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Canadian households still taking on more debt: StatsCan

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Canadians keep taking on more debt even as they get poorer, a new Statistics Canada report shows


Average household debt in Canada hit a new record high of almost 153 per cent to disposable income in the third quarter, a sizable jump from 150.7 per cent the previous quarter, the agency reported Tuesday.


As well, household net worth declined by 2.1 per cent to $180,100 from $184,700, the sharpest drop in almost three years as the value of pensions and stock investments declined.


The report came a day after Bank of Canada governor Mark Carney again warned about the dangers of household debt poses to the economy going forward.


Canadians are more indebted now than the Americans and British, Carney noted, saying that they need to move to bring debt accumulation in line with income growth, which is modest. Debt rose at about twice the pace of income during the quarter.


For the rest of the story… Industry News - Canadian households still taking on more debt: StatsCan - Article - investmentexecutive.com

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