Frederick & Company Ltd.

05/21/2024

Testimonial Tuesday

Debt does not have to hold you back from your financial goals and future. We love to talk to people about a solution that will allow someone to have a financial goal to work towards, whether it is having an RESP set up for kids, an RRSP for retirement or a different goal.

Here is a testimonial from someone who achieved a goal of being debt free:

I can’t say enough good things about Frederick and Company. They helped me get through a tough financial disaster which was impossible for me to deal with. I had tried to get help for years with nothing more than a series of painful and costly experiences, often with bad advice, before this. Thank you, thank you, Frederick and Company for helping me get through a low time in my life. And thank you for taking immediate action right from the start. I never thought I could catch up to the growing mountain of debt, but now I am debt-free after just 5 years of affordable payments! You guys are a godsend!!!
T.K – Dapp, Alberta

05/17/2024

As we are just coming out of tax season....it can be a great feeling to file your taxes and get money back! But what if you end up owing?

Reposting a blog from last year from our webpage that tackles this topic head on: https://fcdebtfree.ca/2023/10/13/why-do-i-owe-income-taxes-in-canada/

If you have a significant tax debt owing to CRA or have concerns about your tax debt, we can assist you by helping you crunch the numbers to see how you can pay down CRA or look at other options to resolve the CRA debt. Get educated and empowered to make the right decision for you.

Contact us at 587-269 3009 to schedule a free initial consultation in Alberta, or get in touch with us to book a free consultation.

05/08/2024

Mothers day gifts do NOT have to cost an arm and a leg.

And the ones that are kept are often the ones you made in your childhood-perhaps at school!

Think back to those homemade items you made for Mom as a kid and trust me it does mean something to get something handmade!

If your budget is tight right now (or even if you are looking for a meaningful gift, check out these budget friendly suggestions:

1. Homemade Coupon Book: Create a coupon book with vouchers for things like a homemade dinner, a day of pampering, or a chore-free day.
2. Personalized Playlist: Curate a playlist of her favorite songs or songs that remind you of her. You can use a free music streaming service or burn them onto a CD if she still uses one.
3. Handwritten Letter or Poem: Express your love and gratitude through a heartfelt letter or poem. It costs nothing but means everything.
5. Photo Album or Scrapbook: Compile photos and mementos into a photo album or scrapbook or a photo cube (you can find DIY options online)
6. Cook Her Favorite Meal: Prepare her favorite meal or bake her favorite dessert. The effort and thoughtfulness will surely make her day and the simple act of asking her shows an extra level of detail and planning!
7. Potted Plant or Flowers: A small potted plant will last longer than a bouquet and brightens up her space and brings a smile to her face through to September. Plant some sunflowers or a different fave flower or plant!
8. Memory Jar: Decorate a mason jar and fill it with handwritten notes of cherished memories or reasons why you love her.
9. Homemade Treats: Bake cookies, brownies, or cupcakes and package them in a cute box or tin.

Play to your strengths...if you are not a baker, focus on a craft or vice versa!

04/22/2024

What are your thoughts on the Renters Bill of rights? Are you looking to buy your first home but have not been able to do so?

We hear often that I want to purchase a home but don't feel that I can afford it or cannot save up the down payment. If you need help to make a game plan, please give our team a call at 587 269 3009.

https://ici.radio-canada.ca/rci/en/news/2061830/federal-plan-would-count-rent-toward-a-credit-score-who-will-it-help-and-who-could-it-hurt?utm_source=insolvencyinsider.ca&utm_medium=newsletter&utm_campaign=another-canadian-airline-in-trouble-8-billion-in-savings-for-restructured-wework

04/16/2024

Testimonial Tuesday:

Elaine, I would like to thank you for all your help. It is a relief to not have to worry about creditors calling. Being able to sleep at night is wonderful. My only regret is not solving my problem sooner.

S.R. – Ardrossan – Alberta

We love to educate everyone who we meet with. Not everyone is in need of a formal solution, but we want everyone to have the information unique to their situation. Contact us if you are interested in finding out what YOUR options are.

Please go to our website (https://fcdebtfree.ca/) or phone us at 587 269 3009 to book a free consultation

We are a LIT boutique firm serving Edmonton and surrounding area with consumer proposals & debt consolidation services. Contact us today.

03/20/2024

A very common question for us is how to rebuild my credit, and it's a great idea to start with some basics on Credit Score vs. Credit Report

The Financial Consumer Agency of Canada website is a great resource for everything from mortgage information to Educational resources. I have included a direct link to the information on this topic. Part 2 will be on how to rebuild credit.

Who creates your credit report, who can see it and what it includes.

03/12/2024

Testimonial Tuesday: I wanted to comment on your Facebook post for Testimonial Tuesday, however I wanted to remain anonymous. You guys helped me so much. I made a ton of mistakes in my younger years and was terrified with no knowledge of how to move forward and get past it. 3 years ago I came in to see you guys. I started a consumer proposal for five years and paid it off early with all the education I received from you guys. I am finally on my way to a good credit score (actually just mere points away form good). I have no debt and live within my means and I also have some savings. I’m so grateful to you and your team. Thank you so much!

