From grocery shopping and fuel prices to energy bills, the cost of living in Alberta is on the rise. As inflation has risen across Canada, many Albertans are fearful of how the rising cost of living will affect their wellbeing and quality of life. These rising living costs can feel even more daunting if you are finding it difficult to manage your debt.
Are you worried about taking on more debt to keep afloat? Talking through your situation with a Licensed Insolvency Trustee (LIT) could take some weight off your shoulders. LITs are the only federally-regulated debt advisors in Canada, licensed by the Office of the Superintendent of Bankruptcy. They are trained to offer debt and insolvency support so you can make a decision that best suits your financial situation.
If you have been struggling to manage your debt and you are concerned about the rising cost of living in Alberta, talking through your financial worries with an LIT can be the first step towards financial peace of mind.
What has caused rising living costs in Alberta?
According to Statistics Canada, as of March 2022, Canada’s inflation rate has increased to 5.7% which is the highest rate since 1991. This increase has affected living costs, from grocery prices to energy costs. The cause for inflation may be due to several factors, such as the COVID-19 pandemic and supply chain issues. During the pandemic, demand for goods and services recovered faster than supply. This meant that businesses needed to catch up, so costs needed to increase.
If you’ve been finding your debt difficult to manage during the COVID-19 pandemic, you aren’t alone. Insolvency in Alberta increased by 9 percent in November 2021, while rising by 6 percent overall for 2021. This increase has caused anxiety around how to manage financial responsibilities, especially if you’re struggling to manage your debt.
How a Licensed Insolvency Trustee can help you
Perhaps your debt repayments are getting on top of you, or sticking to a budget is feeling impossible with inflation. Talking to an LIT about your financial situation may help take away some anxiety. Here are some ways an LIT can support you through the rising cost of living in Alberta.
Deal with your creditors
When filing a Consumer Proposal, or choosing to file for personal Bankruptcy, your Trustee will deal with your creditors on your behalf. Being contacted by your creditors for debt repayments can leave you feeling overwhelmed. But your LIT can take away some pressure by dealing with your creditors. Unsecured creditors will no longer be able to contact you for debt collection, or take legal action against you.
You may be feeling concerned how you’re going to manage your debt with the rising costs of living affecting your budget. With this in mind, getting expert financial advice from a qualified professional can help bring clarity to your situation. An LIT has extensive knowledge and experience in debt support. When working with them, you will know you’re receiving professional advice to find the best debt relief option for your situation.
If you’re concerned about the cost of working with an LIT, you can feel reassured that fees charged are regulated by the federal government. Your first consultation is free of charge.
How to handle the rising cost of living
53% of Canadians say they can’t keep up with the cost of living, with 45% of Albertans saying they have too much debt. So, if you are worried about how the rising cost of living will affect your finances, you aren’t alone. It’s never too late to reach out for support.
Are you looking for a way to manage your money and improve your financial confidence? Credit counselling may suit you. Credit counselling involves you meeting with an LIT to discuss your spending habits and debt, to help you put a budget in place to reduce your debt.
During your counselling sessions with an LIT, you’ll work together to discuss your financial goals and how you can manage your debt. From cutting back on unnecessary spending to paying off debt with higher interest rates, your sessions will be tailored to your personal situation and what works best for you.
Ready to improve your financial wellbeing?
If the rising cost of living in Alberta is leaving you feeling anxious, there is support there to ease your worries. We have recently opened new offices in Alberta to offer debt and financial support to those who need a helping hand. Our experienced Licensed Insolvency Trustees will take the time to understand your situation, and guide you towards a brighter future. Contact us today for a free consultation.