front

Canadian Household Debt Hits Record High

admin · September 15, 2016 ·

While national wealth has increased, Canadian households hold $1.68 in credit market debt for every dollar of disposable income.

That’s the latest from Statistics Canada in the “National balance sheet and financial flow accounts, second quarter 2016” released today.

According to the report:

Total household credit market debt (consumer credit, and mortgage and non-mortgage loans) reached $1,973 billion at the end of the second quarter. Consumer credit was $585.8 billion, while mortgage debt stood at $1,293 billion. The share of mortgage liabilities to total credit market debt was unchanged at 65.6%, ending an unbroken upward trend that began in the first quarter of 2010.

An increase in household credit market debt (+2.0%) outpaced weaker-than-normal growth in disposable income (+0.5%) in the second quarter. Consequently, the ratio of household credit market debt to disposable income (excluding pension entitlements) rose from 165.2% in the first quarter to 167.6% in the second quarter. In other words, households held $1.68 in credit market debt for every dollar of disposable income.

You can read the full report here.

Canadians living pay cheque to pay cheque

admin · September 8, 2016 ·

Almost half of Canadians are living pay cheque to pay cheque, and residents of British Columbia are the most cash strapped in the country, according to a new survey from the Canadian Payroll Association.

The 8th annual research survey found almost half (48%) of Canadians say “it would be difficult to meet their financial obligations if their pay cheque was delayed by even a single week”. The survey also found that “40% of employees say they spend all of or more than their net pay, and 47% are able to save just 5% or less of their earnings”.

In British Columbia, 53% say it would be difficult to meet their financial obligations if their pay cheque was delayed by a week.

Nationally, 24% say they probably couldn’t come up with $2,000 in the event of an emergency – compared to 27% in BC.

You can see the full report here, and find regional breakdowns here.

Canadian insolvencies down slightly in May 2016

admin · July 28, 2016 ·

The office of the Superintendent of Bankruptcy Canada has released the latest insolvency stats for Canada for May 2016

Insolvencies in Canada decreased by 1.2 percent from the previous month, and up 11.0 percent compared to a year ago.

In May 2016, bankruptcies decreased by 2.3 percent, while consumer proposals increased by 0.1 percent.

For the 12 month period ending May, 2016, total insolvencies increased 4.4 percent compared to the same 12 month period a year ago.

You can read the summary and full report here.

Slight drop in insolvencies in Canada – April 2016

admin · June 29, 2016 ·

The office of the Superintendent of Bankruptcy Canada has released the latest insolvency stats for Canada in April 2016

Insolvencies in Canada decreased by 0.7 percent from the previous month, and up 4.5 percent compared to a year ago. Bankruptcies increased by 3.8 percent, consumer proposals decreased by 5.3 percent.

For the 12 month period ending April, 2016, total insolvencies increased 3.0 percent compared to the same 12 month period a year ago.

You can read the summary and full report here.