Debt Free In 30

For many people, a car is a necessary expense to get to work and run errands. But what if you unintentionally bought too much car and your car loan is now creating financial problems? What are your options? Is it possible to get out of a car loan? On today’s podcast, Ted Michalos and Doug Hoyes discuss when you might want to hand your vehicle back, how to do it, and what happens with the loan shortfall. Tune in for lots of practical advice! Related link: Voluntary Surrender: Should I Hand My Vehicle Back? https://www.hoyes.com/blog/voluntary-surrender-should-i-hand-my-vehicle-back/ Time Stamps:   2:38 What is negative equity 10:32 Budgeting for car expenses 15:30 When should you give your car back 16:58 How to give your car back

The Hoyes Michalos 2020 Bankruptcy Study revealed that for the first time in four years insolvencies shifted back to an older demographic. The share of insolvencies among those 50 and older increased from 28% in 2019 to over 30% post-lockdown, while the share among younger generations declined. How did this happen? On today’s podcast, Ted Michalos and Doug Hoyes discuss how the pandemic changed insolvency trends, including who is filing bankruptcy, and what the numbers might mean to you. Tune in! Related Link: Hoyes Michalos 2020 Bankruptcy Study: https://www.hoyes.com/press/joe-debtor/

One of the simplest ways to increase your credit score is to lower your credit utilization. But how do you do that? And what utilization percentage is optimal?  On today’s podcast, Certified Credit Counsellor Diane Cunha is back to share practical advice for how to maintain a good utilization rate for healthy credit. Diane also discusses common credit utilization misconceptions and the risks of having too much available credit. Tune in to the show!   Helpful Links:   What is Credit Utilization: https://www.youtube.com/watch?v=hW8lcbGwyq8 Rules to Master Your Credit with Richard Moxley: https://www.youtube.com/watch?v=jP6etPo_CQc Fix Bad Credit Yourself – Tips & Tricks: https://youtu.be/BtncJCxN4So Straight Talk on Your Money Book: https://www.amazon.ca/Straight-Talk-Your-Money-Financial/dp/1988344034  

ohn Pasalis, President of Realosophy Realty, makes his first appearance on the podcast, and he tells us that, even though unemployment is high and we are in a lockdown, the real estate market is “on fire”.  Why?  Is government policy deliberately inflating house prices?  When will this boom end?  Is now a good time to buy?  Or rent?  All that and more. Enjoy!   Time Stamps:   2:05  What’s happening in the real estate market? 3:55  How is it possible that the economy is in lockdown, unemployment is high, and real estate prices are “on fire”? 6:15 More people are working from home, so we understand why single family homes are going up in value, but why are downtown condos also holding their value when everyone has abandoned the city? 9:00 Is this boom different that the 2016/2017 boom? 11:30 Do governments care that real estate prices are going up?  Will they do anything to cool the market? 16:45 Are we approaching buyer fatigue? 17:45 Should I buy a house now? 20:40 How some purchasers in 2017 lost their entir

Managing a business is difficult, and the pandemic has made things much worse for Canadian small business owners. If you’re a small business owner facing debt problems, what are your options? On today’s podcast Ted Michalos is back to explain what you can do if you have both business debts and debts you’ve personally guaranteed for your business; strategies if your business was doing fine before the lockdown but is now struggling, and what to do if your business will be viable again after the lockdown. Ted and Doug also discuss your options if you can’t repay the CEBA (Canada Emergency Business Account) loan. Enjoy! Time Stamps: 3:27 Why government support hasn’t been enough. 6:00 What's happening with business bankruptcies? 8:50 Sole Proprietorship vs. Corporation: What's the difference? 9:52 When do business debts become personal debts? 11:20 What to do if business is struggling due to COVID-19. 15:07 What to do if your business isn’t viable at all. How do you close it? 20:25 Dealing with secured creditors.

