Intro

Our guest this episode is Doug Hoyes — Co-Founder of Hoyes Michalos, Licensed Insolvency Trustee and one of Canada’s leading experts on debt and personal insolvency. Doug has spent decades helping Canadians navigate financial hardship and is a passionate advocate for ensuring people understand their options and find the right path forward.

In this episode, Dave and Doug dive into the world of debt, bankruptcy and consumer proposals — what they are, how they work and when each option might make sense. They break down how Licensed Insolvency Trustees operate, how consumer proposals are negotiated and what actually happens if you file for bankruptcy (what you keep, what you lose and who typically ends up choosing each path). Doug also shares insights into why so many Canadians are struggling with debt today, from inflation and the “K-shaped” economy to mortgage renewals, rising vehicle costs and the financial impact of divorce.

The conversation also explores some of the lesser-discussed drivers of debt including gambling, travel spending and lifestyle creep, along with practical advice on when to seek help and why early action can make a significant difference. Doug brings decades of real-world experience to highlight common mistakes and what people can do to avoid them.

If you want a clear, practical understanding of debt and insight into the Canadian economy from someone with boots on the ground, this episode is packed with insights you won’t want to miss.

Show Notes

(00:00) Intro & Disclaimer

(00:55) Intro to Doug Hoyes

(01:51) Why Debt Education is So Important

(03:11) Inflation and the K-Shaped Economy

(07:29) Consumer Proposal vs. Bankruptcy Explained

(09:18) How the Trustee Negotiates Consumer Proposals

(10:37) Who Ends Up Filing Bankruptcy vs. Consumer Proposal?

(12:34) Who Should Talk to a Licensed Insolvency Trustee and When?

(17:03) If You Claim Bankruptcy, What Do You Lose vs. Keep?

(19:48) How Do People Get Into Trouble with Debt?

(24:02) Gambling's Role in Insolvency

(25:38) Historical Homeownership Rates Among Insolvency Clients

(27:02) Mortgage Resets and the Condo Crash

(29:56) Vehicles Can Be a Major Financial Trap

(32:54) Divorce and the Financial Cost of Separation

(34:53) Travel and Debt

(36:38) No One Cares About Your Money More Than You Do

(38:20) Rapid Fire Questions

(40:43) Conclusion