Jump to Section:
Insolvency refers to a financial state where an individual (or business) can no longer meet their debt obligations. This typically happens when liabilities exceed assets, meaning you owe more than you own and are unable to pay your debts on time.
Insolvency can affect both your credit rating and your ability to obtain future loans, leading to increased financial stress. However, insolvency is not the end. There are several legal and financial pathways to manage insolvency, such as debt consolidation, consumer proposals, or filing for bankruptcy. These solutions offer a structured way to regain control over your finances, allowing you to either reduce or eliminate your debts over time while protecting yourself from creditor actions like lawsuits and wage garnishments.
Determining whether you're insolvent is a case of assessing your financial situation. Key indicators include:
If any of these issues apply to you, it may be time to consult with a Licensed Insolvency Trustee at your local MNP LTD office. We can help you evaluate your options and develop a strategy to overcome your financial challenges.
Becoming solvent again means taking control of your debt and financial situation. There are several options to help you achieve this, depending on your unique circumstances. Some approaches provide immediate relief, while others offer long-term solutions for debt repayment.
It’s important to choose the right method for your situation and seek guidance from a Licensed Insolvency Trustee or financial professional to explore your options, whether it’s through a legal process like bankruptcy or a financial strategy like debt consolidation.
If you’re struggling with debt but also have assets you wish to keep, a consumer proposal might be the life-changing debt solution you’re looking for.
View Consumer Proposal
You may be able to combine multiple debts into one overall loan—provided by your bank or financial institution—to make budgeting for repayment easier.
View Debt Consolidation
Bankruptcy is a legal process that provides immediate relief from your unsecured debts, such as credit card debt, but it’s not necessarily an all-encompassing solution.
View Personal Bankruptcy2025-03-05
MNP Consumer Debt Index Lifestyle Debt Debt Solutions
As financial struggles intensify, the launch of Debt Literacy Month this March aims to break down these barriers by providing Ontarians with the critical knowledge and trusted resources they urgently need to regain control of their finances.
2025-01-13
MNP Consumer Debt Index
Ontarians are feeling more pessimistic about their personal finances heading into 2025, despite declining interest rates.
2024-10-16
MNP Consumer Debt Index
According to the latest MNP Consumer Debt Index, conducted quarterly by Ipsos, a quarter (26%) of Ontarians have turned to bill-splitting strategies such as carpooling, buying in bulk, sharing subscriptions and childcare, and living with others.