Housing activity in Ontario has been nothing short of crazy. In the middle of a global pandemic, we’re seeing multiple offers on homes and rising real estate prices. Why? And is it a good time to refinance if you have debt? Enter Ron Butler – noted mortgage expert. On today’s podcast, Ron explains what’s going on with mortgages, the impact of low-interest rates, and whether house prices will keep climbing. Ron and Doug also discuss debt consolidation with home equity risks and what you should consider before refinancing. Tune in to this lively discussion! Related Links: Ron Butler’s appearance on show 293: https://youtu.be/VDSd6z5EJzA Butler Mortgages Website: https://www.butlermortgage.ca/ Ron Butler on Twitter (@ronmortgageguy): https://twitter.com/ronmortgageguy     Time Stamps: 1:54 – Going to the bank vs mortgage broker 5:50 – What’s going on with mortgages in this crazy market? 7:00 – Low interest rates are a fuel to buy sooner 8:14 – Can we expect another mortgage deferral? 10:30 – Should we be thinkin

As we enter 2021, some interesting trends are emerging: Canadian household savings rate is still high, yet so is our debt-to-income ratio; residential mortgages are also on a sharp rise. How do we explain this? Ben Rabidoux returns to share his insights on what’s really happening with debt, savings, and where he sees the real estate market heading. Ben also talks about the possibility of an inflationary environment in Canada as a result of the pandemic. You won’t want to miss this discussion, so tune in!   Related Links:   Ep. 292 Debt, Frozen Real Estate, Cancelled HELOCs, & Guaranteed Recession: https://www.youtube.com/watch?v=fek4xUoIkrc Ben Rabidoux on Twitter: https://twitter.com/BenRabidoux North Cove Advisors’ Website: https://northcove.net/ Statistics Canada Labour Force Survey: https://www150.statcan.gc.ca/n1/daily-quotidien/210108/dq210108a-eng.htm Household Saving Rate: https://www150.statcan.gc.ca/t1/tbl1/en/tv.action?pid=3610011201 Statistics Canada Permanent Residents Data: https://open.ca

Budgeting is difficult, but you need to keep track of your money.  So how do you budget if you don't like budgeting? On today’s podcast, guest Julie Wildman, LIT, shares practical advice on how to match your expenses to your income, without the need to spend a lot of time tracking every dollar you spend. Julie and Doug Hoyes also discuss how to be ready for unexpected expenses and how to adapt debt payments to your pay cycle too. Tune in for lots of great advice! More information: The Secret to Budgeting: Pay Your Bills as You Get Paid https://www.hoyes.com/blog/the-secret-to-budgeting/

Car loans are one of the most common entry points into debt problems. That’s because if you’re not careful, you will easily spend more than you can really afford on a vehicle. While it’s hard to avoid borrowing for a car altogether, there are steps you can take to protect your financial health. On today’s show, guest Scott Terrio explains when a car loan becomes bad debt by sharing auto loan pitfalls, the dangers of loan rollovers, and budgeting considerations before buying a car. He also explains why you should think twice before borrowing against your car to consolidate debt. Tune in for lots of practical advice!   Related Links:   How Car Loans and Car Loan Rollovers Lead to Insolvency: https://www.hoyes.com/blog/how-can-car-loans-lead-to-insolvency/ Buying and Maintaining an Affordable Car: https://www.hoyes.com/blog/buying-and-maintaining-an-affordable-car/ Should You Consolidate or Pay Bills with a Car Title Loan: https://www.hoyes.com/blog/should-you-consolidate-or-pay-bills-with-a-car-title-loan/ S

The unemployment rate dramatically increased, debt levels continue to grow, and yet the personal insolvency rate in Canada dropped to 20-year lows when the COVID-19 lockdowns started in the spring.  How long will insolvency rates remain low? Doug Hoyes and Ted Michalos review the unprecedented events of 2020, and offer their predictions on what will happen with debt and bankruptcy and consumer proposal filings in 2021, in one of our most anticipated podcasts of the year.  Enjoy! Full details of everything discussed: https://www.hoyes.com/blog/how-covid-19-affected-household-debt-in-2020/   Time Stamps 0:20 A review of Doug and Ted's predictions for 2020 2:12 With high debt and high unemployment, why insolvencies didn't skyrocket 2:50 The personal savings rate hit an all-time high; why? 3:48 The impact of CERB on household income 4:49 The problem with statistics 5:32 COVID-19 impact on high, middle and low income earners 9:00 An example of a middle income earner most impacted by the lock down 10:40 The impact

The first step in rebuilding credit is figuring out what’s causing your bad credit in the first place? Too much debt? A recent bankruptcy filing? Depending on the reason, there will be different ways to approach the rebuilding process. On today’s podcast, our guest is credit expert Richard Moxley, who walks us through the importance of having good credit, causes of bad credit, common misconceptions, and steps to rebuilding credit on your own. Tune in to the show for lots of practical advice! More information: Richard Moxley’s Website: https://creditgame.net/ Rules to Master Your Credit Podcast 284: https://www.youtube.com/watch?v=jP6etPo_CQc The First Step to Rebuilding Credit is No More Debt: https://www.hoyes.com/blog/the-first-step-to-credit-rebuilding-is-no-more-debt/   Time Stamps: 1:46: Why Does Good Credit Matter? 4:28: What Causes Bad Credit? 6:53: How Do You Know If You Have Bad Credit? 11:02: What are the Barriers to Rebuilding Credit? 12:13: What Are The Steps to Rebuilding Credit?

