Woman on floor frustrated with finances displayed on laptop

Debt Settlement Solutions in London, Ontario

Welcome to Locke Consulting of London, Ontario, your dedicated partner for debt settlement services. In a world where financial burdens are increasingly common, our expertise stands as a beacon of hope, offering a lifeline to those overwhelmed with debt.

Delving Deeper into Debt Settlement

Debt settlement isn’t just about reducing your financial obligations; it’s about reclaiming your life. It’s the art and science of professionally negotiating with creditors to substantially decrease the amount you owe.

How Debt Settlement Truly Works

  1. Assessment of Financial Situation: Our meticulous debt settlement journey commences with a comprehensive look into your finances. We assess income sources, monthly expenditures, outstanding debts, and any financial commitments.
  2. Creating a Tailored Debt Settlement Plan: Every individual’s financial story is unique. Hence, a cookie-cutter approach won’t do. We custom-design a debt settlement plan aligning with your specific situation.
  3. Skilled Negotiations with Creditors: With years of experience under our belts, we have cultivated the art of negotiation. Our seasoned team liaises with your creditors, always aiming to secure a favorable reduction in your overall debt.
  4. Establishing a Settlement Fund: Parallel to the negotiation phase, we guide you in accumulating a dedicated fund. This transparent and segregated fund ensures resources are available for debt settlement when the time is ripe.
  5. Finalizing Settlements and Payments: After successful negotiations, payments are disbursed from the settlement fund. This not only reduces your debt but often erases it entirely, leading to immense relief.
  6. Upholding Legal Aspects of Debt Settlement: The financial world is entangled in legal nuances. Our experts ensure every action taken is in compliance with legal standards, guaranteeing peace of mind.

The Two Sides of Debt Settlement: Benefits and Risks


Beyond the tangible reduction in debt, the benefits of debt settlement are manifold. Enjoy a renewed sense of financial freedom, steer clear of the devastating impacts of bankruptcy, bid adieu to relentless creditor calls, and set yourself on a clear, structured path to a brighter financial future.


Like every financial endeavor, debt settlement has its share of risks. These include potential dips in your credit score, possible tax implications from forgiven debt, and the reality that not every creditor may agree to a settlement.

Comprehensive Debt Settlement Services

Debts Eligible for Settlement

  • Credit card overheads,
  • Various unsecured loans,
  • Retail debts,
  • and a myriad of other financial burdens…

The Balance: Pros and Cons of Embracing Debt Settlement


Reap extensive savings on owed amounts, experience unparalleled relief from oppressive debts, and benefit from expert hands guiding you every step of the way.


Initial credit score setbacks, the looming threat of creditor lawsuits in rare cases, and the caveat that not all debt types may be a fit for settlement.

The Locke Approach: How Our Debt Settlement Program Transforms Lives

Beginning with a warm handshake and ending with a debt-free smile, our approach to debt settlement is thorough, compassionate, and transformative.

Man struggling with debt

Debt Settlement vs. The Alternatives: Making the Right Choice

Debt Settlement vs. Debt Consolidation

Debt Consolidation is about merging; debt settlement is about reducing. Know the difference to make informed choices.

Debt Settlement vs. Bankruptcy

Bankruptcy might seem like a fresh start but comes at a high cost to your credit reputation. Debt settlement offers relief with fewer repercussions.

Debt Settlement vs. Credit Counseling

While credit counseling rearranges deck chairs on the financial Titanic, debt settlement aims to patch the hole. It’s about active reduction, not mere reorganization.

By the Numbers: Savings & Credit Impact

Clients often find that debt settlement not only lightens their financial load but does so more effectively than other avenues, even with a short-term credit score impact.

Reimagine your financial future. Let Locke Consulting of London, Ontario, be the cornerstone of your journey to a debt-free life. Dive into the world of expert debt settlement. Schedule a free consultation today.

Frequently Asked Questions about Debt Settlement

Other than the person who owes the debt the only people who can legally help you make debt settlements in Ontario are collection agents, lawyers of Licensed Insolvency Trustee’s.  Other people or companies can only discuss the option with you and refer you to someone who can help you.  You must be very careful not to pay any fees to anyone except a lawyer or Licensed Insolvency Trustee.

Creditors must be motivated to accept a reduced amount of money in settlement for a debt.  If they think they can still collect the full amount of the debt they will probably try to do so.  For a debt settlement to be accepted reliable information needs to be sent to each creditor to convince them that the offer is reasonable and probably the best deal they are going to get under the circumstances. Creditors are more likely to trust a lawyer or Licensed Insolvency Trustee than they would trust you.

Debts that are statute barred (or too old for the creditor to be able to take you to court) may be settled more easily than other debts because creditors have few or no options to collect the amounts owed without coming to some sort of arrangement.  The Limitations Act sets out the time frame for legal actions to be commenced, if they are not started within that time frame they cannot be heard in court.

Although a creditor may be barred from using the courts to collect the debt the debt is still owed and collection activity can continue in the form of calls and notices.  Even though some debts are statute barred, creditors may have other options for collecting unpaid debts like the right of setoff or offset. Banks can use this remedy, basically if you deposit money with them and owe them money from an old debt they can just take the deposit and put it towards the amount(s) owed.

Other reasons that creditors would contemplate a settlement arrangement might include compassionate grounds, although it may be true that there is not generally a whole lot of compassion in the collections industry.  A compassionate scenario might be one in which the debtor has suffered a misfortune making them unable to pay the debt according to the original terms.  Perhaps they became ill, injured or lost their income without hope of financial recovery.

It is important to recognize that a compelling case must be made to the creditor to motivate them to accept a reduced amount of money in settlement for the debt.  After all, if it were easy everyone would be doing it all the time. Licensed Insolvency Trustees can help you make that case.

The first challenge is finding someone you can trust to provide help at a reasonable cost.  Collection agencies acting on behalf of a creditor will sometimes negotiate settlements, without third party intervention, when they understand that the person they are collecting from has some money and is motivated to make payment(s) but cannot afford to pay the full value of the debt.  Not many licensed collection agencies will put themselves out as providing consumer debt settlement services to debtors because of a conflict of interest.

Non-profit credit counselling agencies are licensed as collection agencies so they can arrange debt repayment plans.  Unfortunately, few of them provide debt settlement services since they are funded by the Canadian Bankers Association and other major creditors and are paid on a fee for service collection basis.

Alternatively, you may find a lawyer or licensed insolvency trustee who will provide such a service for you.  Licensed insolvency trustees usually refer to debt settlements as “informal proposals”.  Our office has occasionally helped consumers with informal proposals but we do find that they work best when there are fewer creditors and when the debtor has a lump sum payment to offer.

Tom’s Top Tips

Stay away from cash stores – emergency loans are far too costly.

How to Start?

Call us today for your FREE consultation.

From our first contact we try to find the right debt management solution for you and your family, we follow through and help every step of the way to financial health and a balanced budget.