Official data reveals a profile of a typical Canadian debtor
By a clear margin, last year was a watershed year for personal insolvencies in Canada, as filings to the Office of the Superintendent of Bankruptcy (OSB) surged to 137,295, an 11.4% jump over 2023.
The OSB has published its Canadian Consumer Debtor Profile for 2024 which reveals that the largest share of insolvency filings last year was concentrated among people aged 35–49, representing 37.8% of all consumer cases and up slightly from 37.5% a year earlier. The 18–34 bracket accounted for 26.2%, while those 50–64 made up 25.0%, and seniors (65+) about 11.0%.
The median value of debtors’ assets was $15,142 including vehicles and furniture, while liabilities were $53,997 including 89% who had credit card debt (median $13,359) and 57% who had personal loans (median $20,000). There was roughly an even split between men and women and the median age was 46. Loss of income and medical reasons were the most common reasons for financial difficulty.
Regionally, most provinces and territories saw year-over-year increases in consumer insolvencies, but the biggest absolute spikes were recorded in Ontario and Quebec (rising 17.8% and 12.1% respectively) while other areas such as Prince Edward Island and the Northwest Territories also reported notable increases of 11.4% and 9.8%.
The surge in insolvency comes against a backdrop of economic headwinds including elevated inflation, and bond yields and borrowing costs, though falling, remaining above pre-pandemic levels. According to OSB data, total insolvencies under the Bankruptcy and Insolvency Act (BIA) rose by 12.1% across all categories in 2024.
The OSB recently teamed up with the Canadian Association of Insolvency and Restructuring Professionals (CAIRP) to highlight the importance of seeking professional help early, rather than wait until the situation is desperate.
“Many Canadians hesitate to seek financial help because of stress or stigma, but you’re not alone,” says Elisabeth Lang, Superintendent of Bankruptcy. “The sooner you explore your options, the stronger your financial future can be. The Office of the Superintendent of Bankruptcy offers trusted information to help you take control and choose the best path forward.”