Nearly 9 million Canadians applied for CERB in 2020 to deal with the financial effects of COVID-19. To distribute the benefit quickly, the Canadian government conducted very little eligibility verification up-front. Many people believed they were eligible to get CERB but are now discovering that that was not the case. So, what happens if you received CERB but were not eligible? Will you be audited by the Canada Revenue Agency? And if you are audited, how do you prove you were eligible? Enter Jason Rosen. Jason is an experienced tax lawyer and co-founder of Rosen Kirshen (RK) Tax Law. On today’s podcast Jason shares his thoughts on how the CRA might treat ineligible receipt of CERB and CEWS for employers. He provides practical advice for how Canadians can prepare themselves in the event of a tax audit and explains what may happen to those who applied to CERB knowing they were not entitled to receive it. Tune in to the show for lots of guidance on this pressing issue. Relevant Links: Rosen Kirshen Tax Law Websi

Fintech has come up with a new way for making purchases online with Buy Now Pay Later apps. But is ‘buy now, pay later’ just another form of debt? Do these new apps actually help your budget or fast track financial problems? On today’s podcast, we have first-time guest and Hoyes Michalos LIT Jennifer Kwon who walks us through how these apps work, how they benefit from people using them, and she simplifies the terms and conditions so you know what you’re signing up for. And Doug Hoyes does the math to show much you’d really pay in interest if you fall behind on payments. Jennifer and Doug also share practical advice for how to use these apps safely to avoid financial trouble. Tune in to this episode for lots of great insight.   Resources Mentioned in the Show: Leon’s Financing: https://www.leons.ca/pages/visa-desjardins-financing Coupon Follow’s Millennial Shopping Report: https://couponfollow.com/research/millennial-shopping-report Afterpay App: https://www.afterpay.com/en-ca/index Afterpay’s Annual Report: h

Some loans feel like you’ve been paying them forever without an end in sight. In other cases, you may even be surprised to see your loan balances grow instead of shrink with regular payments. On today’s podcast, Doug Hoyes and Ted Michalos define important terms for understanding how loans work, how to spot an expensive loan, and the risks you face with longer term loans. They also teach you how to avoid borrowing more than you can afford and provide practical advice for what to ask your lender while you’re in the borrowing process. Helpful resources: Term vs Amortization Explainer: https://www.youtube.com/watch?v=gaMt1zW7ViA How Does Compound Interest Work: https://www.youtube.com/watch?v=mO5lhuXhWFk Debt Servicing Costs: https://www.youtube.com/watch?v=qoV5LD0eMk4 What is a Line of Credit: https://www.youtube.com/watch?v=yFR9Cag40OU How Car Loans and Loan Rollovers Lead to Insolvency: https://www.hoyes.com/blog/how-can-car-loans-lead-to-insolvency/ Why Payday Loans Won’t Go Away: https://www.hoyes.com/blog/

An unprecedented number of Canadians went from being office employees to working from home during this pandemic. Many also took on home office costs in 2020. So, what does this mean for our 2020 income tax filing? Which expenses will we be able to deduct and which ones will we not? On today’s podcast, Ian Martin, CPA and Licensed Insolvency Trustee, shares his thoughts on how the CRA may approach expenses like office supplies, masks, furniture, internet and rent next year. Ian also gives us his honest opinion on how the CRA should approach tax audits of individuals. Tune in to this meaningful discussion with lots of practical tips! Additional Resources: 10 Tips for Dealing with CRA and Tax Debts: https://www.youtube.com/watch?v=Pp7rVK02OVI T2200 Declaration of Conditions of Employment: https://www.canada.ca/en/revenue-agency/services/forms-publications/forms/t2200.html T777 Statement of Employment Expenses: https://www.canada.ca/en/revenue-agency/services/forms-publications/forms/t777.html

