It seems like we never run out of news headlines reporting about the rising average Canadian household debt and how people are hard-pressed to meet monthly payments. But what does it really mean to be in too much debt? And how much is too much? This article examines four vital signs of too much debt and offers solutions that a Licensed Insolvency Trustee can help you reduce or even eliminate your debt.

With summer upon us, vacations and summer trips are often a part of our plans. After working all year round, combined with school breaks, summer is a great time to let loose a little and take the entire family on a vacation. Unfortunately, this is also the time when people find themselves committing avoidable financial mistakes.

Dealing with credit card debt is something many people face for a range of

reasons.   It may be that household expenses exceed income, maybe you are trying to run a business and struggling to maintain positive cash flow,  or there could be an emergency that requires the cardholder to make a large purchase or payment for something essential.

As much as it may be hard for some people to accept, not everyone is able to work themselves out of a bad financial situation. Sometimes old decisions or financial mistakes cause long-standing issues and costs.  While people can often feel embarrassed and sensitive about this situation, we understand that everyone’s situation is unique and we’re happy to help you find a solution to your financial troubles.

Many Canadians are in debt.  For many people, it has become normalized to be in debt and the impacts on various aspects of our lives have just become part of the “package”. However, not everyone fully grasps all of the costs and implications of being in debt.

Credit counselling is an excellent way for borrowers and debtors to understand their financial difficulties in more detail and discover opportunities to stop collections, reduce interest, save money and become debt-free. These services are offered by both for-profit and non-profit services, making them accessible to people of various income levels.

Imagine the following scenario…

You are having financial difficulty and you try to take out a loan, but due to your bad credit, you are unable to be approved for loan. Instead, the financial representative suggests you consolidate your debt instead, but then they determine that you don’t qualify for that either because you have some missed payments and they don’t want to take the risk.

Most people are aware that their credit score plays a big role on their life and finances. Unresolved financial issues leading to a bad score virtually guarantees challenges when it comes to whether or not you are approved for loans, the interest rate you pay on those loans and even whether you can get insurance, jobs and more.

Financial hurdles and hardships are something many people, and really anyone for that matter,  can find themselves dealing with in their lives. Unless you are fortunate enough to be independently wealthy, have the benefit of generational wealth or have large assets, debt issues and financial constraints can impact anyone, especially given the current economic difficulties during the COVID-19 pandemic.

With the ongoing COVID-19 pandemic evolving rapidly and impacting most business owners across all industries, it’s clear that this is one of the most challenging times that any decision-maker has ever faced.

From drops in product demand to supply constraints, the list of difficulties that companies are facing as a result of the pandemic continues to grow at an endless pace.