5 Tips For Living Debt Free In Toronto

Do you lose sleep over the amount of debt you’ve accumulated and can’t see a way out? Do you dream about living debt free in Toronto and finally start saving for your retirement?

Living debt free in Toronto is a realistic goal, but how you get there depends a lot on how much debt you have and what kind.

At David Sklar & Associates, we help people who are in over their heads. We file Consumer Debt Proposals and bankruptcies for individuals and businesses who can’t keep up with their payments.

#1 Pay The Full Balance On Credit Cards

Credit card debt is one of the quickest ways to find yourself in trouble with unsecured debt, as credit cards come with high interest. When you pay the full balance on your credit card, you’re not paying any interest, and it effectively works like a debit card that helps you build your credit score, rather than hurting it.

#2 Never Use Payday Loans

As Licensed Insolvency Trustees, here at David Sklar & Associates we often encounter individuals who have gotten into trouble with debt by relying on payday loans. Payday loan usage among Canadians has doubled in the last five years, and Canadians’ debt loads have likewise increased to alarming amounts. Even more troubling, just under half of people who use payday loans don’t understand the interest rate they’re being charged. You may feel like you need the money, but stop for a minute and calculate the actual interest rate before you borrow. It will only put you in a tougher financial situation later on.

#3 Never Borrow For Living Expenses

Living expenses are predictable costs, and cutting them down can be painful. If you find yourself relying on credit cards or payday loans to cover everyday expenses, you need to trim down your lifestyle. For some, that may be as easy as controlling impulse shopping or heading to the No Frills instead of Loblaw’s, but for others, it may mean downgrading from your home to a condo or a rental, or trading in your car for a subway pass or the GO train. Given the average of cost of operating a car, and the high cost of parking in downtown Toronto, if you commute 20 km 5 days a week, you could save $300 a month by switching to public transit.

#4 Don’t Use Debt Consolidation

Debt consolidation lenders advertise aggressively to “help” people buried under debt. Here’s how it works: a lender like a bank or debt consolidation company lends you a lump sum to pay down all your credit card bills, payday loans, and other unsecured debts. But, debt consolidation can get you into even more trouble down the road, with interest rates as high as 30 percent. You can quickly find yourself buried, and you may need debt consolidation loan help. A better alternative that we can help with at David Sklar & Associates is a Consumer Proposal: a legally binding renegotiation of your debt with all your unsecured creditors.

#5 Save For Your Retirement

The secret to long-term financial success is saving for your retirement, something only half of working Canadians do. Once you leave debt behind, you can start investing in your retirement by opening an RRSP or investing in property.

If you’re ready to start living debt free in Toronto, check out our blogs for advice on handling debt of all kinds, including payday loans, CRA debt, mortgages, and more. Debt consolidation may be the answer, while a Consumer Proposal can help get you out of dire circumstances. The answer might be as easy as curbing your spending. Ask us about Consumer Proposals and credit counselling to restart your financial future.

Take Your First Step Towards A Debt Free Life

If you are overwhelmed by debt and live in the Toronto area, call us at 416-498-9200 to book a FREE, confidential appointment. We will review your financial situation in detail and discuss all of your options with you. Alternatively, you can fill out the form below and our team will reach out to you. 

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Ready to live debt free?

The best decision I've made was to contact David Sklar & Associates, they are experts in this matters and also have dedicated Licensed Counsellors that provide the best customer support, like Rhoda Lewis, who I highly recommend. She worked tirelessly on my case, explaining ever detail to me willingly. She demonstrates a true interest in her clients. I appreciate how she patiently walked me through what to do, step by step. I now have control over my finances, as a result my life is much more peaceful and I can focus on what matters. Thank you!
Nilda H.
20:18 16 Jun 22
Very helpful and friendly! I am more than satisfied with my experience here. And more than happy with the outcome! Would definitely recommend .
Peggy Bulger
15:10 14 Jun 22
Jerry at David SKLAR helped me thoroughly understand my options and made me feel at ease. If you are looking at this type of service/help, I 100% recommend you give them a call.
Colleen H
12:50 14 Jun 22
Rhoda is a wonderful person, She help me and guided me throughout the process. I couldn’t do it without her support and expertise. Now I can start fresh and full of hope of a better life ahead of me.
ariezel erandio
21:33 06 Jun 22
The service I recieved from David Sklar and Associates was great. I was able to meet with Christin Sylver. She is kind, understanding and, professional. She was able to answer all the quesions that I had regarding my debt. At the end of our meetings, I felt that there is a heavy burden lifted from my shoulders. I recommend Chistine to anyone who is looking into debt relief.
Aliya H
12:11 04 Jun 22
Jerry is a very patient person, he answered all my questions and made this experience so smooth and easy for me. I was not sure what to expect but dealing with him made me feel so much better. He sure knows what he is doing and how to put people at ease for sure (should have done this long ago). I recommend him to anyone I am so glad I had him on my side and now to do my part. Thanks Jerry ur greatPattie
Patty Murphy
21:34 18 May 22
Rhoda Lewis helped me achieve a fresh start two and half years ago! She was very professional with a very warm, caring personality! I emailed her today with a question and she responded quickly. She's great at her chosen profession!!
Debbie Livingston
01:24 11 May 22
Nothing but good things to say about Jackie. She was so nice and so understand and everything was so quick and easy. In a matter of a week, there was the solution that I never thought was possible. Thank you so very much for everything that you have done. ❤️❤️❤️
Cassandra Keenan
21:05 10 May 22
I was in a lot of debt and stress, Jackie Stanley with David Sklar & Associates was very professional, and extremely helpful with getting out of debt. I should of did this sooner, they take the all the weight and stress of a persons shoulders, amazing team at David Sklar & Associates!!
Hubert Z
03:08 10 May 22
Jackie helped me out during a really tough time and she made the entire process very easy and painless. I highly recommend reaching out to her if you find yourself in any financial trouble. You won’t be disappointed!
prettylush 13
02:42 10 May 22
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