/wp-uploads\/sites\/5\/2020\/06\/MNP_Supplied_300x100.jpg\" "\\"Image:")
<\/p>- Who they are:<\/strong> With more than 60 years in the industry, MNP Debt is one of Canada\u2019s largest personal insolvency practices. It has over 240 offices across Canada and aims to help Canadians free themselves from debt once and for all.<\/li>
- How they can help:<\/strong> When you book a free consultation with an MNP Debt licensed insolvency trustee, they can assess your financial situation and find suitable debt solutions. These include consumer proposals, personal bankruptcy, insolvency counselling, debt consolidation and more.<\/li>
- Where they\u2019re available:<\/strong> Nationwide.<\/li>
- How much they cost:<\/strong> Free consultation.<\/li><\/ul><\/div><\/article>
Pros<\/h4>
- A+ BBB rating and accredited since 2022<\/li>
- Large network of offices<\/li>
- Founded in 1958<\/li><\/ul><\/div>
Cons<\/h4>
- Check what fees apply after initial free consultation<\/li>
- Some complaints about customer service issues<\/li><\/ul><\/div><\/div>
How debt relief in Canada works<\/h3>
In Canada, \u201cdebt relief\u201d refers to various solutions that help you get out of debt. Not just limited to bankruptcy, debt relief can also include financial counselling to help you better manage money or negotiating with creditors for lower repayment amounts or better interest rates.<\/p>
Debt relief companies, which can be for-profit and not-for-profit, evaluate your financial situation to find the best debt relief option for your needs\u2014whether through debt settlement, debt consolidation, credit counselling, submitting a consumer proposal or bankruptcy.<\/p>
What are the best options for debt relief in Canada?<\/h3>
The best debt relief option in Canada for you depends on your financial situation. There are several helpful debt relief options for Canadians, so let\u2019s take a closer look at how each of them works, how much they cost, and how they affect your credit score.<\/p>
1. Debt consolidation loan<\/h4>
- How it works:<\/strong> A debt consolidation loan is designed to make your debt repayments easier to manage and more affordable. The basic premise is that you take out a loan to pay off all your existing debts. You then only have one debt to pay off \u2014 your new debt consolidation loan \u2014 with a single monthly payment, and a lower interest rate than your previous debts.<\/li>
- How it affects your credit score:<\/strong> Your credit score will drop slightly when you apply for a debt consolidation loan because you\u2019ll need to undergo a credit check. However, if your lender reports on-time payments to the credit bureaus, it can actually improve your credit score in the long run.<\/li>
- Cost:<\/strong> APRs of up to 35% depending on your credit score and income.<\/li><\/ul>
2. Debt management program<\/h4>
- How it works:<\/strong> A debt management program allows you to consolidate your outstanding debts into one affordable monthly payment. A debt relief company or credit counselling agency can negotiate with your creditors on your behalf, and while you\u2019ll still need to pay back the debt in full, you typically will only have to pay low or no interest. You then make your monthly payment to the debt relief service or counselling agency, which distributes the money to your creditors.<\/li>
- How it affects your credit score:<\/strong> A debt management plan will have a negative impact on your credit score. However, you can take steps to improve your credit once you get out of debt.<\/li>
- Cost:<\/strong> Fees are calculated based on the debt amount and your financial situation. For example, the Credit Counselling Society has a sliding fee scale, with a maximum fee of $75 per month. The fee is included as part of your monthly payment.<\/li><\/ul>
3. Debt settlement<\/h4>
- How it works:<\/strong> A credit counsellor or debt relief company negotiates with creditors on your behalf to pay off less than what you owe. However, creditors may refuse to settle your debts, while you\u2019ll also need to watch out for high fees that may apply. Learn more on the Government of Canada website<\/a>.<\/li>
- How it affects your credit score:<\/strong> Debt settlement will have a significant negative impact on your credit score and will stay on your credit report for six years after you finish the program.<\/li>
- Cost:<\/strong> Fees commonly range from 15% to 25% of the debt settlement amount.<\/li><\/ul>
4. Consumer proposal<\/h4>
- How it works:<\/strong> A consumer proposal is a legally binding agreement you enter into with your creditors to pay back less than what you owe, increase the amount of time you have to pay back your debts, or both. The agreement is administered by a licensed insolvency trustee, but creditors have the right to reject your proposal.<\/li>
- How it affects your credit score:<\/strong> A consumer proposal will have a significant negative impact on your credit score and will stay on your credit report for three years after you make your final payment. You\u2019ll also find it harder to get a loan after a consumer proposal.<\/li>
- Cost:<\/strong> Filing fee ($100), counselling fees (2 sessions X $85), proposal administration fee ($1,500 + 20% of creditor distributions) and a levy of 5% of creditor distributions.<\/li><\/ul>
\n - How it affects your credit score:<\/strong> A consumer proposal will have a significant negative impact on your credit score and will stay on your credit report for three years after you make your final payment. You\u2019ll also find it harder to get a loan after a consumer proposal.<\/li>
- How it affects your credit score:<\/strong> Debt settlement will have a significant negative impact on your credit score and will stay on your credit report for six years after you finish the program.<\/li>
- How it affects your credit score:<\/strong> A debt management plan will have a negative impact on your credit score. However, you can take steps to improve your credit once you get out of debt.<\/li>
- How it affects your credit score:<\/strong> Your credit score will drop slightly when you apply for a debt consolidation loan because you\u2019ll need to undergo a credit check. However, if your lender reports on-time payments to the credit bureaus, it can actually improve your credit score in the long run.<\/li>
