Less than half of Canadians are financially-equipped to manage major unexpected life events without having to take on additional debt, according to a survey released by MNP on Tuesday.
According to the survey, which was conducted Ipsos, only one-third of respondents said they wouldn't have to borrow if they got a divorce, and even fewer (27 per cent) said they could survive losing their job without incurring more debt.
“The results point to a lack of emergency savings among Canadians," said MNP President Grant Bazian in a statement, going on to warn that major life events like divorce, job loss and illness can often lead to individuals declaring bankruptcy.
“We shouldn’t be thinking of an emergency savings plan as a ‘nice to have’. ... a rainy day fund is really a necessity.”