You have a budget, and you try to stay within it, but a lack of planning leads you to overspend. This is one of the most common ways people sabotage their own budgets. On today’s podcast, credit counsellor Diane Cunha and host Doug Hoyes discuss the common mistakes people make when budgeting – from using debt as an extension of income to paying too much for transportation. They also share advice for how to avoid making these mistakes so you can budget more successfully! Tune in for lots of practical advice.   Helpful Links:   Hoyes Michalos Fresh Start Program: https://www.hoyes.com/fresh-start/ Hoyes Michalos Newsletter: https://www.hoyes.com/subscribe-newsletter/

Debt Free in 30

345 – Avoid These Common Mistakes That Can Sabotage Your Budget

You may think that human trafficking is something that only happens in countries outside of Canada, or only happens to poor people, or recent immigrants. That is not the case. Most police reported cases in Ontario are girls and women who are Canadian citizens or permanent residents. But what does human trafficking have to do with debt and financial fraud? On today’s podcast, we have a first-time special guest who shares her remarkable story of survival and explains how trafficking victims are targeted in Canada, how common this is, and how perpetrators financially abuse their victims. This leaves many trafficking survivors with not only psychological and emotional trauma, but also major debt problems to overcome. We have resources listed below to help you recognize the signs of human trafficking, what you can do to protect yourself and others you know and to help you understand that human trafficking in Canada is more common than we’d like to believe. Resources Mentioned in the Show: Human Trafficking - Know the Signs: https://www.ontario.ca/page/human-trafficking RAP Sheet – Human Trafficking: https://preventingcrime.ca/wp-content/uploads/2020/02/RAP-Sheet-on-Human-Sex-Trafficking.pdf Project Recover Organization: https://projectrecover.ca/ Concord Adex Survivor’s Fund: https://www.survivorsfund.ca/donations/the-concord-end-of-crisis-housing-fund/ Waterloo Regional Police Services – How to Stay Safe Against Human Trafficking: https://www.wrps.on.ca/en/staying-safe/human-trafficking.aspx Ontario’s Anti-Human Trafficking Strategy: https://www.ontario.ca/page/ontarios-anti-human-trafficking-strategy-2020-2025 What is Human Trafficking: https://www.canada.ca/en/public-safety-canada/campaigns/human-trafficking.html

344 – Human Trafficking and Financial Fraud: A Survivor's Story

The coronavirus pandemic and job losses have led many people to rethink their careers. What can you do if your job no longer exists?  How can you reinvent yourself? And how do you do that without taking on debt? On today’s podcast, Scott Terrio and Doug Hoyes discuss how jobs are expected to change post-pandemic and share several success stories of clients relying on their skills to find new employment. They also provide tips for taking on a career change, without harming your finances. Tune in! Resources Mentioned: McKinsey Report: The Future of Work After COVID-19 https://www.mckinsey.com/featured-insights/future-of-work/the-future-of-work-after-covid-19#

343 – Should You Reinvent Yourself Career-Wise Post Pandemic & How To Be Ready

Having a savings fund helps you avoid a lot of financial headache in the event of an emergency. The trouble is, how do you get started on saving if cash is tight? On today’s podcast, Certified Credit Counsellor Diane Cunha provides realistic tips for saving money, so you stay motivated. She also shares advice for how to save if you have a limited income and which accounts are best for storing a savings fund. Tune in!   Helpful Links:   Emergency Fund or Credit Card Debt? 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/ The Secret to Budgeting? Don’t Budget: https://www.youtube.com/watch?v=u5q1Qge3k8s

342 – How to Save Money Without Losing Your Motivation

Payday loans aren’t the only predatory loans out there. These days, several fintech companies offer ‘easy’ installment loans at high rates, ranging from 39% to 59%! On today’s podcast, Ted Michalos and Doug Hoyes explain how these loans work and what makes them predatory. Doug and Ted also discuss high-cost loan regulations, the changes the Government of Ontario is proposing, and give their two cents on consumer protections they believe should be implemented to help borrowers make informed financial decisions. Tune in!   Helpful Links:   Government of Ontario High-Cost Credit Consultation Paper: https://www.ontariocanada.com/registry/view.do?postingId=36067&language=en Why Bad Credit Installment Loans Are Seldom the Answer: https://www.hoyes.com/blog/why-bad-credit-financing-loans-are-seldom-the-answer/ Hoyes Michalos Bankruptcy Study: https://www.hoyes.com/press/joe-debtor/

