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Alam said people feeling financial pressures should take a step back and take stock of the situation.
“Don’t panic, there is help,” he said. “If there’s help from the government, use that first and see what happens. And then, if their job situation is a bit more certain, then obviously they could figure out what to do next.”
He said people should remain calm, contact their lenders to see if they can come to an arrangement and if deferring payments is an option. He said many lenders have been understanding.
“Hopefully, common sense prevails. Everyone’s in this together, that maybe we can basically work through this, and then figure out what comes up in the next three, four months.”
In a call with other insolvency professionals across Canada this week in his role as as president of the Alberta Association of Insolvency and Restructuring, Alam said he heard filings were down by about the same amount across the country.
On Thursday, TransUnion updated its 2020 credit forecast, predicting more Albertans would fall behind on their credit card and non-mortgage debts because of COVID-19 as well as plummeting oil prices.
It predicted as many as 8.3 per cent of Albertans could face serious delinquency by the third quarter of 2020.