In 2007 there were 10,778 people who filed personal bankruptcy in Toronto. An additional 5,523 people filed a consumer proposal in Toronto in 2007. That’s a total of 16,301 residents of Toronto that filed in 2007, an increase of 8% from 2006.
Interestingly, bankruptcies increased by 3%, but consumer proposals increased by 20%, indicating that an increasing number of Toronto residents are taking advantage of this bankruptcy alternative.
A closer look at the numbers reveals that the bankruptcy rates are different in different parts of the GTA. For example, bankruptcies and proposals increased by almost 7% in Mississauga, by 5.3% in Scarborough, by 4.6% in Etobicoke, by 4.2% in North York, and by 3.4% in Brampton, but actually fell by 5.4% in Vaughan, and fell by 1% in downtown Toronto.
Toronto’s unemployment rate increased from 6.6% in 2006 to 6.8% in 2007 although this was largely due to increased participation in the job market.
Total employment increased 2.3% in the GTA, a strong growth rate for Ontario. The majority of the increase came in the service sector which was up 3.5% (mainly professional, scientific and technical services, educational services and health care). Toronto did experience a decline of 4.4% in manufacturing jobs (-18,600) and this may have accounted for some of the increase in consumer filings.
Of course bankruptcy statistics only tell part of the story. These number represent real people with real financial problems.
We won’t treat you like a number. We will meet with you personally and review all of your options, so that you can make an informed decision, so, call our Toronto team at 310-PLAN (310-7526, no area code required) or E-mail us to arrange a free initial consultation. There is life after debt, so contact us today.