How to remove consumer proposal from credit report?

_{consumer proposal, credit report Canada, British Columbia}

Getting a consumer proposal off your credit report in Canada requires a little patience. Once you’ve fully paid, Equifax and TransUnion should automatically update your credit report. If it doesn’t disappear after three years, contact them with proof of completion. Your Trustee can also assist. If they can’t, reach out to us and we can help.

Show Table of Contents

_{Remove consumer proposal from your credit report in Canada.}

Consumer Proposal Question

How to remove consumer proposal from credit report? I’d like to know if it’s possible to remove a consumer proposal from my credit report.

From: Anonymous Question
Location: Coquitlam, British Columbia (BC)
Category: consumer proposal

Consumer Proposal Answer

Getting a consumer proposal scrubbed from your credit report in Canada involves a bit of waiting and patience. Imagine you’ve diligently paid off everything per the agreement. Well done! The good news is that once you’re finished, both Equifax and TransUnion will update your credit report to reflect your newfound freedom — automatically! Still, it’s a smart move to give these agencies a nudge and confirm that everything is up to date. Now, here’s the kicker: The proposal will vanish from your report like magic, three years after you’ve paid it all off.

But what if it doesn’t? Or maybe you spot a pesky mistake? Don’t sweat it. You can reach out to the credit bureau to get things sorted. Just keep your proof of completion handy, like that certificate from your Licensed Insolvency Trustee. And if things get tangled, no worries — a chat with your Trustee can help navigate through any bumps.

From: Insider Scott

Office of the Superintendent of Bankruptcy (OSB) Answer

It is generally not possible to remove a consumer proposal from your credit report before the standard reporting period ends. A consumer proposal remains on your credit report for three years from the date it is completed, or six years from the date it is filed, whichever is longer, as per the Foresight Financial Management framework outlined in the Bankruptcy and Insolvency Act (BIA) and its associated regulations. Sections 66.34 and 66.35 of the BIA specify the duration that a consumer proposal affects credit reporting. Therefore, the only way for it to be removed is to wait for these periods to expire.

From: OSB Helper

Related Questions to Credit Report Canada

Here are the top 5 most frequently asked questions related to removing a consumer proposal from a credit report in Canada, along with brief answers:

1. How long does a consumer proposal stay on my credit report?

A consumer proposal will be removed from your credit report 3 years after you’ve paid off all the debts according to the proposal, or 6 years from the date it was filed, whichever comes first[1][3][5].

2. What is the difference in how Equifax and TransUnion remove consumer proposals from credit reports?

Equifax removes a consumer proposal 3 years after you’ve paid off all the debts or 6 years from the date filed, whichever is sooner. TransUnion also follows this timeline, with the same criteria[1][3][5].

3. Can I start rebuilding my credit score while I am still in a consumer proposal?

Yes, you can start rebuilding your credit score during a consumer proposal by obtaining a secured or sometimes an unsecured credit card and making timely payments[1].

4. How does an R7 credit rating affect my credit report during and after a consumer proposal?

An R7 credit rating, indicating a consumer proposal, remains on your credit report for 6 years from the date the proposal is filed or 3 years from the day the proposal is complete, whichever comes first[1][3].

5. What steps should I take if there are errors on my credit report related to a consumer proposal?

If you notice errors, contact your Licensed Insolvency Trustee for documentation and submit a dispute with the credit bureaus to correct the information[1].

If you have a question about debt see our debt questions or ask your own debt related question.

References

_{Table of article references}