Canadian Household Debt Still on the Rise

Household Debt Rising

Household Debt is now bigger than Canada’s GDP.

Household debt in Canada continued to increase for the second quarter of 2016 and as a result this debt has surpassed the current Canadian GDP. A look at some of the recent data from Statistics Canada for this year shows an increase in the first two quarters.

2016 Household Debt Levels

  • 2016 Quarter 1: 98.7
  • 2016 Quarter 2: 100.5

The recent mortgage rules change seems to have made a slight change in the overall mortgage rates. Mortgage rates in Canada have stopped increasing. The level of mortgage rates to household debt is at 65.6%, according to the latest data from Statistics Canada.

Once again, we are seeing that credit debt is increasing slightly higher on average over Canadians increase in disposable income, leading Canadians to increase their overall debt levels. Credit Debt  increased by 2%, while the average disposable income increased by 0.5%

2016 Household Debt to Disposable Income

  • 2016 Quarter 1: 167.37
  • 2016 Quarter 2: 169.85

Essentially what we are seeing is that for every $1 Canadians earn, they are spending $1.70. This has yet again increased over last year’s data which according to StatsCan for 2014 fourth quarter, Canadian debt to income ratio is was 163.3%,

While the Average Canadian Debt is rising, looking for ways to help curb your spending, reduce your debt and work to save more for your future can be a good start to re-structure your financial future. If you find you are at a point where you are not sure what to do about your financial situation and your debt is getting out of hand, it may be time to get professional advice from a Trustee. Call our offices at (416) 498-9200 for a free initial consultation. We can help find the best solution for your particular situation.

Take Your First Step Towards A Debt Free Life

If you are overwhelmed by debt and live in the Toronto area, call us at 416-498-9200 to book a FREE, confidential appointment. We will review your financial situation in detail and discuss all of your options with you. Alternatively, you can fill out the form below and our team will reach out to you. 

Share This!

Share on facebook
Share on twitter
Share on linkedin
Share on reddit
Share on pinterest

Ready to live debt free?

The best decision I've made was to contact David Sklar & Associates, they are experts in this matters and also have dedicated Licensed Counsellors that provide the best customer support, like Rhoda Lewis, who I highly recommend. She worked tirelessly on my case, explaining ever detail to me willingly. She demonstrates a true interest in her clients. I appreciate how she patiently walked me through what to do, step by step. I now have control over my finances, as a result my life is much more peaceful and I can focus on what matters. Thank you!
Nilda H.
20:18 16 Jun 22
Very helpful and friendly! I am more than satisfied with my experience here. And more than happy with the outcome! Would definitely recommend .
Peggy Bulger
15:10 14 Jun 22
Jerry at David SKLAR helped me thoroughly understand my options and made me feel at ease. If you are looking at this type of service/help, I 100% recommend you give them a call.
Colleen H
12:50 14 Jun 22
Rhoda is a wonderful person, She help me and guided me throughout the process. I couldn’t do it without her support and expertise. Now I can start fresh and full of hope of a better life ahead of me.
ariezel erandio
21:33 06 Jun 22
The service I recieved from David Sklar and Associates was great. I was able to meet with Christin Sylver. She is kind, understanding and, professional. She was able to answer all the quesions that I had regarding my debt. At the end of our meetings, I felt that there is a heavy burden lifted from my shoulders. I recommend Chistine to anyone who is looking into debt relief.
Aliya H
12:11 04 Jun 22
Jerry is a very patient person, he answered all my questions and made this experience so smooth and easy for me. I was not sure what to expect but dealing with him made me feel so much better. He sure knows what he is doing and how to put people at ease for sure (should have done this long ago). I recommend him to anyone I am so glad I had him on my side and now to do my part. Thanks Jerry ur greatPattie
Patty Murphy
21:34 18 May 22
Rhoda Lewis helped me achieve a fresh start two and half years ago! She was very professional with a very warm, caring personality! I emailed her today with a question and she responded quickly. She's great at her chosen profession!!
Debbie Livingston
01:24 11 May 22
Nothing but good things to say about Jackie. She was so nice and so understand and everything was so quick and easy. In a matter of a week, there was the solution that I never thought was possible. Thank you so very much for everything that you have done. ❤️❤️❤️
Cassandra Keenan
21:05 10 May 22
I was in a lot of debt and stress, Jackie Stanley with David Sklar & Associates was very professional, and extremely helpful with getting out of debt. I should of did this sooner, they take the all the weight and stress of a persons shoulders, amazing team at David Sklar & Associates!!
Hubert Z
03:08 10 May 22
Jackie helped me out during a really tough time and she made the entire process very easy and painless. I highly recommend reaching out to her if you find yourself in any financial trouble. You won’t be disappointed!
prettylush 13
02:42 10 May 22
js_loader