Ontario Credit Counselling and Debt Management Plans

Discover how our credit counselling team has helped Ontario residents customize plans to get out of debt.

The biggest financial challenge currently facing consumers in Ontario is a significant housing shortage, which has led to serious issues with home affordability in the province. Considering that 40% of Canadians live in Ontario, it comes as no surprise that housing supply has decreased while demand has increased at a rate of 43 percent. That coincides with the rise in new mortgages at a rate of 41 percent since the start of the pandemic.

On top of this, home prices have continued to rise in both rural and suburban areas, since remote work became more prevalent during the pandemic. As a result, the average price of a home in Ontario increased from $950,000 to $1,071,000 within a year. And with Canadians piling on debt as a result of forgiving low-interest credit lines, it is unsurprising that more consumers are seeking ways to pay down debt, such as getting credit counselling and enrolling in a debt management plan.

“Although Ontario has an unemployment rate slightly lower than national averages, the housing issue is creating serious financial challenges,” says Jeffrey Schwartz, Executive Director of Consolidated Credit Canada. “This makes it more important than ever for Ontarians to put the brakes on credit card spending and focus on paying down debt, especially for those working to achieve the dream of homeownership.”

If you need help with your debt management, call us at (844)-402-3073 or complete our easy debt analysis from your phone.

Debt statistics in Ontario

The unemployment rate of Ontario is 6.4 percent which is 0.4 below the national average. Although the unemployment rate is trending lower in Ontario, youth unemployment, as well as employment for men, is trending higher. This current employment trend could be a direct result of various American manufacturers and retailers closing shop in Ontario. Given these challenges, it leaves many Ontarians vulnerable to debt. Here are some highlights:

  • Average credit card debt: $13,234 per borrower
  • Average student debt: $12,318
  • Average mortgage debt: $409,421
  • Average consumer debt (non-mortgage): $86,386

All of the above statistics are from Statistics Canada.

Insolvency Statistics

Canada20202019% Change
– Total Insolvencies96,458137,178-30%
– Consumer Proposal63,57882,769-23%
– Bankruptcy32,88054,409-40%
Ontario20202019
– Total Insolvencies33,99244,852-24%
– Consumer Proposal24,77930,275-18%
– Bankruptcy9,21314,577-37%
Source: ic.gc.ca

Real Case Studies of Consolidated Credit Clients

Case Study

Alexander from Toronto, ON

“My Experience with Consolidated Credit has been awesome. I was in so much stress and as soon as I was talking with my consultant, I felt a lot better. They are really kind and very understanding and were able to come up with a solution for me that made sense and made things so much easier. I appreciate all the help and this program is something I would 100% refer friends and family too. Everyone deserves to be debt free. Thank you. ”

Where he started:
  • Total unsecured debt: $12,063.00
  • Estimated interest charges: $6,138.53
  • Time to payoff: 11 years, 1 months
  • Total monthly payments: $491.32
After DMP enrollment:
  • Average negotiated interest rate: 0%
  • Total interest charges: $0.00
  • Time to payoff: 3 years
  • Total monthly payment: $333.00
Time Saved

8 years, 1 months

Monthly Savings

$158.32

Interest Saved

$6,138.53

Case Study

Dawn B from Scarborough, ON

“Thank you for saving my life! I was drowning in a sea of debt barley being able to keep my head above water and now 4 years later debt free and it’s like starting my life over again. ”

Where she started:
  • Total unsecured debt: $18,346.00
  • Estimated interest charges: $10,754.71
  • Time to payoff: 14 years 8 months
  • Total monthly payments: $733.84
After DMP enrollment:
  • Average negotiated interest rate: 2.5%
  • Total interest charges: $493.97
  • Time to payoff: 4 years, 2 months
  • Total monthly payment: $382.00
Time Saved

10 years, 6 month

Monthly Savings

$351.84

Interest Saved

$10,260.74

Case Study

Melanie C from Emsdale, ON

“Very helpful program. Met all my needs. Was very helpful with solutions during difficult times. Payments were reasonable. Always got a response back right away with a solution. ”

Where he started:
  • Total unsecured debt: $1,649.00
  • Estimated interest charges: $524.00
  • Time to payoff: 4 years 11 months
  • Total monthly payments: $76.40
After DMP enrollment:
  • Average negotiated interest rate: 2.5%
  • Total interest charges: $149.84
  • Time to payoff: 1 year, 10 months
  • Total monthly payment: $80.00
Time Saved

3 years, 1 month

Monthly Savings

$(3.60)

Interest Saved

$374.72


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