Canadians are taking on less debt
Posted Jul 19, 2012 7:26 am.
This article is more than 5 years old.
A new Equifax Canada report says the pace of consumer debt growth is about 30 per cent lower than it was a year ago; that’s the biggest slowdown since before the recession.
Nadim Abdo, a vice president with the credit tracking and reporting agency, tells 660News the numbers should be viewed as a good news story.
Abdo says it appears Canadians are getting a better handle on their financial situation with a decrease in serious consumer delinquency and bankruptcy numbers as well.
The one area which showed the largest increase in outstanding balances was non-bank auto finance loans and leases, which grew by eight per cent over the same period last year.
BMO’s Deputy Chief Economist Doug Porter says it’s starting to look like vehicle sales this year could top the record set back in 2002.
Porter also says be careful what you wish for, meaning if Canadians stop spending and borrowing it would certainly hurt the economy.
