According to recent data collected by Equifax Canada, Canadians demand for credit reached a record high for the first three months of 2017. In an article recently posted by Global News, it was reported that credit inquiries rose by 3.6 percent in the first three months of 2017 compared to the final months of 2016, with total debt rising by nearly 7 percent to more than $1.7 trillion.
Consumer Debt in Ontario
Although the numbers during the first three months of 2017 don’t look good, it’s important to look at the bigger picture. Compared to the other nine provinces in Canada, Ontario is stacking up very well when it comes to consumer debt. Ontario is 8th on the list with, averaging $22,022 in consumer debt, compared to Alberta, averaging $27,871 in consumer debt. For interest sake, Quebec and Manitoba are 9th and 10th. Because of Ontario’s soaring housing market this spring, delinquencies also dropped by over 6 percent. It’s believed that the delinquencies dropped because Ontario’s soaring housing prices allowed homeowners to refinance significant amounts of unsecured debt through second mortgages or home equity loans. It also helps that Ontario is seeing strong economic growth and low unemployment, which has also helped many debtors stave off bankruptcy.
If you are struggling with debt and can no longer handle payments on your own, then I would recommend contacting our office to review your situation with one of our licensed insolvency trustees.
We’re here to help you get a fresh financial start!
