Insolvency filings have dropped to a record low in Canada, but you shouldn’t be surprised.
According to a recent Scotiabank survey, filings in April dropped by a record 43% compared to the same time last year. To the average Canadian, this might come as shocking news, as our headlines are filled with doom and gloom stories of economic fallout due to the COVID-19 crisis. However, due to the federal government stepping up with their CERB payments, Canadians have seen their finances buoyed from April and beyond, leaving our team of insolvency professionals at BNA Debt Solutions preparing for a major influx of filings once federal funds run out.
Adding to this are reports that Canadian household debt ratios continued to spike in the first quarter of 2020. This means that with increased consumer debt, and the very real possibility that many Canadian debtors won’t have steady incomes to continue making their payments, the Canadian insolvency industry is sitting in a proverbial “eye of the hurricane”, where there is a perfect storm of a loss of income, and a high consumer debt ratio.
Shelter from the Storm
If this scenario is ringing all too true for you and your family, you are certainly not alone. This is a situation that is facing many hardworking families across our country, so believe us when we say that we understand. But more importantly, we can help.
If you’re already finding yourself unable to make your payments, and under constant bombardment from collection agents, and worrying about paying your bills and CRA debt for 2020, even with CERB payments keeping you afloat, our team of insolvency experts can get you on the path to financial freedom and end those harassing calls when you file a consumer proposal with us. A licensed insolvency trustee has the legislative authority to deal with the bill collectors for you, with our clients paying, on average, only 37% of their outstanding debts.
Protect Yourself by Seeing us Today
With the predicted surge of insolvency filings headed our way in the very near future, your best bet to end the stress and creditor harassment, and gain peace of mind is to start talking to our team today. By beating the rush of filings, your debt will be eliminated sooner. If you have suffered a loss of income due to COVID, there is no better time to negotiate a settlement with your creditors.
At BNA Debt Solutions, we’re always ready to listen to you. Trust us when we say that you are not alone. Thousands, if not millions, of Canadians are feeling the exact same stresses you are during this time, and as Licensed Insolvency Trustees, we are the only professionals that are approved by the federal government to get between you and your creditors and reduce your debt. Reach out and call us today to start your process.
