Alberta insolvency numbers continue to rise

Debt continues to be an issue in Alberta witha 23.6 per cent increase in the number of insolvencies over a 12-month period ending in March, according to first quarter statistics released Wednesday.

"That's probably not a huge surprise to many people, just because our economy has taken a turn for the worse over the last couple of years and I think people have really felt the crunch," said Angela Lock, a licensed insolvency trustee with Grant Thornton in Calgary.

"It sometimes takes people a little bit of time to act on what they need to do to get some relief from having these financial difficulties."

• Alberta insolvency rate jumps 34% as upward trend continues

Overall, the number of insolvencies in Canada dropped by 1.3 per cent over the same time period.

Alberta saw 10,924 insolvencies between March 2015 and March 2016, while there were 13,494 filed between March 2016 and March of this year, marking a 23.6 per cent increase.

"The last 12 months were really tough," said Lock.

The number of insolvencies in Calgary increased by 30 per cent while the number in Edmonton went up by 25.5 per cent, according to the report.

Alberta's economy is starting to rebound, however, which is good news for those considering insolvency or on the brink of bankruptcy.

"I do think our economy is getting better, you're seeing more job postings coming up," said Lock. "People are coming into my office employed, whereas previously, a lot of people were not employed or income-reduced. I think we've seen the worst of it."

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