341 – Predatory Loans: Stop Paying 39%, 49% and 59% on So-Called ‘Easy’ Loans

E-transfer fraud is on the rise. From e-transfers being redirected to a hacker’s bank account to job and puppy scams - how do you stay protected? How can you tell what’s real and what’s fake? Enter Rachel Jolicoeur – Director of Fraud Prevention and Partnerships at Interac. On today’s podcast, Rachel discusses common ways people become victims of e-transfer fraud. She also explains how to spot e-transfer scams and how to keep your accounts safe from fraudsters. Tune in to the show for lots of practical advice and see our resources below to keep your finances safe. #FraudPreventionMonth Helpful Resources:   Interac e-Transfer Security & Fraud Prevention: https://www.interac.ca/en/consumers/security/interac-e-transfer/ Canadian Anti-Fraud Centre – Protect Yourself From Scams: https://www.antifraudcentre-centreantifraude.ca/protect-protegez-eng.htm Time Stamps: 4:10 Fraud #1 - E-mail Account Compromise 8:45 Prevent Fraud with Auto Deposit 13:05 Fraud #2 - Bad Deposit Transfer 14:08 Fraud #3 – Big Cheque Scam 15:39 Fraud #4 -  Job Scams 19:02 Fraud #5 - Puppy Scams 22:19 What Can I Do If I Get Scammed? 26:10 Practical Tips to Stay Safe

340 – How to Avoid E-Transfer Email Scams: Tips from an Interac Fraud Expert

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

339 – Car Loans Keeping You Broke? Here’s What To Do

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/

338 – The Pandemic Debtor: Older and Going Bankrupt

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  

337 – What Credit Utilization Rate is Best for Your Credit Score?

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 entire investment 22:17  When will the boom end? 24:45 Condo sales prices have dropped slightly, but rental rates are down significantly.  Why? 27:00 Is now a good time to rent?  Advice for renters?29:00 John’s advice for dealing with market hysteria 30:00 What will be the signs of the end of the real estate boom? Related Links: Realosophy Website: https://www.realosophy.com/ John Pasalis on Twitter: https://twitter.com/JohnPasalis John Pasalis’ YouTube channel – Move Smartly: https://www.youtube.com/movesmartly

336 – What’s Going on with Real Estate in 2021? | Should you buy now? With John Pasalis

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. 21:44 Dealing with debt as a sole proprietorship. 23:36 What to do if business will be viable after lockdown. 22:20 CEBA loan – what to do if you can’t repay. 31:38 Final practical advice   Related Links: Should I File Personal Bankruptcy if My Business Closes? https://hoyes.info/small-business-closure The Canada Emergency Business Account: https://ceba-cuec.ca/ Canada Emergency Wage Subsidy Statistics: https://www.canada.ca/en/revenue-agency/services/subsidy/emergency-wage-subsidy/cews-statistics.html

335 – Dealing with Small Business Closure and Debt Amid COVID-19

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 thinking about debt consolidation in 2021? What are the risks? 15:48 – Can you use a HELOC for a down-payment again? 18:42 – Will real estate keep going up forever? 22:31 – Impact of bidding wars on mortgage qualification 25:07 – Are parents still helping their kids buy a home? 26:09 – Is housing a religion? 29:37 – It’s an unusual time, but this too shall pass, so think before buying.

334 – Mortgages & Home Equity Refinancing: What Are the Risks in 2021?

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.canada.ca/data/en/dataset/f7e5498e-0ad8-4417-85c9-9b8aff9b9eda

333 – Mortgages, Consumer Debt and Delinquencies: What’s Real & What’s Fantasy with Ben Rabidoux

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/

332 – How to Manage Your Money Without 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/ Scott Terrio on Twitter: https://twitter.com/ScottTerrioHMA

331 – When is a Car Loan Bad Debt? With Scott Terrio

Each week Doug Hoyes talks to industry experts about debt, money, and personal finance. Don't be confused; listen as the guest experts cut through the jargon and share practical advice.