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The hidden financial abuse in human trafficking
In Canada, the issue of sex trafficking is often overshadowed by the immediate physical and emotional trauma experienced by victims. However, a significant yet less visible aspect of this crime is the coercive debt that traffickers impose on their victims.
Research indicates that at least 25% of survivors are burdened with fraudulent debts incurred in their names, complicating their recovery and reintegration into society. This financial abuse is not just a side effect; it is a systematic tactic used by traffickers to maintain control over their victims.
Julia Drydyk, the executive director of the Canadian Centre to End Human Trafficking, emphasizes that traffickers often place the costs associated with trafficking directly in the victim’s name. This tactic not only obscures the financial trail from an anti-money laundering perspective but also serves as a tool for ongoing coercion and control.
Survivors frequently find themselves grappling with debts that can average around $20,000, with some cases soaring to $100,000. These debts manifest in various forms, including credit cards, payday loans, and even car loans, creating a significant barrier to achieving financial independence.
The psychological toll of fraudulent debt
For survivors, the burden of fraudulent debt is not merely financial; it carries a profound psychological impact. Kaitlin Bick, an anti-human trafficking specialist with Victim Services Toronto, highlights the emotional strain that comes with dealing with debt collectors and the constant reminders of their past trauma.
Survivors often feel overwhelmed by the dual challenge of advocating for themselves while managing the emotional scars left by their exploitation. The process of trying to track down fraudulent debts can be re-traumatizing, making it even more difficult for survivors to rebuild their lives.
Victim Services Toronto has initiated the Reclaim program, a nationwide effort aimed at assisting survivors in eliminating fraudulent debts. By advocating with creditors on behalf of these individuals, the program has achieved a remarkable 90% success rate in removing fraudulent debts from survivors’ credit reports. This initiative not only alleviates financial burdens but also empowers survivors to reclaim their lives and move forward.
Legislative changes and ongoing challenges
In 2023, Ontario took a significant step by enacting Bill 41, which aims to protect survivors from coerced debts. This legislation prohibits creditors from collecting on debts incurred through human trafficking. However, the implementation of this law requires a robust system to identify eligible cases. Similar measures have been introduced in Saskatchewan, reflecting a growing recognition of the need to address coercive debt within the context of human trafficking.
Despite these advancements, challenges remain. Drydyk points out that not all provinces have adopted similar strategies, leaving gaps in support for survivors across the country. The conversation around trafficking often focuses on the immediate risks, but addressing the financial implications is crucial for providing comprehensive support. Survivors need access to economic, social, and legal justice to facilitate their recovery and reintegration into society.
For those seeking assistance, the Reclaim program offers resources and support for tackling fraudulent debt. Survivors can find more information on the Victim Services Toronto website or reach out to their Crisis Line for immediate help. Additionally, the Canadian Human Trafficking Hotline is available 24/7, providing a lifeline for those in need.
