Economic Slide

Some of the local real estate agents I've talked to recently have said the rate of home foreclosures has not slowed since the fall of last year and property values in the Cambridge area continue to slide.

Equifax have just released new figures last week highlighting a record increase in the number of accounts they report as being 90 days late. This is often a sign that as pressure to service debt loads mounts, people either prioritise whatever cash they do have to making sure secured loans, such as a mortgage or car loan get paid first, before the credit cards. After paying secured loans, if no money is left over, then the credit card gets left behind.

The amount of people claiming EI benefits is contributing to a backlog of claims with Service Canada. We've also had a lot of comments from people we've met this last month saying that the applications they've submitted in April for employment insurance claims, have not yet been processed and here we are in July.

The theme of this blog, in light of all the depressing news, is to have a plan B. If you were to be laid off tomorrow, or if you broke you leg and could not work, or if some other unforeseen event interrupted your cash flow, would you have a plan B in place?

Our article on hoyes.com has lots of good advice to help take steps to either prepare or get through.

We're also here to talk to you. If you already have debt you can't service, and cutting expenses won't help? You need professional advice, so e-mail us or give our debt help line a call at 310-PLAN and ask us whether a consumer proposal or a personal bankruptcy is necessary to deal with your debts.