A new report from Prosper Canada shows low-income Canadians are struggling financially but don’t have the help they need to recover.
While we often look at financial help services in relation to the needs and preferences of the average middle- or higher-income consumer and applicable regulatory and oversight mandates, we consider them less often from the perspectives of low-income and vulnerable consumers and their financial contexts and needs. In this project, Prosper Canada has attempted to identify gaps in access to affordable, appropriate and trustworthy financial help for people with low incomes specifically.
To this end, Prosper Canada has produced a report that:
- Defined their priority financial help needs
- Identified barriers that typically impact their access to services
- Identified relevant services that are currently available in the market
- Assessed how accessible, affordable, appropriate and trustworthy these services are for people with low incomes
- Assessed where there are financial help gaps for this population.
The report, Missing for those who need it most: Canada’s financial help gap, shows that affordable, appropriate and trustworthy financial help for people with low incomes is a critical but missing piece in Canada’s financial services landscape. People with low incomes are unlikely to find help when they need it to plan financially, develop and adhere to a budget, set and pursue saving goals, file their taxes outside of tax season, and access income benefits.
“Why Change is needed: This financial help gap has taken on new urgency in the context of the COVID-19 pandemic and ensuing inflation and interest rate increases that have made life increasingly unaffordable for many Canadians.” – Prosper Canada
Sources
Full Report: Missing for those who need it most: Canada’s financial help gap - Financial Help Project Report (prospercanada.org)
Executive Summary: GetFile.aspx (prospercanada.org)
