Nearly half of Atlantic Canadians admit they need help to get out of debt, but embarrassment keeps many of them from asking for help to avoid bankruptcy, according to a consulting firm. MNP Ltd., an insolvency practice, says a new survey conducted by Ipsos found 43 per cent of Atlantic Canadians acknowledge they need help to get out of debt, but 42 per cent would be embarrassed to get financial help, even if their situation was bad enough to consider bankruptcy. “Stigma continues to pose significant barriers to seeking debt relief,” an MNP news release says. The survey notes 78 per cent of Atlantic Canadians agree there is no shame in looking for assistance with debt, but 30 per cent say the stigma of bankruptcy keeps them from asking for help. “Unfortunately, the bad debt is going to be there for a long time because we are a consumptive society, we are the biggest consumers in the world in North America,” says Doug Wright, a financial planner. “The older demographic is in debt more than they have ever been, so part of the problem is that is there are issues and problems like marital breakdowns, interrelationship breakdowns, recently higher interest rates, and people that are having their retirement savings disrupted perhaps. These are all contributing factors to higher debt.” One-third of Atlantic Canadians are afraid pursuing debt relief could cause them to lose their homes while 45 per cent are worried about the impact bankruptcy would have on their credit score. Forty-two per cent of Atlantic Canadians believe they will never be debt free. With files from CTV Atlantic’s Emma Convey
