According to Statistics Canada, 34 percent of retired people over 55 are still carrying debt, while a 2017 Equifax Canada report found seniors are increasing their debt loads at a much faster pace than other Canadians. With so many retirement-age Canadians carrying increased levels of debt, many will face a choice: accept a reduced standard of living or carry more debt to compensate. This can put a strain on them and their adult children who may need to support them.
Increasing debt levels among seniors can be attributed to such things as the allure of low interest rates; trying to maintain a pre-retirement lifestyle; wealth transfer to children or grandchildren; market downturns; and the cost of long-term care.
As licensed insolvency trustees, we help people who have worked hard their entire lives but now find it difficult to make ends meet on a fixed income.
If you are in your golden years and experiencing debt problems, together we can figure it out. A consumer proposal or bankruptcy could be a solution. Meet with a Grant Thornton debt professional for a free, confidential consultation to learn more about your options—so you can focus on your retirement, not your finances.