03/08/2024

Very proud to work alongside some amazing women at our small local firm.

To all the wonderful women we meet and have worked along side: you are a wonderful inspiration.and recognize you not only today.

Happy International Women's day!

02/21/2024

How much debt is "normal" and does such a thing even exist?

There is actually a breakdown of how much debt per age range and some factors for an article on CTV news

For a more accurate look at Canadian debt, I find that the median data as of 2019 provides more accurate insight:

Under 35: $19,000(opens in a new tab)
35 to 44: $35,200(opens in a new tab)
45 to 54: $55,000(opens in a new tab)
55 to 64: $30,000(opens in a new tab)
65 and older: $10,000(opens in a new tab)

Why is consumer debt increasing in Canada?
Over the past year, consumer debt has notably increased. This is especially true for credit card debt. The average monthly spending per credit card increased by 17.5 per cent in the first quarter of 2022 compared to the previous year, according to a recent report by Equifax Canada.

In the report Rebecca Oakes, vice-president of Advanced Analytics at Equifax Canada, stated that “Gen Z and Millennials are driving up higher consumer spending the most".

Inflation
Even though inflation is slowly easing, it’s still relatively high. The high inflation (opens in a new tab)has driven up the cost of everyday goods, including groceries and fuel. This, in turn, means that Canadians are spending more per month than they were before 2022, when inflation started to rise.

Unfortunately, workers’ pay hasn’t grown with inflation. This means that the average Canadian simply has less money to spend, increasing their reliance on credit cards to purchase daily necessities.

Pent-up demand and travel
Oakes goes on to state that “Pent-up demand and increased travel with the easing of COVID restrictions, combined with soaring inflation, have led to some of the highest increases in credit card spending we’ve ever seen.”

It makes sense that Canadians would be eager to travel after several years of travel restrictions, even if it means incurring more credit card debt.

Increased interest rates
To keep inflation under control, the Bank of Canada steadily increased interest rates throughout 2022 and is discussing more rate hikes this year(opens in a new tab). As the federal interest rate has increased, variable interest rates, such as those offered by credit card companies, have also increased.

Those who carry a credit balance over to the next month must now pay even more interest on their credit card debt, increasing their overall debt.

Find the link to the full article below

Creating a plan to manage your debt
Accruing debt in the short-term may be inevitable due to high-interest rates and inflation. However, it’s important to create a plan to get your debt under control.

A reliable budget plan paired with consistent action is the best way to get out of debt.

If you don't feel like you can tackle your debt on your own, please contact us on our website fcdebtfree.ca or phone to book a free consultaiton. We will walk you through all of your options.

Revisit your monthly budget to find areas where you can save, try to pay down high-interest credit card debt as quickly as possible, and consider taking up a side hustle to earn extra money that you can put towards your debt.

Christopher Liew is a CFA Charterholder and former financial advisor. He writes personal finance tips for thousands of daily Canadian readers on his Wealth Awesome website which has a ton of great tools!

02/14/2024

Testimonial Tuesday:

We are pleased to offer this testimonial to Frederick and Company and staff. At the turn of the year 2019 we saw that our debt load was not only unmanageable but was going to worsen. We had gone to a couple of Credit Counselors earlier but their focus was on budgeting and increasing the amount of money coming in via garage sales and the like.

By May we determined we had to do something serious about the situation which at that time our overall debt was over $140,000 with an annual income of about $30,000 a year and a heavily mortgaged house and both of us facing retirement.

We made an appointment with Frederick and Company to review our situation and advise us of our limited options. Our counselor sent us home with information we needed to make a decision after a lengthy meeting. Based on the information she provided us we went back and committed ourselves to the Consumer Proposal.

The proposal was signed by each of us on June 10, 2019, which committed us to make regular monthly payments over the next 5 years. With all credit cards removed from us and all outstanding debt reduced to easily manageable monthly payments we were able to budget our money in such a way that we were able to complete our commitment in 4 years. Now we are debt free and slowly rebuilding our credit.

Our success was not possible without the help and advice provided by the staff of Frederick and Company who were always available to answer questions or concerns over the full duration of the proposal.

We highly recommend to anyone facing a financial situation that seems hopeless to contact Frederick and Company because there are ways to take care of the debt in a manageable way that not always includes bankruptcy.

THANK YOU!

R & B

02/10/2024

Reposting this from our series on Financial Literacy from back in November as I think it is important for people to know that they can tackle change head on:

This podcast is all about little changes making a big difference:

In Praise of Incrementalism - Freakonomics

01/29/2024

As we start a new year, check out this blog for some tips to ensure that 2024 is a fantastic financial year for you. Some great info relating to goal planning and setting goals: https://fcdebtfree.ca/2023/12/20/financial-restructuring-in-the-new-year/

If you are in a tough spot financially, please give our awesome team a call. We are compassionate and understanding and we get that financial conversations are very tough to have!

Begin the New Year with a strong financial plan. Explore resolutions and budgeting for a fresh and effective financial restructuring to achieve your goals.