One in Three (31%) Canadians Don't Make Enough to
Cover Their Bills, Up 5 Points from Early This Year

Toronto, ON - One in three (31%) Canadians say they don't make enough to cover their bills and debt payments, technically making them financially insolvent, according to a new Ipsos survey conducted on behalf of MNP. Moreover, the proportion of Canadians who can't pay their bills is up 5 points since early 2016, suggesting that the situation is getting worse. Another 25% of Canadians have $200 or less wiggle room each month.

Ontario (35%) and Alberta (35%) have the highest levels of self-declared financial insolvency, followed closely by Saskatchewan and Manitoba (34%), the Atlantic provinces (32%), Quebec (28%) ad BC (20%). Alberta has seen an increase of 18 percentage points in the number of residents who say they are $200 or less per month away from not being able to pay their monthly bills.

Concern about current debt levels is also on the rise. In February, four in ten (43%) Canadians `agreed' (15% strongly/28% somewhat) they were concerned about their current debt situation, now over half (52%) of Canadians say they are concerned (21% strongly/31% somewhat). For many, this is prompting some soul-searching, with one in two (50%) `agreeing' (21% strongly/29% somewhat) that they regret the amount of debt that they have taken on in their life (+7 points).

Concern about the potential for rising interest rates is also increasing among Canadians: nearly four in ten (38%) say they are concerned (13% strongly/25% somewhat) that rising interest rates could move them towards bankruptcy, compared to only three in ten (31%) back in February.

However, even with their debts and concerns growing, many Canadians appear to be reluctant to seek out help: nearly two in three (63%) Canadians who can't pay all of their bills disagree (40% strongly/23% somewhat) they have not sought out professional help for their debt situation. Conversely, only one in three `agree' (14% strongly/23% somewhat) that they have sought such help.

At the same time, over-spending remains a reality: four in ten parents (40%) `agree' (13% strongly/27% somewhat) they spent more than budgeted on back-to-school shopping for their kids, while one in three (32%) Canadians `agree' (11% strongly/20%) they spent over budget on recreation or vacations during the summer - which could help explain the rising debt loads and concern over debt.

Parents in Quebec are more likely to spend more than they budgeted on back-to-school shopping for their kids; half (51%) of Quebec parents `agree' they spent more compared to; 43% of parents in Alberta, 43% of parents in Saskatchewan and Manitoba, 35% of parents in Ontario, 34% of parents in BC and 30% of parents in the Atlantic provinces.

While, Canadians in Quebec, Saskatchewan and Manitoba are more likely to spend more than they budgeted on recreation or vacation during the summer; 38% of Quebecers and 38% of Saskatchewan and Manitoba residents say they spent over budget this summer compared to; 33% of Albertans, 29% of Ontarians, 28% of residents in the Atlantic provinces and 26% of British Columbians.

Parents most worried about debt

Parents are more likely to be concerned about their debt situation than other Canadians: six in ten (60%) parents are concerned with their level of debt, compared to 49% of Canadians with no children. Debt concerns are also much stronger among middle-aged Canadians; six in ten (60%) Gen X'ers are concerned about their debt situation, compared to 52% of Millennials and 43% of Baby Boomers. At the regional level, residents of the Atlantic provinces (60%) have the highest level of debt concern, followed by those in Saskatchewan and Manitoba (57%), Alberta (53%), Ontario (52%), Quebec (52%) and BC (44%).

Going it Alone

For those who admit to financial insolvency but say they have not sought the help of a professional to deal with their debt situation, many (35%) say they haven't done so because they believe they can figure out their debt situation on their own. Another one in three (33%) have avoided seeking professional help because they don't think their debt situation is bad enough yet. Other reasons why self-declared financially insolvent Canadians aren't seeking professional help include a perceived lack of affordability and embarrassment...

• One in four (25%) say they can't afford to pay someone to help them;
• One in ten (13%) are embarrassed about their financial situation; and
• One in ten (10%) say they are embarrassed to ask for help
• 10% just don't trust financial services to act in their best interest;
• 9% don't think anybody can help them;
• 8% don't know where to turn for help;
• 8% haven't gotten around to it yet;
• 4% say bankruptcy is inevitable to them;
• 19% have some other reason for not reaching out to a professional.

For more information on this news release, please contact:

Sean Simpson
Vice President
(416) 324-2002
Ipsos Public Affairs
[email protected]

About Ipsos

Ipsos ranks third in the global research industry. With a strong presence in 87 countries, Ipsos employs more than 16,000 people and has the ability to conduct research programs in more than 100 countries. Founded in France in 1975, Ipsos is controlled and managed by research professionals. They have built a solid Group around a multi-specialist positioning-- Media and advertising research; Marketing research; Client and employee relationship management; Opinion & social research; Mobile, Online, Offline data collection and delivery. Ipsos has been listed on the Paris Stock Exchange since 1999. www.ipsos.com