Once you're financially back on track, a good habit to get into is to 'pay yourself' every payday. Simply, it is taking 5% or 10% (if you can save more, that's a bonus) of your paycheque and setting it aside in a separate bank account. Or put it towards paying off a GIC loan, like above (if you get a demand loan for the GIC, that's the best, because you can pay off as much as possible as often as possible). The idea is to establish some financial discipline. You want to do things and achieve success - well, you need money. Saving 5% or 10% is not as big a sacrifice as you might think; after a while and a bit of adjustment you won't even notice it.

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Seniors Debt Concerns

A shocking finding of a recent (May 2009) study by the Certified General Accountants Association of Canada is that the number of retired Canadians with increasing debt went up at a faster pace than among non-retirees. In a paper entitled Where Has the Money Gone: The State of Canadian Household Debt in a Stumbling Economy, CGA-Canada has identified the retired as one of Canada’s socio-economic groups most vulnerable to increased debt. It goes on to state that retirees are as susceptible to higher debt loads as are the three traditional high-risk groups: low-income households, households with children, and young adults.

In 2008 it was found that 36% of retirees were experiencing an increased indebtedness, a sharp increase from the 28% who reported rising debt in 2007.

Many seniors are experiencing a reduced standard of living and/or postponement of retirement plans because:

their investments have suffered substantial losses;
their pensions may be frozen or even reduced due to pension fund losses;
their savings are earning record low interest;
they have only fixed incomes, with no capacity to earn more money;
the kids, suffering job loss or marital failure, are moving back in;
there is a wish to financially help the kids and grand kids.

Seniors Debt Articles

Seniors, Retirees and Their Magically Diminishing Incomes

Debt Resources for Seniors

Federal/Provincial Debt Resources for Seniors CLICK HERE

General Information 800 Numbers included where applicable, sorted by categories.