Debt Relief Experts
Ontarians continue to carry record levels of personal debt, and for many residents, a consumer proposal or a personal bankruptcy becomes the only way out of financial trouble.
This page is updated monthly as the Office of the Superintendent of Ontario releases data.
Updated for September 2024.
2024 Consumer Insolvency Filings
Consumer insolvency trends in September 2024 continue to highlight significant financial stress, particularly in Ontario, where insolvency volumes grew by 18.4% compared to the previous year. This marked acceleration outpaced the national increase of 8.8%, with Ontario recording the strongest growth among all major provinces by a wide margin.
The composition of current consumer insolvencies reveals deepening financial challenges. In Ontario, both consumer proposals and bankruptcies showed substantial growth, rising by 18.7% and 16.6%, respectively. Across Canada, proposals increased by 9.2% and bankruptcies by 6.9%.
The broader economic context remains concerning. Credit card reliance continues to grow, with August 2024 balances climbing 8.3% compared to a year ago, according to Statistics Canada. This increasing dependence on credit cards often serves as a leading indicator of future insolvency trends as households struggle to manage day-to-day expenses.
A notable shift in September was a decrease in homeowner insolvencies as a share of total filings. This trend may reflect a “wait-and-see” approach among struggling homeowners, who might be holding out as interest rates show signs of easing. Homeowners may once again try turning to debt consolidation loans rather than formal insolvency proceedings to deal with underlying financial stress.
While recent interest rate moderation offers some relief, it may prove insufficient to counteract the cumulative impact of sustained inflation and elevated borrowing costs on household finances. The combination of high consumer debt levels and persistent cost-of-living pressures suggests that insolvency volumes will continue to grow in the coming months.
Year-to-date, Ontario consumer insolvencies are up 19.3%, while total Canadian volumes increased by 13.3%.
Proposal share was 82.7% of all insolvencies in Ontario and 79.5% across Canada.
Our Hoyes Michalos Homeowners Bankruptcy Index dipped to 3.7% in October 2024. Year-to-date, our index is 5.0%, up from 4.2% for 2023.
Ontario Consumer Insolvency Statistics by Region 2023
Ontario insolvencies ended the year up 26.2%, while Canadian consumer insolvencies grew by 23.0%.
In total, 43,831 Ontarians across Ontario filed for insolvency in 2023. Personal bankruptcies increased by 12.6%, while consumer proposals grew by 29.7%. The trend toward more insolvent debtors choosing a consumer proposal over personal bankruptcy continued, driving the share of proposals to total insolvencies to 82%, up from 79% in 2022. In comparison, 79% of Canada-wide insolvencies are consumer proposals, up from 75% the year before.
To understand how the profile of the average consumer insolvency changed, read our annual Joe Debtor Bankruptcy Study.
Below is a summary of insolvencies by geographic region as summarized by Hoyes Michalos based on insolvency statistics by FSA provided by the Office of the Superintendent of Bankruptcy (OSB). Regional FSA allocations may differ slightly from annual economic region data provided by the OSB as the regional data summarized by Hoyes Michalos provides additional location details than is available by economic region.
REGION* |
Consumer Insolvencies | Total Growth | Growth Bankruptcy | Growth Proposal | % Proposals |
| Canada | 123,233 | 23.0% | 6.6% | 28.3% | 79% |
| Ontario | 43,831 | 26.2% | 12.6% | 29.7% | 82% |
REGION* |
|||||
| Barrie Region | 1,867 | 20% | 15% | 21% | 83% |
| Belleville Region | 921 | 30% | 13% | 35% | 80% |
| Brampton | 1,994 | 27% | 30% | 26% | 85% |
| Brantford Region | 861 | 35% | 7% | 40% | 87% |
| Brockville Region | 306 | 12% | 5% | 14% | 73% |
| Cambridge | 497 | 19% | 35% | 16% | 83% |
| Chatham Region | 515 | 38% | 5% | 49% | 80% |
| City of Toronto | 2,703 | 21% | 27% | 20% | 82% |
| Cornwall Region | 400 | 20% | -22% | 41% | 79% |
| Essex-Leamington Region | 299 | 35% | 59% | 30% | 79% |
| Etobicoke | 1,327 | 21% | 18% | 21% | 84% |
| Guelph | 433 | 19% | 24% | 18% | 82% |
| Hamilton Region | 2,145 | 25% | 20% | 26% | 81% |
| Huron Region | 522 | 28% | 2% | 40% | 76% |
| Kingston Region | 595 | 12% | 1% | 16% | 74% |
| KW-Wellington Region | 1,326 | 21% | 6% | 25% | 84% |
| London Region | 2,405 | 27% | 11% | 32% | 81% |
| Markham | 660 | 39% | 3% | 47% | 86% |
| Mississauga | 2,021 | 25% | 8% | 29% | 84% |
| Newmarket & Area | 849 | 39% | 7% | 47% | 85% |
| Niagara Region | 1,632 | 34% | 19% | 40% | 78% |
| North Bay Region | 446 | 29% | 30% | 29% | 77% |
| North York | 3,128 | 30% | 11% | 34% | 86% |
| Burlington-Oakville Region | 1,150 | 28% | 15% | 31% | 82% |
| Orangeville & Area | 332 | 31% | 4% | 37% | 86% |
| Oshawa-Bowmanville Region | 1,642 | 40% | 22% | 45% | 84% |
| Ottawa Region | 3,119 | 21% | 2% | 28% | 78% |
| Parry Sound-Huntsville Region | 286 | 15% | 26% | 13% | 79% |
| Pembroke Region | 272 | 30% | -13% | 48% | 79% |
| Peterborough Region | 768 | 17% | 23% | 16% | 78% |
| Pickering | 662 | 31% | 24% | 32% | 87% |
| Richmond Hill | 452 | 26% | 7% | 31% | 83% |
| Sarnia Region | 388 | 9% | 6% | 10% | 71% |
| Sault Ste. Marie Region | 449 | 33% | 25% | 37% | 67% |
| Scarborough | 2,235 | 29% | 6% | 34% | 85% |
| Stratford Region | 177 | 40% | 39% | 41% | 76% |
| Sudbury Region | 942 | 16% | -11% | 26% | 79% |
| Thunder Bay Region | 612 | 24% | -4% | 36% | 77% |
| Timmins Region | 503 | 6% | -20% | 12% | 84% |
| Vaughan | 450 | 25% | 37% | 23% | 82% |
| Windsor Region | 1,148 | 23% | 46% | 17% | 77% |
| Woodstock Region | 367 | 9% | -12% | 15% | 82% |
| *Region includes surrounding rural areas | |||||
Who files insolvency in Ontario?
The average insolvent debtor looks much like the average person in Ontario. They are working and struggling to make ends meet. To read more about what the average bankrupt looks like, see our bankruptcy research study: Joe Debtor.
Press Inquiries
For commentary and information about consumer insolvencies and debt issues in Ontario, contact:
J. Douglas Hoyes
CA, CPA, Licensed Insolvency Trustee
Email Doug
Ted Michalos
CA, CPA, Licensed Insolvency Trustee
Email Ted
