The amount of non-mortgage debt owed by Canadians is rising, boosted by new lending and higher spending linked to inflation, according to a new report by Equifax Canada.
The report out Tuesday by the credit rating agency said the average non-mortgage debt per consumer was $21,128 in the second quarter, up 2.4 per cent compared with a year earlier.
Equifax said credit card balances rose to the highest level since the fourth quarter of 2019 and the average credit limit on new cards is over $5,800, the highest it has been in the last seven years."High consumer demand for credit cards means a competitive marketplace for lenders. As a result, the credit limits being offered on new cards are much higher than we've seen in previous periods," Oakes added.
However, despite a cool-down in the housing market, the average loan amount for first-time homebuyers only dropped 0.5 per cent in the second quarter compared with the first quarter, with the average monthly payments increasing by 10 per cent.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Equifax says total consumer debt rose 8.2% to $2.32T in Q2 - BNN BloombergEquifax Canada says total consumer debt rose to $2.32 trillion in the second quarter, up 8.2 per cent compared with the same quarter last year.
Read more »
Equifax says total consumer debt rises to $2.32 trillion in second quarterEquifax Canada says total consumer debt rose to $2.32 trillion in the second quarter, up 8.2 per cent compared with the same quarter last year
Read more »
Equifax says total consumer debt rises to $2.32 trillion in second quarterEquifax Canada says total consumer debt rose to $2.32 trillion in the second quarter, up 8.2% compared with the same quarter last year.
Read more »
Financial Stress Mounts, Credit Card Demand and Debt Rise: EquifaxCanadians are feeling the crunch of sky-high inflation and climbing interestrates. As a glaringly clear sign of the times, creditcard demand and balances continue to increase. credit debt cdnpoli
Read more »
Canadians' credit card debt hits highest level since end of 2019Equifax Canada says total consumer debt rose to $2.32 trillion in the second quarter, up 8.2 per cent from last year. Read
Read more »
Consumer debt has skyrocketed in CanadaEquifax Canada's Rebecca Oakes explains what's behind the sudden rise in consumer debt and warns credit card use among Canadians is rising.
Read more »