Parachute

Last month, I sat down again with Amanda Lang on BNN to expose the grim reality for financially struggling Canadians. Without quality guidance Canadians can be saddled with: -  High-interest lenders charging up to 47% -  Payday lenders gouging with 300-400% rates -  Licensed Insolvency Trustees (LITs) pushing bankruptcies and consumer proposals under the guise of “financial wellness,” and "not-for-profit" Credit Counselling agencies quietly pocketing fees from Debt Management proposals. Our research reveals a chilling truth—1 in 4 consumers who reach out to Credit Counselling agencies end up in a debt management proposal, which is just another form of insolvency. While these agencies claim to be consumer advocates, they operate under the Collections Act and profit through a fee schedule arranged with the Canadian Bankers Association, known as the “fair share” payment schedule. This setup grants them 20% of what they collect from consumers, on top of charging the consumer an additional $3-4K. Meanwhile, those who file for bankruptcies with LITs can get away with just 15 minutes of legally required “counselling.” These so-called solutions are a direct path to financial ruin, enriching the sellers and leaving consumers in an even deeper hole. Alongside Parachute, there are some excellent self-help options that I mentioned in the discussion. Getting this message out isn’t easy, but thanks to BNN, we’re cutting through the noise and reaching those who desperately need real help. Let me know what you think - are you ready to help shake things up? https://lnkd.in/gKb3Dwa9

Last week, I was interviewed for a documentary shedding light on Canada's debt crisis. Throughout the discussion, I illuminated the harsh realities faced by consumers with credit scores below 700, vividly depicting the limited options available to them, such as high-interest loans escalating to 47% and payday loans skyrocketing to nearly 400%. Additionally, I delved into the concerning practices of insolvency trustees profiting from individuals' financial hardships, along with credit counselling agencies, ostensibly operating as "non-profit" organizations but found to profit substantially from debt management proposals and undisclosed alliances and funding from banks, positioned as "donations". These entities often cloak their services under the guise of promoting "financial health", deceiving consumers into agreements they may not fully comprehend. We all frequently encounter commercials for these services claiming to bring "financial wellness" - but under the surface through debt default. Our conversation expanded to encompass the mission @Parachute, our initiative committed to reshaping this landscape. Our ultimate goal is to empower Canadians with financial well-being and guide them toward brighter financial futures. #financialwellness #predatorylending #creditcounselling #bankruptcytrustees #highvinterestlending #paydaylending #parachute

Had the opportunity to sit down with Amanda Lang on BNN Bloomberg recently - a deep dive into usury law reform. Despite the opposition from the Canadian Lenders Association lobby, these changes promise genuine relief to countless Canadians. This moment feels pivotal - a crucial juncture reminiscent of the battle against big tobacco. Just as cigarettes endanger health, high-interest and payday loans make Canadians financially unwell. Check out the clip below to learn how these reforms are shaping a fairer financial future for us all - no matter the pay grade. #UsuryLaw #FinCare #FairFinance #BNNInterview