No problem. The fugitive analogy is very close to how you would feel. At least discuss your personal situation with a trustee there might be some other options. I wish you the best of luck and keep your head up! Take care.

Thank you very much for your advise I really appreciate the way you tried to help me out. Things are messed up and if I go Bankrupt then I am legally dealing with the problem instead of being like a fugitive on the run.

Thanks again

Here is my 2 cents for what its worth. From someone with some personal experience in the matter….It seems to me like you are about to embark on a journey and you may not have thought it through completely so I thought I would throw in an opinion on this one.

I know the feeling of wanting to "run away" and hide from it all. I agree with TJ on what your options are and I think what you need to do is take a long term look at what is essentially a short term problem (though I know it doesn’t feel that way right now!). Keep in mind it will be easier to throw some water on the bonfire you have now as compared to the forest fire you will have later if you decide not to face this. Life is not designed to reward those that do not confront their problems and turtle up. First off try your best not to freeze and understand that the weight you are feeling is temporary. Definitely solve the income battle first…get a new job or what have you and direct your efforts on providing for your family. Keep your creditors in the know (for now) until you have weighed the following options..

Option 1: Work with them, tell them what’s happening and that you will do your best to catch up once you find employment...its not that scary. They are just people with a job to do much like yourself and they are motivated to work with you so they can get paid. If you have access to some cash you can also try to settle with them for less then 100 cents on the dollar. Only if you have enough of course to carry you and your family through this tough time as well (my opinion this is priority one).
Option 2: Consumer proposal: A reasonable option if you were in a solid position to make payments on about 35-40% of your debts for the next 5 years. This would also assume that you are going to stay employed for this amount of time and not be "off the grid". Assuming it takes you the full 5 years to pay (from what 2 trustees have told me these are the statistics as few ever bother to pay it back early) it will remain on your report for 3 years after that...translation living with this problem for approximately 8 years. But being able to make as much money as you want and begin re-establishing credit at any time during the proposal.
Option 3: Bankruptcy: See a trustee, "pull the plug" and depending on your financial situation and income (or lack thereof) you will be in for 9-21 months and start with a "clean slate"...the trustee will go over the numbers with you to see if this makes sense or not and that is a decision you have to make. Your income and expenses will be scrutinized to the penny, you will have to attend credit counseling (not a bad thing really) and they will take half your income over a certain pre designated amount to provide payment to your creditors…who will now have no rights to contact you anymore. It will fall off your bureau after 7 years however you will have the opportunity to start rebuilding shortly after your discharge. People do get loans shortly after bankruptcy (at a higher percentage for the first little while) if they have established a secured card or made some sort of effort to get back on the program.....translation you are only living with this problem for about 2 years though you will have to explain it for about 7.

Option 4: Head for the hills...or woods, family members basement suite or some hut offshore somewhere hiding your family and living off rocks and twigs...While this seems like the easiest thing to do...and emotionally probably is for now..it may not be the most effective for you long term. First off while the credit system isnt anywhere near perfect it is also not going anywhere anytime soon...people are checking it for renting property and even getting some jobs. While living a cash only life(which will be your only option) so you cant be tracked, you will have to take jobs that are either cash based...ie pray revenue Canada doesn’t track you down..which they are VERY good at and then good luck on your SOL privileges...or take jobs out of your field of expertise which will most likely be lower paying as savy collectors will deduce that you will stay in the same business and attempt to skip trace you by checking with similar companies.

Basically what I am getting at is that the theory of running away is easier in "theory" then in practice. In practice it is difficult to do for months...let alone the years it will take for you to dodge every situation involving credit until your statute runs clear (like you said about 6 years or so depending). This is ALL assuming the creditors do not manage to serve you judgments on these accounts….which they will be in their right to do. While you may be judgment proof today they will have AT LEAST ten years...with an option to renew after that to wait (and collect post judgment interest on) until your family life and situation improves (which I am assuming you will eventually want)...and then garnish you wages and take any assets you may have manage to stuff away in some bank account or sock drawer they had a hard time finding. This will put you back in the same position you are in today. Imagine the feeling you are having right now with how difficult things are continuing on for the next 10-20 years while this all hangs over your head. The SOL will not prevent them from stalking and harassing you and you will forever be worried about answering your phone.....translation living with this problem for a MINIMUM of 6 years and possibly for life!
For the record I agree with you that the credit system is flawed and there is a lot of opportunity for the people that set it up to take advantage of those of us who learn to late what is really happening when you are signing your contracts with them. They make money by taking risks on people at high rates, they also build in the fact a certain percentage of people will not pay them into their business model. However you are not winning anything over them by not dealing with it. They are not out to “get” you and truthfully after harassing you with phone calls all day probably don’t think twice about you while at home with their families…its just business. Not an emotional situation for them. My advice would be to get aggressive, take the time to learn your rights as there are plenty of knowledgeable people on this forum, consult with professionals and get your s*#t handled asap. It will save you loads of aggravation in the long run!
Whatever you choose, think hard about what’s best in the long run, consult with professionals and remember this is a temporary situation at best.

Ok maybe that was more then 2 cents worth ;) haha

Thanks for your advise.
I think number 3 is my only option. I am pretty down right now and angry that I was stupid to make only the minimum payments for all these years. The way I see it, I have paid them all back for the loans but the way it's set up I still owe them. I just want to disappear that's the way I feel right now.

Basically...as I see it you have several options.
1...A Consumer Proposal
2..Bankruptcy
3. Wait and see if they sue before Statute of Limitation expires.

As it stands now if you have no assest...no money...and soon no job....seems you are Judgment proof for the time being unless your situation changes in the next while.

It means they can no longer use the courts to collect by means of a judgment....but the debt will last forever and so will the hounding for years to come. Also 2 years is a long time for them to still file a action. Be sure of the dates of all your last payments.

I just did a little research and I found this
The Ontario Limitation Act 2002 , came into force on January 1, 2004. It sets two years as the term (Section 4). This limitation will be reinstated where the debtor acknowledges the debt or makes a partial payment towards repayment of his debt. If the default occurred prior to January 1, 2004, the creditor will continue to have 6 years to pursue the claim. However, if the default occurred after January 1, 2004 then the 2-year rule applies.

Does this mean that if 2 years goes by without payment then and I am done with the debt?

I have a considerable amount of debt and I am losing my job in the next 30 days. I am very frustrated that I have made all my minimum payments now for years and some of my debt is is still the same as when I first got it like my Credit Cards. I also have a 31% rate interest loan that I have paid over twice the original amount back on already and I still have two years to go which turns a 7000 loan into 21000! ( yes I know I signed the papers)
I am at the end of my rope and I feel very depressed. It seems like we all are addicted to debt and have become slaves to debt while billionaires are taking 100 million dollar bonuses from all of us.

What would happen if I walked away from it all and hypothetically went off the grid. I have a small severance pay that would take me to a place far away and live with family for a few years in the woods.
I know they can garnish my wages but I wont have any. They wont be able to track me down for awhile either.

My question is if I can walk away from all my debt and stay off the grid for as long as possible without them finding me? And if they do can they put me in jail for walking away from my debt? And finally how long would I have to stay off the grid for them to absolve the debt? I hear it's six years.

Castaway