Many Nova Scotians say they’re not pulling in enough money to pay their bills.
Insolvency firm MNP released its Consumer Debt Index on Monday. The poll was conducted by Ipsos between March 9th and 15th.
The survey has found Nova Scotians are the most concerned in the country when it comes to covering their debts.
Sixty percent say they’re just $200 or less away from not being able to pay their monthly bills. This includes 33 percent who report they already don’t make enough to cover their costs.
“Many households are likely to take on more debt to keep pace with the costs of their daily expenses,” says MNP’s Tina Powell in a news release. “But as interest rates continue to rise so will the cost of servicing some of those debts, which could make it a struggle pay them down.”
Six in 10 say they’re already feeling the pinch of recent interest rate increases.
Four in 10 worry those increases could drive them closer to bankruptcy.
“Many people were forced to drain their rainy-day savings funds over the past two years,” explains Powell. “We’re already seeing household budgets stretched to the max. It may soon become impossible for many people to cover their monthly expenses — especially those who are already living in the red.”
Falling further into debt is a concern expressed by 53 percent of the Nova Scotians surveyed.
“My advice to anyone struggling is don’t be too tough on yourself; take the first step and seek professional debt advice right away, ”Powell says.
Two thousand Canadians were surveyed, about one week after the Bank of Canada raised its main policy rate for the first time since 2018 in a bid to curb inflation.
It went up again on April 13th from 0.5 percent to one percent.
