Canadian consumer debt hits new high 6

Canadian consumer debt hits new high 6

Posted in the Georgetown Forum

SAM

North Bay, Canada

#1 Feb 5, 2013
Canadian consumer debt hits new high 6

QMI Agency

First posted: Tuesday, February 05, 2013 11:02 AM EST | Updated: Tuesday, February 05, 2013 11:11 AM EST

1
Change text size for the story Print this story Report an error

Consumer debt in Canada has hit an all-time high, according to a new report from credit-monitoring firm TransUnion.

The average debt hit $27,485 at the end of 2012, a 6% increase from 2011. Debt rose at its fastest pace since 2009, TransUnion said.

This marks the first time the average debt has been over $27,000.

"Increases in personal debt are not surprising during the final quarter of the year as consumers tend to spend more during the holiday season," said Thomas Higgins, TransUnion's vice-president of analytics and decision services. "The rise on a year-over-year basis should be more concerning as Canadians' debt loads increased by more than $1,500."

Every province saw its average consumer debt rise, except for British Columbia, where it went down 0.09%. Debt shot up by 11.20% in Alberta, 9.39% in Quebec and 9.04% in P.E.I.

Credit card debt in Canada rose 0.12% from last year, lines of credit rose 2.64%, instalment loan debt increased 6.71% and automobile debt rose 8.93%.

But there is an upside to this debt Canadians have racked up. For the most part, people are paying it off regularly and on time.

"While Canadian debt levels continue their upward track, delinquency levels remain low, and in some cases, are drifting even lower," Higgins said. "It's an especially positive sign to see lines of credit, which make up the majority of personal debt when excluding mortgages, experience yearly declines in delinquencies."

Tell me when this thread is updated:

Subscribe Now Add to my Tracker

Add your comments below

Characters left: 4000

Please note by submitting this form you acknowledge that you have read the Terms of Service and the comment you are posting is in compliance with such terms. Be polite. Inappropriate posts may be removed by the moderator. Send us your feedback.

Georgetown Discussions

Title Updated Last By Comments
News Albanian artist holding meet and greet Thursday... 8 hr hungary-slams-un 2
News Wellington-Halton Hills MPP Arnott: Wishing eve... 8 hr Fergus gets new hosp 8
News Friends of Halton Hills Public Library donate o... 8 hr gold caddy now FC... 2
News It is an extra extraordinary event: Hydro CEO (Dec '13) 8 hr James Bay sends p... 32
Alberta sues itself over carbon pricing 23 hr lots 2 tell 2
News Vaccine shortage expected next week (Nov '09) Wed chlamydia vaccine 4
Liberals withholding key info from financial ac... Wed why no load limit... 2
More from around the web