Are you stressed about your monthly bills? If you are a Canadian struggling to pay your debts, know you are not alone. Seriously! As per the latest MNP Consumer Debt Index, Canadians have “increasingly negative debt perceptions despite the recent interest rate cut by the Bank of Canada.” The index also found that “more than half say interest rates will need to drop much further before their financial situation significantly improves (57%).” Sound familiar? If you are a Yukon resident laden with debt, don’t worry! Plenty of resources can help.
Debt Relief Programs for the Yukon
Are you in Whitehorse? Good news! You will have more options for in-person support.
Not in the city? No problem. Hope is not lost. You can still access support virtually or by telephone.
1. Consolidated Credit Counseling Services of Canada
Consolidated Credit (CCC) offers Yukon residents tailored financial guidance. Their debt management programs combine unsecured debts into a single monthly payment at a reduced interest rate. This means that not only are you making ONE payment, but there are smaller interest charges. CCC makes repayments more manageable. They also provide ongoing support for budgeting and financial planning.
Eligibility: Yukon residents with unsecured debt
Benefits: By offering financial counseling and support, CCC can help reduce your interest charges. They can also assist in simplifying your debt payments.
More information: Contact the organization for more details: https://www.consolidatedcreditcanada.ca/
How do we rate CCC? Click here to find out: https://inflationcalculator.ca/consolidated-credit-counseling-canada-legit-debt-relief-service-read-our-review/
2. Credit Counselling Society (CCS)
The Credit Counselling Society (CCS) offers FREE credit counseling services to Yukon residents. Through personalized advice, CCS’s counselors help clients consolidate debts, improving their financial health. The non-profit organization also provides budget consultations and debt management programs.
Eligibility: CCS is for Yukon residents dealing with unsecured debt
Benefits: Personalized financial advice, educational resources, debt consolidation, and repayment plan options. They also offer LOWER(!) interest rates.
More information: Visit the Credit Counselling Society webpage at https://nomoredebts.org/debt-relief-canada/yukon or contact by telephone at 1-888-527-8999
3. Debt consolidation loan
Residents of the Yukon may pursue debt relief through a debt consolidation loan. This loan allows them to combine multiple high-interest loans into one. A loan with a lower interest rate that is. Really! This option allows for less burdensome payments.
Eligibility: Yukon residents with multiple unsecured debts may be eligible. A debt consolidation loan also requires a stable income and a high credit score.
Benefits: Single monthly payments and potential savings on interest
More information: Speak to a local financial institution for specific details. Residents of the Yukon can apply for debt consolidation loans through major financial institutions such as CIBC, for example.
4. Licensed Insolvency Trustees in the Yukon (LIT)
As federally regulated professionals, Licensed Insolvency Trustees (LITs) provide debt management advice and assist with debt relief solutions. LITs in the Yukon offer expert guidance to those facing financial difficulties, helping them navigate debt solutions. These may include consumer proposals or bankruptcy proceedings.
Eligibility: LITs can help Yukon residents with unsecured debts
Benefits: LITs provide debt relief options that hold up under the law and offer creditor protection. A LIT can also help to restructure repayment plans (through consumer proposals) or eliminate debt (through bankruptcy).
More information: Need a LIT close to you? Find one here: https://www.ic.gc.ca/app/scr/tds/web/?lang=eng
BDO offers expert financial counseling to help individuals take control of their finances. The company assists with consumer proposals and bankruptcy filings.
- Address: Whitehorse (visit https://debtsolutions.bdo.ca/offices/whitehorse/)
- Phone: 1-867-667-7907
MNP offers debt relief services to individuals across Canada. Their solutions include debt consolidation and counseling. And they can help restructure or eliminate debt. Whether through consumer proposals or bankruptcy, MNP provides guidance to regain financial stability.
- Address: Whitehorse (visit https://mnpdebt.ca/en/offices?filter=offices®ions=YT for more information)
- Phone: (toll-free) 1-877-898-2580
5. Consumer Proposal
A consumer proposal is a formal agreement where creditors agree to settle the debt for less than the amount originally owed. Yes, you might be able to pay back less than you owe.
A Licensed Insolvency Trustee (LIT) will administer a consumer proposal, helping to negotiate the terms. This option often allows you to extend the repayment period and reduce the debt burden.
Eligibility: Yukon residents who cannot manage their debts are eligible for a consumer proposal. It is for those who want to avoid bankruptcy and have unsecured debt of less than $250,000. This amount excludes any mortgages.
Benefits: A consumer proposal is a bankruptcy alternative. It helps reduce your debt and offers protection from creditors.
More information: Get in touch with a LIT in the Yukon.
6. Bankruptcy
Bankruptcy offers a fresh start for individuals facing severe financial distress. A Licensed Insolvency Trustee (LIT) oversees the bankruptcy process, which includes asset liquidation if necessary. They can also discharge most unsecured debts.
While this process provides a start toward financial recovery and legal protection from creditors, it does come at a cost. Declaring bankruptcy has serious implications, so speak with a professional to understand your options.
Eligibility: Yukon residents who are insolvent and unable to repay their debts may be eligible for bankruptcy. It is for individuals who have no remaining alternatives.
Benefits: Bankruptcy eliminates most unsecured debts. It offers creditor protection and a fresh financial start.
More information: Get in touch with a LIT in the Yukon.
Lauren has over 13 years of experience in wealth management and financial planning. She is a CFA charterholder and holds a Bachelor's degree in Finance. Lauren has worked with several asset management firms, offering wealth advisory and portfolio management services to high-net-worth clients.