Every January, we meet with clients who tell us they spent way too much during the holiday season. But given the current pandemic, income problems, and gathering restrictions, will 2020 finally be the year when Canadians spend less? On today's podcast, Diane Cunha and Doug Hoyes discuss what generally drives people to spend so much over the holidays and why this year might be different. They share practical advice for how to cope with COVID fatigue and resist the temptation to over-buy. Diane also answers spending questions from our newsletter readers. Lots of great tips in this show so be sure to tune in! Related Links: Deloitte 2020 Holiday Retail Survey: https://www2.deloitte.com/us/en/insights/industry/retail-distribution/holiday-retail-sales-consumer-survey.html Straight Talk on Your Money by Doug Hoyes: https://www.amazon.ca/Straight-Talk-Your-Money-Financial/dp/1988344034 Podcast 322: How to Build an Emergency Fund if You Have Debt: https://www.youtube.com/watch?v=YxyO8in9Swg​ Sign up for the Debt Free

It's the 10th annual financial literacy month sponsored by the federal government. Are we more financially literate than we were 10 years ago?  Our debt levels keep increasing, so it doesn’t appear so.  Is it possible to learn money management skills, or do you have to be born with it, like athletic ability. On today’s short podcast Doug Hoyes explains why he believes you can learn to manage your money, and he gives four lessons on how to do it.   #FLM2020   Time Stamps: 7:28 – Lesson 1 – What do you want? 9:47 – Lesson 2 – Do it the easy way 11:11 – Lesson 3 – Understand the Other Guy 14:54 – Lesson 4 – Ask Questions   Related Links: Government of Canada Financial Literacy Month website: https://www.canada.ca/en/financial-consumer-agency/campaigns/financial-literacy-month.html Government of Canada, have a plan to pay off your debt: https://www.canada.ca/en/financial-consumer-agency/campaigns/it-pays-to-know.html Government of Canada, de-emphasizing the most powerful debt relief options: https://www.canada

Every financial guru says you need an emergency fund. But if you also have debt, is it possible to balance saving and paying down high-interest credit cards or lines of credit? What are the steps to get started? On today’s podcast, Diane Cunha, Certified Credit Counsellor at Hoyes Michalos discusses the different types of emergency funds, teaches us how to set aside cash even if we have debt, and gives tips on where to store our savings so they are easily accessible. Tune in to the show for lots of practical advice! Related Links: Credit and Debt Decisions That Can Backfire Podcast 288: https://www.youtube.com/watch?v=0mHPf8CLhs0 What To Know About Credit Cards So You Use Credit Wisely Podcast 235: https://www.youtube.com/watch?v=u-bMxcdl55A Emergency Fund or Credit Card Debt? What's the Better Choice? https://www.hoyes.com/blog/emergency-fund-or-credit-card-debt-whats-the-better-choice/ Why You Need an Emergency Fund: https://www.hoyes.com/blog/why-you-need-an-emergency-fund/

Description: Amid economic uncertainty, side hustles have become a popular way to earn extra income. But while many side hustles are good, some are risky and can lead to serious debt problems.​ On today's podcast, guest and Hoyes Michalos LIT Julie Wildman discusses the risks of multi-level marketing ventures (or MLMs). While an MLM can seem like a great opportunity to "be your own boss" and work from home, it often comes with significant upfront costs that are rarely recovered. Julie walks us through how MLMs work, their success rates, and who is often targeted in MLM schemes. She also shares practical advice for how to ensure that if you do go into the business of selling products, you avoid taking on a massive debt burden. Tune in! Related links: AARP Study of Multilevel Marketing, 2018: https://www.aarp.org/content/dam/aarp/aarp_foundation/2018/pdf/AARP%20Foundation%20MLM%20Research%20Study%20Report%2010.8.18.pdf

As of August 31st, 778,000 Canadians with a mortgage at Canada’s big banks deferred or skipped a payment on their mortgage. The deferral periods for many mortgages and other credit loans and products have now come to an end. What does this mean for your debt? On today’s podcast, Ted Michalos and Doug Hoyes review different credit products (mortgages, credit cards, lines of credit, auto loans) and discuss what may happen to your balances and debt carrying costs now that the deferral periods are over. They also share practical advice for how to negotiate with your creditors and steps you can take if you don’t have the cash to start making your debt payments again. Tune in to this very timely and helpful episode! Helpful Links: Dealing with the Consequences of Loan Deferrals When the Deferral Period Ends: https://www.hoyes.com/blog/dealing-with-the-consequences-of-loan-deferrals-when-the-deferral-period-ends/ What To Do If You Can’t Pay Deferred Mortgage Payments: https://www.hoyes.com/blog/what-to-do-if-you-c