Canadians are reeling from debt, data shows, as consumer insolvencies have reached their highest level since the start of 2009.
Consumer insolvencies — a measure that indicates how many Canadians filed for relief under the Bankruptcy and Insolvency Act — reached record highs in the first three months of 2026, according to data from the Office of the Superintendent of Bankruptcy.
In January, February and March, 37,121 Canadians filed for insolvencies — amounting to 17 Canadians filing for insolvencies every hour this year, according to the Canadian Association of Insolvency and Restructuring Professionals (CAIRP).
This is the highest volume of Canadians filing for insolvencies since the first quarter of 2009, CAIRP said, when the Canadian economy was reeling from the aftershocks of the Great Recession of 2008.
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Compared to the same period in 2025, consumer insolvencies were up 8.5 per cent, while they were up 6.5 per cent compared to the last three months of 2025.
Between January and March, 1,232 businesses in Canada filed for insolvency. While this was down 7.5 per cent compared to the same period in 2025, it was up 9.8 per cent compared to the last three months of 2025.
This comes after a recent TransUnion report showed that Canadians took on more mortgage debt last year, with the total household debt reaching $2.6 trillion across all credit products in the last quarter of 2025.
During the same period, the mortgage delinquency rate in Canada reached 0.24 per cent, according to the CMHC, the highest level since the end of 2021.
“The latest consumer insolvency data suggests more Canadians are reaching a financial breaking point,” says Wesley Cowan, licensed insolvency trustee and vice chair of the Canadian Association of Insolvency and Restructuring Professionals.
“The concern is that many households are entering this next period of economic uncertainty already carrying debt they can no longer comfortably manage,” Cowan added.
Canadians who have already been financially stressed from debt are getting pushed into a crisis after a “tipping point,” Cowan said.
“A job disruption, missed payment, rent increase, relationship breakdown, or unexpected expense can be enough to push someone past the point where they can recover on their own,” he said.
Yeah it’s the Liberal way the bank is you’re new slave Master you’re beholden to them and will comply
Trudeau and Carney for 10 years on EVs. Solar Cells, and Windmills. They also kicked the mining, forestry, and Oil industry in the teeth. Bad government policy hurts Canadians
Elbows Up! Just keep voting in a government with a proven track record of massive ethical and monetary violations. They’re definetly not only catering to their own personal gain and are definetly doing the best thing for Canadians.
Sean is an Elbows Up supporter and rode the small yellow school bus when young.
@Sean. Trudeau undermined Canadas economy for a decade. Hence why Carney is flip flopping on basically every policy from the Trudeau era. lol Should we give you crayons to connect the dots.
Ignorance and rage aren’t positions people. And you wouldn’t be able to identify the dots let alone connect them.
We can thank Trudeau and Carney for the dismal economy of Canada. Honda recently cancelled an EV plant in Aliston that both Ford and Trudeau bet billions on.
This is what happens when people vote for Federal Liberals over and over …..
What happened to “Sunny Ways” under Justin Tru-Doh?
All by design. Thank a boomer and all corrupt liberals
“More Canadians are reaching the financial breaking point…”
But Carney expects us to make even more sacrifices.
Elbows up!
Carney told us that we have never had it so good. What a weaner !!!
@Sean. It seems you can’t connect the dots lol
V. Adams doesn’t know what she is talking about. She was given a mantra and never questioned what it meant.
We can thank Carney and Trudeau for this. Total incompetence and dereliction of duty.
And yet we see more and more newer and more expensive vehicles.