- How it works:<\/strong> A debt consolidation loan is designed to make your debt repayments easier to manage and more affordable. The basic premise is that you take out a loan to pay off all your existing debts. You then only have one debt to pay off \u2014 your new debt consolidation loan \u2014 with a single monthly payment, and a lower interest rate than your previous debts.<\/li>
- How they can help:<\/strong> When you book a free consultation with an MNP Debt licensed insolvency trustee, they can assess your financial situation and find suitable debt solutions. These include consumer proposals, personal bankruptcy, insolvency counselling, debt consolidation and more.<\/li>
- Who they are:<\/strong> With more than 60 years in the industry, MNP Debt is one of Canada\u2019s largest personal insolvency practices. It has over 240 offices across Canada and aims to help Canadians free themselves from debt once and for all.<\/li>
- How they can help:<\/strong> If you need help managing your debt, you can book a free consultation with Sands & Associates by filling out an online form. As licensed insolvency trustees, Sands & Associates can help you assess your options for debt relief in Canada and decide which one is best for you.<\/li>
- Who they are:<\/strong> Sands & Associates offers bankruptcy and debt help services in BC. Founded in 1990, this Consumer Choice Award-winning firm has more than 25 offices around BC.<\/li>
- Check what fees will apply after the initial consultation<\/li><\/ul><\/div><\/div>
- How they can help:<\/strong> If you\u2019re struggling with debt, you can book a free consultation with Spergel to discuss your options for debt relief in Canada. Help is available seven days a week, and Spergel can help you assess options such as debt consolidation, a consumer proposal and bankruptcy.<\/li>
- Who they are:<\/strong> Spergel offers a team of credit counsellors and licensed insolvency trustees to help you get your finances back on track. Headquartered in Toronto, it has offices in Ontario, Qu\u00e9bec, Manitoba, Saskatchewan, Alberta, British Columbia, and the Maritimes. It\u2019s also BBB accredited.<\/li>
- How they can help:<\/strong> Hoyes Michalos offers a free consultation to help you assess your options for debt relief in Canada. These range from credit counselling to debt settlement, debt consolidation, consumer proposals and personal bankruptcy.<\/li>
- Who they are:<\/strong> Hoyes Michalos is a Toronto-based licensed insolvency trustee and credit counselling firm. Founded in 1999, it is accredited with the BBB and can help you explore a range of suitable debt relief options.<\/li>
- How they can help:<\/strong> This not-for-profit offers free credit counselling to help you determine the best way to get out of debt. It also provides budget mentoring services and financial education to help you better manage your money.<\/li>
- Who they are:<\/strong> Next on our list of the best debt relief companies in Canada, Solve Your Debts is a credit counselling service with more than 25 years of experience. This agency is accredited by the BBB and has a team of Accredited Financial Counsellor Canada (AFCC) certified counsellors to provide debt help.<\/li>
- Be aware that some debt relief solutions can negatively impact your credit<\/li><\/ul><\/div><\/div>
- How they can help:<\/strong> Credit Canada offers free counselling services in English and six other languages. After assessing your financial situation, it can help with debt consolidation and management programs, plus provide financial coaching and help you build your credit.<\/li>
- Who they are:<\/strong> Credit Canada has been helping Canadians access debt relief help and get out of debt for more than 50 years. This credit counselling agency is BBB accredited and offers access to a wide range of debt relief options.<\/li>
- Only available in Alberta<\/li><\/ul><\/div><\/div>
- How they can help:<\/strong> Money Mentors offers free and confidential credit counselling and financial assessments. It can also help you understand your debt consolidation options and get out of debt with Alberta\u2019s Orderly Payment of Debts (OPD) program.<\/li>
- Who they are:<\/strong> Money Mentors is an Alberta-based not-for-profit with over 25 years of experience offering debt relief in Canada. With six locations across Alberta, this credit counselling service has won multiple Consumer Choice Awards in Credit and Debt Counselling Services.<\/li>
- How they can help:<\/strong> The society offers a free in-person and over-the-phone credit counselling service where a counsellor can assess your financial situation and provide advice on the debt relief solutions in Canada to help you get back on track. It also offers other helpful debt relief options for Canadians, including debt settlement programs and debt management plans, as well as advice on filing a consumer proposal or filing for bankruptcy.<\/li>
- Who they are:<\/strong> The Credit Counselling Society is a non-profit charity with a mission to help Canadians achieve financial well-being. It is accredited by the Better Business Bureau (BBB), has over 25 years of experience and is an accredited member of Credit Counselling Canada. The Credit Counselling Society has also won Consumer Choice Awards in Ottawa, Hamilton, London, Winnipeg, Regina, Saskatoon, and Vancouver.<\/li>
- How they can help:<\/strong> Consolidated Credit offers education and professional counselling services to help you get out of financial difficulties. You can talk to a counsellor for free to review your overall financial situation and determine if you qualify for a debt management program or other options for debt relief in Canada.<\/li>
- Who they are:<\/strong> Consolidated Credit has been helping people pay off their credit card debt for over 15 years. This BBB-accredited not-for-profit is also an Accredited Member of the Canadian Association of Credit Counselling Services.<\/li>
- How they can help:<\/strong> Debt.ca connects you with debt relief service providers in your area. Whether you\u2019re looking for credit counselling, a debt management program or a licensed insolvency trustee to file a consumer proposal, Debt.ca can help you find a specialist near you.<\/li>
1. Debt.ca<\/h4>
![\"Debt.ca\"](\"https:\/\/www.finder.com\/finder-us\/wp-uploads\/sites\/5\/2021\/02\/Debt.ca_Supplied_450x250.jpg\" "\\"Image:")
<\/p>