The temporary decrease in Chantale’s income
“When I came to BRESSE, I was convinced that bankruptcy was my only way out. I was mentally preparing myself to tell my partner and my children. The advisor at Bresse listened to me, reviewed my situation, and said: ‘You don’t need that. What you need is a plan, not a procedure.’ He equipped me to speak with my creditors myself. Today, my debts are decreasing every month, we’re sleeping at night, and I know that if anything changes, I can call him back. To me, that’s what a true professional is: someone who guides you toward the right solution, even if it’s not the most profitable one for them.”
— Chantale, 47, manufacturing sector
The situation
Temporary drop in income
At 47, Chantale had never really experienced financial worry. An operator in a unionized factory in the greater Québec City area for nearly twenty years, she earned a good salary, enjoyed solid benefits, and had always managed to pay her bills on time. Her partner also worked part-time. Together, they owned a house they had bought ten years earlier, two vehicles—one of which was fully paid off—two children in high school, and a small financial cushion that allowed them a few fishing weekends and one trip per year.
She had, like many people, a few everyday debts: a credit card balance she carried from month to month, a line of credit about half used, and a car loan for their second vehicle. Nothing alarming. Everything came in. Everything went out. Life went on as usual.
The event that changes everything
Then, in the spring, negotiations between her union and the employer stalled. After several weeks of tension, a strike vote was called. No one thought it would last long. A couple of weeks, just enough time to reach an agreement, people were saying on the picket line.
The strike lasted nearly four months
During those sixteen weeks, Chantale received the strike benefits provided by her union—but they amounted to barely a third of her usual net income. Overnight, the family budget was reduced by about $2,800 per month. Her partner increased his hours as much as he could. The children had to give up their extracurricular activities. And even so, by the end of the second month, the bills were starting to pile up.
16 weeks of strike · ~$2,800 in lost income per month · $31,000 in debt accumulated at the peak
To cope, Chantale did what many people do in this situation: she maxed out her line of credit, then her credit card, and then took out a second card in an emergency. When the strike was finally settled and she returned to work, she had a job, a good salary, and nearly $31,000 in unsecured debt to repay—on top of her regular obligations. Minimum payments were already swallowing nearly $1,100 a month in interest and fees. Collection calls had begun on the second card. And she wasn’t sleeping well.
The objectives
Regain control of her debts;
Put a stop to creditor calls; and
Avoid further damage to her credit score.
The solution – Informal proposal
Talk to creditors and defer late payments to the end of contracts, without filing for bankruptcy or a proposal.
During her first meeting with Bresse—always free and with no obligation—the advisor equipped Chantale to negotiate directly with her creditors. He explained, step by step:
How to present her situation in a clear and structured way: the context of the strike, the return to work, the regained stability, and her commitment to repayment.
What requests to make to each creditor: a temporary payment suspension, a reduced interest rate, extended repayment terms, or consolidation. Not the same request for everyone—the right request for the right creditor.
How to approach her primary financial institution first, to assess the possibility of consolidating her debts using the equity in her home.
And above all, in what order to approach her creditors to maximize her chances.
The result
Three weeks later, Chantale had:
— Renegotiated her mortgage with her financial institution, securing a home equity line of credit that allowed her to consolidate her unsecured line of credit and one of the two credit cards. The interest rate on this new portion dropped from over 19% to around 7%.
— Reached an agreement with the issuer of the second credit card to spread the balance over 36 months at a reduced interest rate, with no additional fees, in exchange for committing to automatic payments.
— Kept her auto loan under its original terms, with no changes required.
No insolvency proceedings were filed. No note was added to her credit record beyond the six difficult months already reported. And she now has a realistic repayment plan, spread over four years, that leaves the household with enough room to live.
What this story says about our approach
Our role: to guide you, not to sell you a procedure.
Chantale’s story illustrates exactly how we work at BRESSE. The initial meeting is not meant to sign a file. Its purpose is to give you a clear and honest picture of your situation—and to guide you toward the solution that truly fits your needs, even if that solution brings us no benefit.
Bankruptcy is almost never the first solution. A consumer proposal isn’t either. In some cases, direct negotiation with your creditors—well prepared and well targeted—can be enough.
But you still need to know it’s possible—and how to go about it. That is precisely the work we do in the initial meeting.
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What you're going through is far from unique. Thousands of people have been in this situation before. You deserve a second chance.
