Credit card balances reached a record $107.4 billion in the second quarter of 2023, according to Equifax Canada
Here’s a scary statistic: According to Equifax Canada, credit card balances reached an all-time high of $107.4 billion in the second quarter of 2023, a sure sign that financial stress continues to grow amid inflation and rising interest rates.
According to the agency, total debt held by Canadian consumers reached a staggering $2.4 trillion in the same quarter.
These figures come on the heels of a recent report from bankruptcy firm MNP Ltd. that found the number of Ontarians unable to pay their monthly bills has also reached a record high: 38 per cent, or nearly two in five people. More than half – 54 percent – say they are $200 (or less) away from not being able to meet all financial obligations.
“When people come to me, the most common thing is that they are fighting,” said David Gowling, insolvency practitioner at MNP Ltd., in a recent Village Media appearance In the village Podcast. “That didn’t happen last month. It says, ‘I’ve been struggling with this for six months or two years.’ They get to the point where they can’t even make the minimum payments.
Is there reason for hope? Gowling thinks so. You can watch his full interview HERE.
Moderated by Village Media Editor-in-Chief Scott Sexsmith and Michael Friscolanti, In the village is a news and current events podcast that provides a weekly look at some of the best local journalists from our chain of Ontario newsrooms. Produced by Derek Turner, the program also addresses broader issues affecting people across the province.
Every episode is available HERE. If you prefer the audio version, it’s available wherever you find your favorite podcasts.
Have something to say? You can reach us at itv@villagemedia.ca.
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