Consumer insolvencies in BC increased in August 2022 overall by 33.4 percent from August 2021. Consumer proposals increased 44.0 percent while bankruptcies decreased 0.6 percent.
Consumer insolvencies in all of Canada for August increased 26.7 percent over the same period last year. BC accounted for 10.6 percent of all consumer insolvencies in Canada in August 2022.
The proportion of proposals in consumer insolvencies in BC accounted for 82.3 percent of all BC insolvencies August 2022 while they accounted for 75.9 percent for all insolvencies across Canada for the same period.
The proportion of proposals in consumer insolvencies in BC was 80.0 percent during the 12-month period ending August 2022, up from 73.2 percent during the 12-month period ending August 2021. It indicates the popularity of consumer proposals as a way for consumers to deal with their debt and with dealing with a Licensed Insolvency Trustee over other unregulated service providers.
Insolvencies across Canada increased 13.6 percent from July 2022 to August 2022. Bankruptcies increased 9.8 percent and proposals increased by 14.8 percent. Proposals also make up 77.33 percent of all insolvencies for the pervious twelve months, up from 68.03 percent in the previous twelve months.
The insolvency statistics indicate the benefits of the protections provided to consumers under the Bankruptcy and Insolvency Act over other non-legislated options, whether that is a consumer proposal or a bankruptcy. It also indicates that consumers are seeing the benefits of seeking the professional advice of a Licensed Insolvency Trustee rather than those of other non regulated service providers.
If you would like to know exact details of how a consumer proposal or a bankruptcy would benefit you in dealing with debt, call us at (604) 605-3335 to schedule a free consultation.
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