Trusted Professionals to Help You Make the Right Financial Decisions.

At Smythe Insolvency, we understand that dealing with mounting debt can be overwhelming. The latest data from the FCAC show that while many Canadians try to cope with financial stress on their own, the sources of advice they turn to can dramatically affect their options and outcome.

If you’re facing the difficult question of whether to file for a bankruptcy or a consumer proposal, it’s more important than ever to turn to a licensed professional who specializes in insolvency—not just friends, family, or informal “quick fix” solutions.

What the Data Tells Us

According to the 2024 Canadian Financial Capability Survey (CFCS):

• About 76% of Canadians reported they received advice about their finances this year—down from 87% in 2019.
• Those earning less (e.g., $40,000 or less) were less likely to access advice from professional advisors or financial-organizations than higher‐income households.
• Younger Canadians (aged 18-34) are more likely to turn to friends or family for financial advice (57% for that group) than they are to turn to professional advisors (20%).

What this means for you:

• Hearing conflicting advice from well-meaning people around you is normal—but those sources may not be well-versed in the rules around insolvency (bankruptcy or consumer proposals).
• Getting professional guidance early can help you understand all your options, not just filing bankruptcy as the only route.
• Being proactive and informed improves your chances of finding the option that fits your situation—so you don’t feel forced into a decision you regret.

Why Working with a Licensed Professional Matters

At Smythe Insolvency, we emphasize the importance of always working with a federally licensed professional for any financial advice—especially when exploring insolvency options—for the following reasons:

1. Regulation & Expertise
   Licensed Insolvency Trustees (LITs) are the only federally regulated professionals in Canada who can legally help you file a consumer proposal or bankruptcy. Under the Bankruptcy and Insolvency Act (BIA), they’re authorized to review your financial situation, explain your debt-relief options, and guide you through every step of the process.
   
   When you work with a Licensed Insolvency Trustee, you’re getting help from someone who is accountable, regulated, and highly trained in insolvency—not an unlicensed “debt consultant.” LITs are required by law to put your best interests first and provide honest, transparent advice about your financial options.
   
   
2. Options Beyond Bankruptcy
   Bankruptcy isn’t your only option. A Licensed Insolvency Trustee will explain all available debt-relief solutions, including consumer proposals—a legally binding agreement that allows you to settle your debts for less than you owe, while keeping your assets.
   
   Your trustee will help you understand the pros and cons of each choice, including how they affect your credit rating, assets, and financial future. Their role is to ensure you make an informed decision that fits your unique circumstances.
   
   
3. Peace of Mind
   Dealing with overwhelming debt can be stressful—but you don’t have to go through it alone. At Smythe Insolvency, our Licensed Insolvency Trustees provide trusted, compassionate guidance to help you take control of your finances.
   
   Whether you’re exploring a consumer proposal, bankruptcy, or another debt-relief option, we’ll help you understand your rights, protect your assets, and find the path to a fresh financial start.
   
   
4. Protection & Clarity
   Working with a Licensed Insolvency Trustee in Canada means you’re protected under federal law. You’ll receive clear, factual information about:
   
   • What happens to your property
   • What creditors can and can’t do
   • What costs and timelines are involved

This transparency helps you avoid costly mistakes or misinformation from unregulated “debt consultants” or well-meaning friends. LITs follow strict professional and ethical standards, so you can move forward with confidence.

If you’re struggling with debt and unsure where to turn, contact Smythe Insolvency for a free, confidential consultation with a Licensed Insolvency Trustee. Get honest advice, clear options, and a plan to move forward—so you can start rebuilding your financial confidence today.